EFB106 Cost-Benefit Analysis for Project Appraisal ASSESSMENT 3

CRITICAL ASSESSMENT OF THE ADANI REPORT

Question 1 (20 marks): Provide critical analysis of Fahrer (2015)

Hints: Use the checklist listed in Snell 2009 (Chapter 6- textbook) as a guide while examining the above mentioned publications. Also in doing this, you are encouraged to follow each and every steps of the socio-economic CBA framework. In each step of the framework, you need to investigate both theoretical and practical issues. Several areas that you might consider to focus on.
Assess if all environmental, economic, social impacts of the proposed projects (i.e. the mine, the rail and the port) have been quantified in both physical and monetary terms in Fahrer (2015); Provide qualitative assessment on the quality of estimates and quantification conducted, reported or used in Fahrer (2015);
Provide qualitative assessment on potential biases and inaccuracies in those estimates and quantification conducted, reported and used in Fahrer (2015).
Provide qualitative assessment on the choice of methods, assumptions and techniques used Fahrer (2015). For example, assess (1) the appropriateness of methodologies, (2) the appropriateness of assumptions made, (3) the sensitivity of estimates and quantification with respect to the choice of discount rates, sensitive variables and assumptions.

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