Call for application for a Professional Training about “Cost Benefit Analysis and Feasibility Study”
Venue : Virtual Training by use of MS Teams
31st July until 02nd August 2020 (9AM – 4PM)
Cost Benefit Analysis (CBA) is a useful tool to assess the financial and economic implications of projects. A financial and economic CBA systematically quantifies the costs and benefits of a project, comparing them against the situation without the project. It provides an indication of how costs, benefits and project risks could be divided between project participants ; and between private and public sector participants.
The financial CBA takes the perspective of the project cash flows and analyses to what extent the project is attractive to private investors. The economic CBA, also referred to as socio-economic CBA, takes a wider perspective, often that of the national economy. It includes and quantifies as much as possible the external costs and benefits of the project. The economic CBA study helps decision makers decide whether a contribution from public funds is justified.
2. Summarized Course Content
Introduction to cost-benefit analysis
• Aim of cost-benefit analysis
• Importance to policy-makers and link to Impact Assessment
• Importance to regulated utilities and infrastructure investment
• Ex ante and ex post cost-benefit analysis
• Guidance documents (including Treasury Green Book)
• Demand analysis
• Option analysis
• Technical analysis
• Financial analysis
Basic issues in cost-benefit analysis
• Defining the baseline
• Identifying costs and benefits
• Transfers and distributional impacts
• Using market prices to value impacts
• Taking account of inflation and relative price changes
• Discounting (How to discount future impacts, What discount rate to use)
How to deal with risk and uncertainty
• The importance of thinking about risk and uncertainty
• Scenario and sensitivity analysis
• Monte Carlo analysis
• Real options
In more detail : how to quantify costs and benefits
• Challenges in quantifying costs and benefits
• Methods of collecting data and analyzing impacts (Stakeholder engagement, Market research, Behavioral experiments, Statistical analysis, Case studies, Modelling)
• Assessing the additionally of impacts
• Adjusting for optimism bias
How to value non-market impacts
• Why non-market impacts are important
• Techniques for valuing non-market impacts (Using existing valuations, Stated preference, Revealed preference)
• Examples of how to value non-market impacts (Time savings, Carbon impacts, Other environmental impacts
3. Training methods
The training method will be based on the principle of adult learning in a participatory manner. Case studies used will be existing projects which participants will be involved in or their new projects in the design and preparatory stage. The aim of this approach is to ensure relevance and direct application of the tools acquired.
EPRN will issue completion certificates to participants who successfully attended the course and pass the course test.
Note : At the end of the course, the trainer will deliver a test, and ONLY participants who pass the course with at least 60% will get the certificate. Others will be advised to wait until another training opportunity for the same course (free of charge).
5. Training Fees
• Members : 40,000 Rwf
• Non-members : 100,000 Rwf
6. Application process
Interested applicants are encouraged to pay the registration fees through the following bank details :
• Bank Account : 00040 06945750 07 RWF (Bank of Kigali)
• Title of the Account : Economic Policy Research Network
Scan the bank slip and send it to : firstname.lastname@example.org and copy to : email@example.com OR bring the hard copy of bank slip to EPRN office at UR-CBE Gikondo (former SFB).
7. How to become ‘EPRN Member’ ?
• Key Membership Benefits are : Networking with other experts, professional trainings at a discounted rate, online free online training, research facilitation (mentorship and presentations), Study dissemination through policy debates and conferences, linkage to resource parsons/experts, easy flow of information through a wide network of experts, etc…
• Annual Membership Fees (valid from January to December each year) :
. Individuals : Senior members pay 50,000 Rwf (local) and 100,000 Rwf (international). Master Students and bachelor graduates pay 20,000 Rwf and Bachelor Students pay 5,000 Rwf.
. Institutional membership is also available : Development Partners, INGOs, Government Ministries and Government agencies pay 2 Million Rwf. Other Institutions like Universities, CSOs/NGOs, Private Companies pay 1 Million Rwf.
If you need further clarifications, call us through : 0788357648 or write to us : firstname.lastname@example.org
Mr Seth Kwizera