From 2006 to 2010 the city of Copenhagen has devoted approximately 27 million EUR to specific bicycle projects. So far the funds have among other things been used for new cycle paths, cycle parking, redesign of intersections and big campaigns to promote cycling. Moreover, the city has set up a range of goals for cycling in Copenhagen to be achieved by 2015. These include making more Copenhageners cycle and increase perceived safety for the cyclists.
There is no established methodology for evaluating the economic costs and benefits of cycle projects in Denmark. For instance, the official manual for economic cost-benefit analyses from the Ministry of Transportation does not contain recommendations with regard to cycling, and there is no official methodology and no unit prices for cost-benefit analysis of bicycle projects. In order to evaluate cycling on equal terms with other modes of transport and improve the foundation for prioritization of resources for transportation, it is necessary to establish a methodological basis as well as unit prices for cycle transport. The City of Copenhagen asked COWI to take the first steps in this direction by carrying out a project for evaluation of cycle initiatives. The purpose of the project was to:
1 Establish an initial methodological foundation for economic cost-benefit analyses (CBA) of cycle initiatives in the form of unit prices.
2 Carry out cost-benefit analyses of two cases (Bryggebroen and the intersection in Gyldenløvsgade) on the basis of these unit prices.
3 Evaluate potential network effects arising from cycle projects.
The established unit prices are evaluated on a general term based on existing material and - in the cases where the existing material was limited - best guess assumptions. Hence, the results should be perceived as a first rough estimate of the unit prices for cycle economics.