Possibilities Of Comparison Of Benefits And Costs Of Intelligent Transportation System Projects

Intelligent transportation systems (ITS, transport telematics) mean progressive tool of the road transport management and traffic regulation, which is a great contribution to resolving current transport issues. Implementation of ITS is capital-intensive, thus it is necessary to reflect all the costs and benefits of a single application that ITS brings. An appropriate tool for evaluating ITS projects is benefit-cost analysis. Benefit-cost analysis sometimes referred to as Cost-benefit analysis, is a systematic process of calculation and comparison of the benefits and costs of a project. This paper explains major calculation methods of the economic efficiency of a project (benefit-cost ratio, incremental benefit-cost ratio, net present value, cost-effectiveness, internal rate of return, payback period).