[TusharK]

The National Highways Authority of India (NHAI) has increased the toll fee for all national highways and expressways across India by 4-5%. The new toll rates will come into effect from April 1, 2025.



According to a senior ministry official, the toll rates are linked to the changes in the wholesale price index-based inflation and are revised annually as per the National Highways Fee (Determination of Rates and Collection) Rules, 2008.

There are approximately 855 toll plazas spread across the national highway network. These include 675 public-funded toll booths and 180 that are operated by concessionaires.

Source: Money Control

Link to Team-BHP news

[ike]

I still remember all the speculations about a "one time fee during registration" and "yearly fee" of a few thousand bucks that would enable people to use all highways cost effectively in a dedicated thread

I'm always glass half empty these days when it comes to the government giving anything away these days.

[deadguy25]

In the initial days of establishing toll booths on NHAI, there was news about lowering the tool fees as the years passed after recovering the money spent on building those roads.

[SuhasSalavathsa]

It's really bad to see hikes on every segment. It's a one way route where only the taxes are increasing but not the quality of service. I sometimes travel in the Mysuru Bengaluru express way and end up paying 330 INR for approximately 130 KMS. There is technically no realistic benchmarks on setting fares. All that we end up hearing is inflation. Don't know when things will change here.

[Rodie09]

Clearly the toll fees are a revenue stream and not limited to recovery of investment and for maintenance alone.

After a certain period, which could be 15,20 years (should be predefined just as for one's home loan), the repayment of investment should stop just as the EMI for one's home loan would stop. After that point, toll fees should only be collected to meet the maintenance costs akin to property tax + maintenance one pays for their apartments/houses.

Clearly above is not the case here and we are being taken for a ride by the authorities.

[phoenix1386]

As @deadguy25 mentioned, toll was supposed to reduce after 5 years, having recovered the cost. That never happened. But hey, let's just be proud citizens; keep paying and stay silent. What else can we do!

[Quoter]

Originally Posted by Rodie09

Clearly the toll fees are a revenue stream and not limited to recovery of investment and for maintenance alone.

After a certain period, which could be 15,20 years (should be predefined just as for one's home loan), the repayment of investment should stop just as the EMI for one's home loan would stop. After that point, toll fees should only be collected to meet the maintenance costs akin to property tax + maintenance one pays for their apartments/houses.

Clearly above is not the case here and we are being taken for a ride by the authorities.

I believe there has been an official statement from GoI stating that tolls are for perpetuity and have no correlation with recovering the cost. Essentially its a new form of taxation.

[Rodie09]

I agree with the 'perpetuity' part for the maintenance and upkeep. I do not agree to the quantum of toll not coming down after decades. Of course that's my opinion which hardly matters

[kgt.v8]

This is another example of short-sighted decision from whoever is approving these decisions. You cannot milk the common man to eternity. Just like everyone before has said, the toll tax has to be abolished or reduced after say 5-10 years. The infrastructure maintenance cost should be lesser over period of time.

I understand the highways are improving, but the taxes that we pay have also increased while the incomes have not increased. This post COVID era is breaking back of common man and reducing their savings.

The commercial vehicles (6+ wheelers) are charged lot of tolls. When you increase 4%, the toll on commercial vehicle transit increases, which will increase transit cost from factory to last mile. This will lead to increase in cost of items. The increased cost will result in more GST payment again from common man. In the end, government makes more money, and common man is left with even lesser.

[the_alcott]

Masterful rollout of policy!

1. The Golden Promise: Toll collection stops once the project cost is recovered. (Bless their hearts.)
2. The Plot Twist: Actually, tolls are forever! Surprise!
3. The Pre-Climax Teaser (Just days ago): "Hold tight! A new toll policy is coming before April 1st! Think convenience! Think concessions! Think Toll Pass! " (The suspense)

And BAM! A day late, but The eagerly awaited "policy" lands, and it's... drumroll... a price hike! Genius! 👏

[NSN]

Originally Posted by deadguy25

In the initial days of establishing toll booths on NHAI, there was news about lowering the tool fees as the years passed after recovering the money spent on building those roads.

Now one can understand the true meaning of taken for a ride

[TheStoryweaver]

I recently read reports about toll rationalization, but then saw news of a toll hike. It's crucial that the government reduce these tolls to a minimum, primarily for maintenance and upkeep, after the initial return on investment (ROI) within the first 5-7 years.

One concern I have regarding the road transport minister is the tendency to make grand claims with unachievable timelines, none of which seem to materialize.

Aside from FASTag, I haven't observed any progress on satellite-based toll payments, the removal of toll booths, or the rationalization of toll costs.

[rkv_2401]

At some point, return tolls changed from a 24 hour return period (you can make as many trips as you want within 24 hours) to a single-use return. I live near a tollbooth, and I've paid 140Rs. on one day to travel 10kms up and down. Funny that the tolls keep going up, while the benefits and quality of the roads keep reducing. Some of the speedbreakers near the toll booths themselves are the worst offenders - my Vento's ABS sensors failed just 3 months after being replaced after going over one of those awful rumble strips at <10km/hr.

It's not toll in perpetuity, it's profit in perpetuity. Once the cost of investment is recovered, seems to be near-total profits from that point on.

[suryaj1990]

Quite Hopeful for the Yearly toll membership scheme the government was offering not long back. Figuring when will it be a reality?

[Raghav_K]

Somehow the ever increasing vehicular traffic is never taken into account.

They could have the same amount of profit, without the yearly toll rate increase, due to the increasing number of vehicles crossing the toll.

Just another way to con the common man, I guess.