Social and economic value of ferry services connecting the national road network in Uganda

Abstract

This is the first study that seeks to demonstrate the social and economic value of the ferries that link the Ugandan national roads network. Uganda National Roads Authority (UNRA) is responsible for maintaining, operating and developing the national roads network, which comprises 20 544 km of roads, 519 bridges and nine ferries. Apart from bridging the national road network disconnected by water bodies, the ferries in particular have a significant economic and social impact on remote communities, providing safer, shorter connections to social services and also boosting business by reducing the transportation time and cost of goods. Preliminary data analysis estimated the initial capital cost of the nine ferries managed by UNRA at US$38.16 million with a current asset value of US$16.36 million. They transport about 3.2 million passengers annually as well as about 1.06 million tonnes of cargo. Using the contingent valuation method, the social value of these ferries is estimated at US$10.95 million and they generate direct employment worth 126 full-time equivalents (FTEs) annually (1 FTE being 40 h/week). In addition to this, ferries serve remote communities and half of their passengers are women and youth, which are groups identified in the sustainable development goals as vulnerable but necessary for the economic growth of developing countries.