Incentive Contracts for Road Construction to Reduce Greenhouse Gas Emissions

  • Mathagul Metham Suranaree University of Technology
  • Vacharapoom Benjaoran Suranaree University of Technology

Downloads

Download data is not yet available.

Abstract

Road constructions play a significant role in greenhouse gas (GHG) release into the atmosphere due to a large amount of materials consumption. To reduce emission has an effect on project costs. This research proposes an incentive measure named the Construction-Emission-Punishment (CEP) bidding method which offers emission reduction options and incentives for participating bidders. An equivalent bid price and a financial penalty will be specified in the construction contract as a part of this method. This penalty is applied when there is a failure to comply with binding obligations. The results show that the rates of the emission deduction from the six reduction options account for 0.115%-2.768% of the project cost. The case study also shows that a bidder who receives some emission deductions can be the winner. The effectiveness of the CEP method depends on the bid price gaps among the bidders and the emission deduction from the selected options.

View article in other formats
Author Biographies
Mathagul Metham

School of Civil Engineering, Suranaree University of Technology, Nakhon Ratchasima 30000, Thailand

Vacharapoom Benjaoran

School of Civil Engineering, Suranaree University of Technology, Nakhon Ratchasima 30000, Thailand

Published
Vol 22 No 5, Sep 30, 2018
How to Cite
M. Metham and V. Benjaoran, “Incentive Contracts for Road Construction to Reduce Greenhouse Gas Emissions”, Eng. J., vol. 22, no. 5, pp. 105-122, Sep. 2018.

Authors who publish with Engineering Journal agree to transfer all copyright rights in and to the above work to the Engineering Journal (EJ)'s Editorial Board so that EJ's Editorial Board shall have the right to publish the work for nonprofit use in any media or form. In return, authors retain: (1) all proprietary rights other than copyright; (2) re-use of all or part of the above paper in their other work; (3) right to reproduce or authorize others to reproduce the above paper for authors' personal use or for company use if the source and EJ's copyright notice is indicated, and if the reproduction is not made for the purpose of sale.

Article Statistics
Total PDF downloads: 85