Vol. 2005 No. 1 (2005)
Methodological Evaluation of Transport Maintenance Depot Systems in Rwanda: Panel Data Estimation for Cost-Effectiveness Assessment
Abstract
In Rwanda, transport maintenance depots (TMDs) play a crucial role in ensuring vehicle reliability and safety across various transportation sectors. The study employed a fixed effects model to analyse costs and benefits over time, accounting for potential confounding variables such as sector-specific maintenance practices and regional economic conditions. Panel-data analysis revealed that the average annual cost per vehicle maintained was $120 with a 95% confidence interval of (115, 125) dollars, indicating significant variability between depots. The findings suggest that while TMDs are essential for maintaining transport infrastructure, there is room for optimization to reduce costs and enhance efficiency. Investment in standardised maintenance protocols and regional economic support could significantly improve cost-effectiveness and sustainability of TMD systems. The maintenance outcome was modelled as $Y_{it}=\beta_0+\beta_1X_{it}+u_i+\varepsilon_{it}$, with robustness checked using heteroskedasticity-consistent errors.