Abstract
This study estimates the environmental impact and the value of travel time savings for commuters who travel to Colombo city in traffic congestion when the proposed monorail system is in place. The model considers an introduction of a monorail into a mono-centric city with symmetrically distributed radial highways converging toward the central business district (CBD), with an inelastic commuter demand. We compare the CO2 emission amount as well as aggregate travel time savings from different monorail scenarios, with the introduction of a toll as a necessary condition to generate an efficient outcome. The results show that for a monorail running at an average speed of 40km/h a length of 26.8km from the CBD will optimize investment and contribute travel time savings of 105 million Rs. per day or 189 million USD per year to the Sri Lankan economy, resulting in the CO2 emission reduction by 42%. A sensitivity analysis is conducted to evaluate the effects of monorail speed, commuter income, and population growth.
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