Investment Returns for High Speed Rail in China: A Life Cycle Cost Analysis
In conjunction with the rapid economic development, the explosive expansion of high speed rail (HSR) network in China has not only attracted great attention from the world but also raised concerns with its economic feasibility. As reported in media, most high speed trains are not filled to its capacity and some of them not even operated to its full speed. Some researchers have also expressed their worries about the future of the HSR as the Chinese Ministry of Railways, the owner and operator of the HSR in China, becomes the highest debtor in the country. This manuscript adopts a systematic analysis approach, which made connections between life cycle costs, revenues and ridership. After testing a number of life cycle scenarios, the authors have developed ridership potential and associated fare policies. The analysis results show that investments in HSR will receive adequate returns when the investment recovery period and life expectancy of HSR are linked and fare structures correspond to the demographic and social economic status of the travelers along the corridors.
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Corporate Authors:
500 Fifth Street, NW
Washington, DC United States 20001 -
Authors:
- Lv, Liu
- Liu, Rongfang
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Conference:
- Transportation Research Board 91st Annual Meeting
- Location: Washington DC, United States
- Date: 2012-1-22 to 2012-1-26
- Date: 2012
Language
- English
Media Info
- Media Type: Digital/other
- Features: Figures; References;
- Pagination: 14p
- Monograph Title: TRB 91st Annual Meeting Compendium of Papers DVD
Subject/Index Terms
- TRT Terms: Fares; High speed rail; Investments; Life cycle costing; Mode choice; Revenues; Ridership
- Geographic Terms: China
- Subject Areas: Economics; Finance; Railroads; I10: Economics and Administration;
Filing Info
- Accession Number: 01370981
- Record Type: Publication
- Report/Paper Numbers: 12-4055
- Files: TRIS, TRB
- Created Date: May 25 2012 9:31AM