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Importance of sustainability-related cost components in highway infrastructure: perspective of stakeholders in Australia

Goh, Kai Chen and J., Yang (2013) Importance of sustainability-related cost components in highway infrastructure: perspective of stakeholders in Australia. Journal of Infrastructure System, 04 (13002). ISSN 1943-555X


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Highway infrastructure development typically requires major capital input. Unless planned properly, such requirements can cause serious financial constraints for investors. The push for sustainability adds a new dimension to the complexity of evaluating highway projects. Finding environmentally and socially responsible solutions for highway construction will improve its potential for acceptance by the society and in many instances the infrastructure’s life span. Even so, the prediction and determination of a project’s long-term financial viability can be a precarious exercise. Existing studies in this area have not indicated details of how to identify and deal with costs incurred in pursuing sustainability measures in highway infrastructure. This paper provides insights into the major challenges of implementing sustainability in highway project development in terms of financial concerns and obligations. It discusses the results from recent research through a literature study and a questionnaire survey of key industry stakeholders involved in highway infrastructure development. The research identified critical cost components relating to sustainability measures based on perspectives of industry stakeholders. All stakeholders believe sustainability related costs are an integral part of the decision making. However, the importance rating of these costs is relative to each stakeholder’s core business objectives. This will influence the way these cost components are dealt with during the evaluation of highway investment alternatives and financial implications. This research encourages positive thinking among the highway infrastructure practitioners about sustainability. It calls for the construction industry to maximize sustainability deliverables while ensuring financial viability over the life cycle of highway infrastructure projects.

Item Type: Article
Uncontrolled Keywords: highway; infrastructure; sustainability; engineering economics; stakeholders
Subjects: T Technology > TE Highway engineering. Roads and pavements
Divisions: Faculty of Technology Management and Business > Department of Construction Management
Depositing User: Normajihan Abd. Rahman
Date Deposited: 05 Jan 2014 06:45
Last Modified: 05 Jan 2014 06:45
URI: http://eprints.uthm.edu.my/id/eprint/4677
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