This study proposes a new methodology to estimate the traffic capacity of a personal rapid transit(PRT) system. The proposed method comprises three steps. The first step models the guideway network(GN) of PRT as a digraph, where its node and link represent a station and a one-way guideway link between two stations, respectively. Given local vehicle control strategies, the second step formulates the local traffic capacities through the nodes and links of the GN model. The third step estimates the worst-case local traffic demands based on a shortest-path routing algorithm and an empty vehicle allocation algorithm. By comparing the traffic estimates to the local traffic capacities, we can determine the feasibility of the given GN in traffic capacity.