Evaluation of efficiency of the Common Measures - measures for land accessibility, implemented within land consolidation

Abstract

By the means of Land Consolidation is understood, in accord with law No. 139/2002 Coll., spending of funds on land consolidations and land offices, provided the accessibility of grounds in public interest. Land consolidations also ensure the conditions for improvement of the ecosystem, protection and reclamation of land resources, waterway management and the increase of the ecological stability of landscape. All mentioned measures are collectively called the Common Measures, rural roads being one of the most significant of these measures as far as the ground accessibility is concerned. According to the Ministry of Agriculture and the Central Land Office (MZe, ÚPÚ) statistics, for instance in 2008, over 707.4 million CZK was spent on the common measures projects from the public funds. Of this sum, 82 per cent was spent on financing of the land accessibility projects – rural roads and objects on them. The Cost & Benefit Analysis (CBA) method was applied. The analysis explains step by step what benefits the investment projects bring and to whom, as well as what and from whom it takes something away. Thus defined effects and impacts are aggregated, converted into financial flows and included in the calculation of criteria indicators. These calculations enable to make decision whether the concerned project is in its consequences generally contributive. There is a difficulty in the method – it is applied ex-ante, which usually leads to the exaggerated input parameters, which may be significantly affected by a number of variable effects (time factor, socio-economic impacts, inflation rate, etc.). The ex-post application of the method cannot be objectively used due to the absence of the statistically processed input data for the analysis. Such data must be collected during the operational period of the realized investments. This is caused by the fact that these analyses consider lifetime of these investments in terms of 25–30 years. The ÚPÚ statistics, however, say that the operational period of most of realized common measures has not reached one half of their lifetime yet. The ex-ante analysis enables to evaluate the possible difficulty and the general benefit of projects, including their impact on the broad spectrum of subjects.