Toll Tax Across India To Rise By 5-10% From April 1: Report.
With the Ministry of Road and Transport's clearance, the revised tariffs will go into effect on April 1. The toll tax for cars and other light vehicles will go up by 5% every trip, and it might go up by 10% for big vehicles.
Toll Tax Across India To Rise By 5-10% From April 1: Report
The National Highway Authority of India (NHAI) is prepared to increase the toll levy, according to reports on Sunday, which might make using national highways and motorways a little more expensive starting on April 1. The toll fee will rise by 5% to 10%.
According to the National Roads Fee (Determination of Rates and Collection) Rules from 2008, tariff modification takes place every year. According to a report by ABP news, the Project Implementation Unit (PIU) of NHAI would send the proposal for the revised toll prices by March 25.
With the Ministry of Road and Transport’s clearance, the revised tariffs will go into effect on April 1. The toll tax for cars and other light vehicles will go up by 5% every trip, and it might go up by 10% for big vehicles.
Toll Tax Rates
The toll levy was raised between 10% and 15% in 2022, which resulted in a tariff price increase of between Rs 10 and Rs 60 for all types of cars using the national highway system.
At the moment, the expressway’s toll fee is being collected at a rate of Rs 2.19 per kilometre. A rise in toll fees will also affect the 135 km long, six-lane “Eastern Peripheral Expressway” and the Delhi-Meerut Expressway.
Monthly Pass
According to a report by the Mint, the monthly pass option, a less expensive benefit provided to individuals who live within 20 kilometres of the toll plaza, will also increase by 10%.
There is no provision for exemption for those who reside within a specific radius of a user fee plaza, according to the National Roads Fee Rules of 2008.
However, under the National Highways Fee (Determination of Rates and Collection Regulations, 2008), a person who owns a vehicle registered for non-commercial use and lives within 20 kilometres of the charge plaza is eligible for a monthly pass at the rate of Rs 315 per month for the financial year 2022–23 for unlimited travels via a fee plaza, provided a service road, or alternate route is not usable.
Moreover, a closed user fee collection system is not covered by this provision.
Rise in National Highway Toll Collection
According to data analysed by News18, the toll collected on national highways during the fiscal year 2022 was Rs 33,881.22 crore, at least 21% more than the toll collected the prior year. With a total tariff of 1,48,405.30 crore since 2018–19, the amount of tolls collected on the nation’s highways has seen a 32% increase.
The total toll collected through FASTag on charge plazas on both interstate and state highways in 2022, or an average of Rs 139.32 crore per day, was Rs 50,855 crore, according to the ministry of road transport and highways (MoRTH).
A gadget called FASTag uses Radio Frequency Identification (RFID) technology to enable toll payments to be made directly from moving vehicles. The FASTag (RFID Tag) is attached to the vehicle’s windscreen and allows users to pay tolls using the account that is connected to it.
The Delhi High Court requested the National Highways Authority of India (NHAI) and the Centre’s answer to a petition contesting the rule requiring vehicles without FASTag to pay double the toll fee. The petition was filed in December of last year.
The high court set a new hearing date of April 18 and gave the government four weeks to submit its responses.
What does this mean for commuters?
For commuters, this means an increase in the cost of travel, particularly for those who frequently use the national highways. The increase in toll tax is likely to have a significant impact on the overall cost of transportation, which may ultimately be passed on to consumers. It is also expected to impact the logistics industry, which relies heavily on the national highways network to transport goods across the country.
Why is the increase necessary?
The increase in toll tax is necessary to help fund the maintenance and operation of the national highways network. The national highway network is crucial for the transportation of goods and people across the country, and it requires significant resources to maintain and operate. The increase in toll tax is expected to generate additional revenue that can be used to fund the ongoing maintenance and operation of the network.
How will the funds be used?
The funds generated from the increase in toll tax will be used to improve the quality of the national highways network. This includes repairs and maintenance, as well as the construction of new highways where necessary.
The Ministry of Road Transport and Highways has also announced plans to increase the number of electronic toll collection lanes across the country, which will help to reduce congestion at toll plazas and improve the overall efficiency of the network.
What are the benefits of the increase?
The increase in toll tax is expected to have several benefits for commuters and the logistics industry. By improving the quality of the national highways network, it will help to reduce travel times and improve safety for commuters.
It will also help to improve the efficiency of the logistics industry by reducing transportation costs and increasing the speed of deliveries. Finally, the increase in toll tax is expected to generate additional revenue that can be used to fund other important infrastructure projects across the country.
Conclusion
While the increase in toll tax may be an unwelcome development for some, it is necessary to ensure the ongoing maintenance and operation of the national highways network.
Improving the quality of the network will ultimately benefit commuters and the logistics industry by reducing travel times, improving safety, and increasing efficiency. The increase in toll tax is a necessary step towards ensuring that India’s infrastructure remains world-class and able to meet the needs of its citizens.
Edited by Prakriti Arora
