Financial feasibility analysis of truck parking terminal—A case study

Abstract

To circumvent the problem of haphazard movement of trucks in the Kandla port area, it becomes important to plan the parking terminal to satisfy the desired demand for parking of all goods-carrying vehicles under the influence of the port. This will result in time and cost savings for all the associated transport agencies. In lieu of that the vehicle may charge an entry fee to meet out the construction and maintenance cost. The study is taken up to access the financial feasibility of the project for the concession period of 10 years. Hence, a financial analysis is carried out to determine the viability of the idea. The objective of such a study was to ensure that a project is worth investment or not. The financial evaluation of the project is carried out considering three growth scenarios: normal, optimistic, and pessimistic with three levels of occupancy (100, 80, and 70%). Three patterns of parking charges are also considered for providing useful tool to the policy makers for implementing the project.