TRL2601 REVISION PACK 2021

TRL2601 Study Unit 1 1. WHAT IS TRANSPORT?  It is the displacing of people or goods over a distance and time regardless of the method by which this movement is effected.  We cannot live without transport as it provides us with mobility and enables movement. 2. DISCUSS THE ECONOMIC MEANING OF TRANSPORT / UTILITY OF TRANSPORT / WRITE A BRIEF NOTE ON THE PART THAT TRANSPORT PLAYS IN INCREASING UTILITY OF GOODS  Utility is the capacity of a commodity to satisfy human wants.  Transport has the economic meaning as it increases utility or usefulness of goods or products: o Place utility –the value created or added to a product by making it available for purchase or consumption at the right place where it is needed. Transport adds utility to products by moving raw materials, inventory and finished goods from point of origin to consumption. This also applies to passenger transport (eg. A candidate who has to be in an interview in time). o Time utility – implies that the service or product is provided when needed (eg. Demands for jackets or blankets exist mostly in winter and disappears in summer). Products not available at a time when there is demand has no value or utility. Effective transport creates time utility by making products available at the right place and at the right time. This also applies to passenger transport o Quality utility – products must be transported in such a way that their essential qualities are not reduced or lost. They must arrive at their final destination undamaged and in a usable state (eg, breakables, food, etc). Passengers also require a quality transport service which refers to the provision of safe, reliable, convenient & frequent transport. 3. THE DEMAND FOR TRANSPORT IS REGARDED AS A DERIVED DEMAND. WHAT DOES THIS IMPLY?  It implies that transport is not a demand on its own right because you have to get to the final destination in order for it to be beneficial.  The need for transport is derived from the demand for something. 4. DEFINE SUSTAINABLE TRANSPORT It is one that :  Allows the basic access & development needs of people to be met safely 7 promotes equity within & between successive generations (social dimension)  Is affordable within the limits imposed by internationalisation of external costs, operates fairly & efficiently & fosters a balanced regional development (economic dimension)  Limits emissions of air pollution & GHG’s as well as waste & minimises the impact of the use of land & the generation of noise (environmental dimension)  Is designed in a participatory process which involves relevant stakeholder in all parts of the society. Reduces short and long-term negative impacts on the local and global environments, has economically viable infrastructure and provides safe and secure access for both persons and goods. 5. DISCUSS THE CHARACTERISTICS OF TRANSPORT 1. The derived nature of demand for transport 1  This implies that the demand for transport is derived or triggered by the demand for something else. 2. The cyclical nature of the demand  Repetitive nature of people’s needs gives rise to repetitive cyclical need for transport (eg. Commuter trips to work or school)  Cycles may occur daily, weekly, monthly or even yearly.  Demand for passenger transport may vary according to the hour, day, week, time of the months and season and capacity must be made available to meet the peak demand.  Empty leg trips or back haul refers to when the demand for passenger and goods transport goes in one direction only. 6. DEFINE THE TRANSPORT PROCESS & OUTLINE THE MAIN FACTORS THAT INFLUENCE IT  It is a closed series of activities necessary for moving goods or passengers from their point of origin to destination and which form a single unit.  Factors influencing the transport process are: o Technology –technology in the transport process may differ as there are differences in various forms of transport (eg. Air, land & water transport). This can further be subdivided into modes of transport (eg. Road, road, pipeline, etc). o Economy – transport activities require optimal use of scarce resources (al, energy, labour, etc). The production and delivery of transport services bears costs which transport companies recover from users through prices charged. o Environmental demands – transport activities may create a health risk and cause damage (eg. Pollution, congestion costs to the social & ecological environment). Government intervenes through legislation and regulations pertaining to transport operations to ensure safety of transport users (eg. Compulsory road worthy vehicle tests, legal requirements of people to wear seat belts,etc). o Coordination – can either be by means of a market mechanism, private public partnership or government. 7. DESCRIBE COORDINATION IN THE TRANSPORT PROCESS  Coordination by means of a market mechanism