Three plans are being considered for the conversion of an existing two-lane roadway to a four-lane freeway, in order to handle the larger volume of traffic expected from the expansion of a regional airport. Traffic volumes are projected to be 57,000 passenger vehicles and 3,000 trucks per day. Plan A would add 2 new adjacent lanes. Plan B would upgrade the existing 2 lanes and add 2 new adjacent lanes. Plan C would be a new four-lane highway with a new alignment. Estimates for the alternative plans are given in the table that follows. Which plan would you recommend at an MARR of 8%? How sensitive are your results? The following costs are common to all plans: Incremental operating cost (autos): 18 paise per mile Incremental operating cost (trucks): 54 paise per mile Value of time savings (autos): 9 paise per minute Value of time savings (trucks): 45 paise per minute Average accident cost: Rs. 3,600 Existing Plan A Plan B Plan C Annual Maintenance Cost (Rs./lane- 4,500 3,750 3,000 3,000 mile) Accident Rate (per million vehicle miles) 4.58 2.5 2.4 2.3 Construction Cost (Rs/mile) 7,50,000 19,50,000 24,00,000 Reduction in Travel Time (minutes) Auto- 2 min Truck- 1min Auto- 3 min Truck- 3 min Auto- 5 min Truck- 4 min Length (miles) 10 10 10 10.3 Life 25 25 25

Answer

Based on the provided information, Plan C is the best option for the conversion of the existing two-lane roadway to a four-lane freeway. Plan C has the lowest maintenance cost, the lowest accident rate, and the highest reduction in travel time for both autos and trucks. This plan would be cost effective at an MARR of 8%. The other two plans (A and B) would not be as cost effective due to their higher maintenance costs and lower reduction in travel time.

Supporting Subsections

Maintenance Cost

Plan C has the lowest maintenance cost of Rs. 3,000 per lane-mile. Plan A and Plan B have maintenance costs of Rs. 3,750 and Rs. 4,500 per lane-mile respectively. This makes Plan C the most cost-effective option.

Accident Rate

Plan C has the lowest accident rate of 2.3 per million vehicle miles. Plan A and Plan B have accident rates of 4.58 and 2.5 respectively. This makes Plan C the safest option.

Reduction in Travel Time

Plan C has the highest reduction in travel time for both autos and trucks. Autos will experience a 5 minute reduction in travel time and trucks will experience a 4 minute reduction in travel time. Plan A and Plan B have travel time reductions of 2 and 3 minutes for autos and 1 and 3 minutes for trucks respectively. This makes Plan C the most efficient option.

Construction Cost

Plan C has the highest construction cost of Rs. 24,00,000 per mile. Plan A and Plan B have construction costs of Rs. 7,50,000 and Rs. 19,50,000 per mile respectively. However, due to the lower maintenance cost, lower accident rate, and higher reduction in travel time, Plan C is still the most cost-effective option.

Related Questions

• What is the average accident cost for each plan?
• What is the value of time savings for autos and trucks?
• What is the length of the existing two-lane roadway?
• What is the life of each plan?
• Is there any other plan being considered?
• What is the incremental operating cost for autos and trucks?
• What are the benefits of Plan C?
• What factors should be considered when evaluating a plan?
• What is the annual maintenance cost for Plan A and Plan B?
• What is the projected traffic volume for the expanded regional airport?