Sustainable Asset Valuation (SAVi) of a Public Bicycle Sharing System in Dwarka, New Delhi, India

The report assesses a proposed Public Bicycle Sharing (PBS) system in Dwarka, New Delhi, using the SAVi methodology to value nine externalities. While a conventional cost-benefit analysis shows the project is financially deficient due to high capital and operational costs relative to user fees, the integrated SAVi analysis reveals significant societal net benefits across three demand scenarios. These benefits include improved public health, reduced air and noise pollution, lower CO2 emissions, and increased retail and property values. The findings suggest that the PBS system is a worthwhile investment from a societal perspective and provides benchmark values for the municipality to invest in supporting bicycle and safety infrastructure.

• A conventional cost-benefit analysis indicates the PBS system is financially unattractive under all demand scenarios, as total costs of INR 121,270 per day exceed revenues from user and subscription fees.
• When integrating environmental, social, and economic externalities, the PBS system becomes a worthwhile societal investment. For the high-demand scenario, the discounted net value of the high-value estimate over 20 years exceeds INR 12.4 billion.
• The PBS system is expected to generate significant health benefits through increased physical activity, though this is partially offset by health impairments for pedestrians who switch to cycling and thus reduce their total active time.
• The system is projected to reduce air pollution costs, with the highest reductions coming from the replacement of motorized 2-wheelers and auto rickshaws. In the high-demand scenario, the avoided air pollution cost ranges from INR 71,917 to INR 729,805 per day.
• A negative externality is identified as the increased health cost for cyclists due to higher inhalation rates and direct exposure to Delhi's high background concentrations of PM2.5. This cost is highest in the high-demand scenario at INR 116,610 per day.
• The PBS system is expected to increase local economic value through higher retail spending and a one-time increase in property values due to improved walkability. Property value increases are estimated between 5 per cent and 15 per cent.
• The system contributes to climate goals by reducing CO2 emissions, particularly by replacing bus trips. The high-demand scenario reduces the social cost of carbon by more than INR 4,300 per day.
• The SAVi results provide a financial benchmark for the municipality to invest in supporting infrastructure, such as bicycle lanes and street lighting. Even under low-demand and conservative estimates, the discounted lifecycle cost for such infrastructure could be up to INR 3.143 billion.

APA

Wuennenberg, L., Bassi, A. M., & Pallaske, G. (2020). Sustainable Asset Valuation (SAVi) of a Public Bicycle Sharing System in Dwarka, New Delhi, India. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/savi-dwarka-india-bicycle-sharing-en.pdf

Chicago

Wuennenberg, Laurin, Andrea M. Bassi, and Georg Pallaske. Sustainable Asset Valuation (SAVi) of a Public Bicycle Sharing System in Dwarka, New Delhi, India. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/publications/savi-dwarka-india-bicycle-sharing-en.pdf.

Wikipedia

{{cite report |last1=Wuennenberg |first1=Laurin |last2=Bassi |first2=Andrea M. |last3=Pallaske |first3=Georg |title=Sustainable Asset Valuation (SAVi) of a Public Bicycle Sharing System in Dwarka, New Delhi, India |publisher=International Institute for Sustainable Development |date=January 2020 |url=https://www.iisd.org/system/files/publications/savi-dwarka-india-bicycle-sharing-en.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{wuennenberg2020sustainable, author = {Wuennenberg, Laurin and Bassi, Andrea M. and Pallaske, Georg}, title = {{Sustainable Asset Valuation (SAVi) of a Public Bicycle Sharing System in Dwarka, New Delhi, India}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = jan, url = {https://www.iisd.org/system/files/publications/savi-dwarka-india-bicycle-sharing-en.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }