Estimating Indirect Primary Benefits

Indirect primary benefits can be evaluated by developing a checklist of potential project technological external effects and assessing each one of them. For example, the checklist for a flood management project could include the interruptions of transportation and communication facilities avoided, the number of workers and farmers depending on closed plants in the flood effected areas, and the amount of business lost by enterprises providing supplies to and utilizing materials from flooded areas and so on. The magnitude of each effect may be estimated by interviewing those affected during recent floods.

It may, however, be extremely difficult to identify and quantify all indirect effects, which could be attributed to flood management. The list should include only those which may be easily identified as logical consequences of the project at the time of its formulation. The indirect effects which cannot be quantified should, however, be listed and described in a qualitative manner. There may be situations in which even the qualitative descriptions may turn out to be crucial for decision-making. It will be even more useful if the qualitative aspects are quantified through a Multi-criteria analysis.


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