cost benefit analysis of urban tree management in goiÂnia
DESCRIPTION
as presented on: Environmental Concerns in Rights-of-Way Management - The Tenth Symposium Phoenix, AZ, USA, September 30 through October 3, 2012TRANSCRIPT
COST BENEFIT ANALYSIS OF
URBAN TREE MANAGEMENT
IN GOIANIA
Ricardo Magno
Senior Project Manager
Population
Precipitation
Street Tree Master Plan
• Duration of 10-20 years• Sample inventory:
• 38 874 seedlings• 5% tree removal
• operational procedures • 13 pg of testimonials (?!)
http://www.goiania.go.gov.br/shtml/amma/pdau.shtml
Project Analysis
Project
Risk
EconomicalFinancial Economical
Determine Program
Objectives
Enumerate Alternatives
Recognize Constrains
Methodology
• Research & Development (R&D) and overhead power lines upgrades (20%)
• Tree trimming residue compost (1%)
• Air conditioning energy savings (8%)
• Real estate added value (62%)
• Eradicate tree fall (8%)
Benefits
• Seedlings plantation (30%)
• Tree removal (35%)
• Stump grinding and sidewalk reconstruction (35%)
• Seedling irrigation (0%)
Costs
Discount rate
USA
0.75%1996
2012
1
Effect of the discount rate
30
0.78
4.46
Cost Benefit
R$ 52 000 000
R$ 30 000 000
Benefit–cost ratio
1.71
>1
<1
More information
Parameter Value Meaning
Cost Benefit rate 1.7 Benefits are generated
Net Present Value R$ 22 000 000 Add value
Total Cost R$ 30 000 000 Investment
Payback 0 Time to pay the project
Execution 10 years
Thank You!
Ricardo Magno Santos AntunesProject Manager
+55 (31) 3201-1234+55 (31) 9866-7825