A Sustainable Asset Valuation of the Tirana-Durres Railway in Albania

The SAVi assessment of the Tirana-Durres railway project in Albania demonstrates that while the project is not economically viable based on traditional financial metrics, it provides substantial societal benefits. The project, estimated to cost EUR 58.78 million, is projected to generate cumulative discounted net benefits of EUR 270.34 million between 2023 and 2053. The most significant gains come from avoided vehicle operating costs (EUR 96.78 million) and health benefits from reduced air pollution and increased physical activity (EUR 44.93 million). The sustainable benefit-cost ratio (S-BCR) is 4.25 (or 4.79 in Table 1), compared to a conventional BCR of 0.12.

• The rehabilitation of the Tirana-Durres railway, including a connection to Rinas International Airport, is estimated to cost EUR 58.78 million for a total railway length of 34 km.
• The project is projected to deliver a cumulative net benefit of EUR 415.51 million from 2023 to 2053, which amounts to EUR 270.34 million when discounted at 3.5%.
• The most significant individual benefit is the reduction of vehicle operating costs, including fuel and maintenance, valued at EUR 96.78 million in discounted terms.
• Other quantified benefits include health improvements from reduced air pollution and increased activity (EUR 44.93 million), time savings from reduced congestion (EUR 44.39 million), avoided traffic accident costs (EUR 41.61 million), and income from new railway employment (EUR 38.41 million).
• Traditional financial analysis suggests the project is not viable with a benefit-cost ratio (BCR) of 0.12, but the sustainable BCR (S-BCR), which accounts for social and environmental externalities, is significantly higher at 4.25 (noted as 4.79 in the results table).

APA

International Institute for Sustainable Development (n.d.). A Sustainable Asset Valuation of the Tirana-Durres Railway in Albania. https://www.iisd.org/system/files/2024-02/savi-tirana-durres-railway-albania-summary.pdf

Chicago

International Institute for Sustainable Development. A Sustainable Asset Valuation of the Tirana-Durres Railway in Albania. n.d. https://www.iisd.org/system/files/2024-02/savi-tirana-durres-railway-albania-summary.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=A Sustainable Asset Valuation of the Tirana-Durres Railway in Albania |url=https://www.iisd.org/system/files/2024-02/savi-tirana-durres-railway-albania-summary.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopmentndsustainable, author = {{International Institute for Sustainable Development}}, title = {{A Sustainable Asset Valuation of the Tirana-Durres Railway in Albania}}, institution = {International Institute for Sustainable Development}, url = {https://www.iisd.org/system/files/2024-02/savi-tirana-durres-railway-albania-summary.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }