The Disaster Cost-Benefit Framework (TPG23-17) provides guidance on how to undertake disaster resilience cost-benefit analysis (CBA).
The Framework sits under and follows the same principles and requirements of the NSW Government Guide to CBA (TPG23-08).
The Framework aims to improve the robustness and consistency of disaster resilience CBAs to support decision making and well targeted investment. It includes:
- recommendations on how to consider, analyse, and present information about the risk and uncertainty associated with disasters where impacts can be dominated by low frequency high consequence events
- a rapid assessment framework to facilitate timely, transparent, and logical prioritisation where there is insufficient time to complete a full CBA
- a requirement for ex-post evaluation where a business case and CBA would be required up front but where this is impracticable given the need for a rapid response
- a Flood CBA Tool to support the quantification of costs and benefits for flood resilience initiatives.
Further resources
Flood Cost-Benefit Analysis Tool
The Flood CBA Tool can be used to calculate damages associated with flooding, complete a CBA and a Monte Carlo analysis. This Technical Note provides details of the tool’s functions, parameters and inputs. It also provides a worked example and user manual.
For further information please contact Treasury’s Centre for Economic Evidence [email protected].