Wednesday, January 27, 2016

Researcher: Swedish investments in infrastructure are unprofitable – Swedish Radio

The Swedish government decides often on large infrastructure projects – even though calculations indicate that they are economically unviable.

It notes SNS Economic Policy in a report published today.

The researchers behind the report is directed scathing criticism against what they say is a systematic waste of taxpayers’ money.

Maria Börjesson is one of four researchers concluded in the economic council, which on behalf of the politically independent study Association for Business and Society, has examined the Swedish transport policy.

– There is very highly profitable investments that never made and so there are very many unprofitable things done. We put the money on the wrong things, we are wasting them simply, she says.

The researchers have both have studied a number of current and already completed infrastructure investments in the multi-billion dollar, and looked at how the decision-making process go to.

The researchers argue therefore that economically profitable infrastructure investments often replaced because the Swedish government instead focuses on economically unprofitable prestige project.

– This includes on the West Link, Botniabanan and högastighetståg that is up now. And it’s not that there are not benefits of these projects, because there are. The problem is that the required resources are still much higher than what travelers and the community get out of it.

The biggest problem According to the report’s authors that the politicians do not care about the economic analyzes enough much.

– We point to problems in the decision making that makes you not using knowledge-based decision support to any great extent, especially not the government. And it points out the also the Auditor General once again.

Economic Council gives in its report several proposals for changes in the decision process for large infrastructure projects, where the socio-economic analysis is given greater weight. The aim of the proposals is that public resources will be used more efficiently.

– As taxpayers and citizens of this country, I am very upset that you do not use money that you take from the population at a taxation on a more elaborate, says Maria Börjesson.

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