A COST–BENEFIT ANALYSIS OF NG-ECALL DEPLOYMENT FOR CYCLIST SAFETY IN THE EU-27
A COST–BENEFIT ANALYSIS OF NG-ECALL DEPLOYMENT FOR CYCLIST SAFETY IN THE EU-27
Daniela ZIRRA, George CĂRUŢAŞU, Nicoleta Luminiţa CĂRUŢAŞU
1 Department of Commerce, Economic Integration and Business Administration, School of International Business, Bucharest, Romania
2 Department of IT, Statistics and Mathematics, School of Computer Science for Business Management, Romanian-American University, Bucharest, Romania
3 Department of Robotics and Production Systems, Faculty of Industrial Engineering and Robotics, University Politehnica of Bucharest, Bucharest, Romania
daniela.zirra@rau.ro; george.carutasu@rau.ro; nicoletacarutasu@yahoo.com
Abstract: This paper seeks to evaluate the economic and social feasibility of implementing NG-eCall technology to enhance cyclist safety in the European Union (EU-27). Furthermore, it was designed to determine to what degree the benefits generated by this technology outweigh the costs associated with its implementation. The study is empirical and quantitative in nature, based on the cost-benefit analysis (CBA) method, applied using European statistical data on road accidents, as well as projected scenarios for the period 2026–2035. The research employs economic indicators such as net present value, benefit-cost ratio, and rates of reduction of fatalities and serious injuries. Both direct costs (software development, equipment, operation) and monetized benefits (lives saved and reduction of severe injuries) were incorporated, estimated through standard indicators such as the value of avoiding a death and a serious injury, based on the Value of a Statistical Life (VSL). The analysis begins from the observation that cyclists represent a vulnerable category of road users, accounting for approximately 9% of all road deaths and over 21% of serious injuries at EU level, and the evolution of these indicators has remained relatively stable over the last decade, which indicates the limited effectiveness of existing measures. The paper develops three scenarios (Do nothing, Do minimum and Do something), which differ in the degree of implementation of NG-eCall technology, from the absence of intervention to the extensive integration of smart devices and dedicated applications. The results demonstrate that the scenarios involving the adoption of the technology lead to significantly higher benefits than the associated costs, both by reducing the intervention time in the event of an accident, and by increasing the chances of survival and reducing the severity of injuries, while also contributing to enhancing perceived safety and promoting cycling as a sustainable mode of transport. The conclusions indicate that the implementation of NG-eCall for cyclists is economically and socially justified, providing value for public decision-makers, contributing to effective road safety policies and supporting European sustainable mobility objectives.
Keywords: Cost Benefit Analysis; Cyclists Safety; NG-eCall Technology; Vulnerable Road Users; European Union.
JEL Classification: R41; O31.
