Feasibility Study of An Underpass Tunnel Construction at Silpakorn University

This work is a feasibility study of an underpass tunnel construction project at Silpakorn University based on a case study using cut-and-cover tunnel construction method. The project income is evaluated from estimated accident damage while the expenses consist of initial, operating, and maintenance costs. Consequently, both income and expenses are utilized as input variables, with the project lifetime of 20 years and 5% of discount rate. Moreover, the basic financial tools - namely net present value (NPV), internal rate of return (IRR), benefit-cost ratio (BCR), and payback period (PB)- are applied to find the investment feasibility. After analysis, the calculated NPV, IRR, BCR, and PB are 124,973,599.62 THB, 7.60%, 1.22, and 14 years and 5 months, respectively. Therefore, the project is feasible for investment and also cost-effective. Furthermore, sensitivity analysis shows that the project has low sensitivity, therefore suitable for investment in Thailand, where inflation rate fluctuation is low.