Centre for Economic Evidence Tools and resources

The Rapid Cost-Benefit Analysis Tool (XLSX 1.51MB) can be used to complete Cost-Benefit Analysis (CBA) and produce: 

• net present values
• benefit-cost ratios
• sensitivity analysis
• distributional analysis. 

It should be used with the TPG23-08 NSW Government Guide to Cost-Benefit Analysis (PDF 2.7MB) and is designed to help practitioners complete CBA steps 5-7.

• User guide for the Rapid CBA tool (PDF 755.67KB).

The Outcome Values Database (XLSX 1.63MB) (OVD) is a collection of outcome values and data sets collected from government agencies, sector CBA frameworks, and past CBAs. 

The OVD aims to promote consistency and transparency across government when estimating economic and social outcomes in CBA. The database is not exhaustive or mandatory for use in CBA. 

How to us the OVD

You should decide if the OVD values are right for your project. Large or complex projects might need specific parameters instead of the ones from the OVD. Any parameters you use from the OVD should be documented in your CBA report.

OVD values are updated to current year dollars using the consumer, wage, or producer price index, depending on which is most relevant to the parameter you are questioning.

Limitations and caveats

Make sure to use the most recent and suitable parameters in your CBA. Any data limitations should be clearly outlined and acknowledged.

The NSW Treasury Employment Calculator (XLSX 278.2KB) is a tool for agencies to estimate the number of jobs supported by government initiatives. It aligns with existing guidance on how analysis of employment supported by government spending should be performed, outlined in TPP09-7 policy paper (PDF 420.7KB) and TRP09-3 methodology framework (PDF 347.48KB).

The calculator uses 2018-19 Australian Bureau of Statistics (ABS) input-output tables to derive employment multipliers - the number of full-time jobs supported per $1 million of government spending - for government initiatives. It has not been updated with more recent input-output data because of the impact of COVID-19 on the economy.

The calculator is one way to estimate employment impacts and should be used with other assessment methods, like CBA.

It was updated in October 2024 to make it easier to use and will continue to be updated over time. 

We developed the tool to help with agency requests to quickly estimate the employment impacts of programs or investments. It offers a standard way to estimate employment impacts and compare programs.

How to use the calculator

Before you begin using the calculator read the 'ReadMe', 'Approach and Guidance' and 'Limitations' tabs in the spreadsheet. This will help you understand how the model works and how to use the results.

You should document your inputs and base them on reliable information. The key inputs needed are:

• the name of the investment proposal
• the industries impacted by the investment proposal
• the distribution of government spending across time and industries.

The job numbers from the calculator refer to jobs supported across Australia. Impacts can't be attributed to any one location as the multipliers come from ABS National Accounts data. Multipliers for NSW alone would be lower due to strong economic linkages between states.

When using the calculator, you are responsible for the results. Users must not attribute results to NSW Treasury without permission.

Limitations and caveats

Input-output multipliers provide an indication of the potential impacts of government expenditure on the economy under strict assumptions. They do not, measure community welfare and are supplementary to CBA.

Input-output multipliers also tend to overestimate employment impacts. To address potential overestimation, the calculator incorporates direct and indirect industry employment impacts but excludes consumption effects. This method is commonly applied across jurisdictions and helpful when comparing projects. 

The Flood Cost-Benefit Analysis Tool was developed in partnership with, and is maintained by the Department of Climate Change, Energy, the Environment and Water and supports rapid and detailed assessment of flood resilience initiatives.

The tool calculates flood damage and applies the recommendations in the Disaster Cost-Benefit Framework. It's supported by a detailed technical note (PDF 3.46MB) that has advice on choosing parameters, a worked example, and a user guide.

Quality assessment (QA) tools provide a structured approach to assess and improve the quality of cost-benefit analysis and evaluations. They are additional resources that can help users to apply the guidelines, or for those reviewing proposals or evaluations. 

When to use QA tools

Our QA tools include:

• The Ex-ante Cost-Benefit Analysis Quality Assessment Tool (DOCX 74.18KB) supports reviews aligned to the Guide to Cost-Benefit Analysis (TPG23-08) (PDF 2.7MB).
• The Process and Outcome Evaluation Tool (PDF 302.16KB) supports reviews aligned to the Evaluation Guidelines (TPG22-22) (PDF 9.31MB) and associated resources.
• The Ex-post Cost-Benefit Analysis Quality Assessment Tool (PDF 207.14KB) supports reviews aligned to the:
  • Evaluation Guidelines (PDF 9.31MB)
  • Guide to Cost-Benefit Analysis (TPG23-08) (PDF 2.7MB)
  • Ex Post Cost-Benefit Analysis Technical Note (PDF 603.57KB).  

The e-learning modules introduce the NSW Government Investment Framework and cover the basics of: 

• business cases
• cost-benefit analysis
• monitoring and evaluation planning
• evaluation.

Investment Framework e-learning modules are for: 

• agency staff and others involved in developing business cases, cost-benefit analyses and evaluations
• Treasury staff involved in reviewing and advising on business cases, cost-benefit analyses and evaluations.

After completing the modules, you should understand:

• the purpose and stages of the NSW Government Investment Framework
• the role of Treasury and when to engage Treasury during business case development
• the basic requirements for NSW Government business cases, cost-benefit analyses and evaluations  
• where to look for further guidance and resources. 

Treasury will not collect data from user participation in modules.

Introduction to NSW Government Investment Framework