In a move set to benefit millions of private vehicle owners in India, the Ministry of Road Transport and Highways has announced a significant change to the country’s toll collection system. The new amendment, titled the National Highways Fee (Determination of Rates and Collection) Amendment Rules, 2024, introduces a toll-free allowance for private vehicles traveling short distances on national highways and expressways. This policy change is aimed at streamlining the toll collection process and reducing the financial burden on private vehicle owners who undertake shorter commutes.
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What’s the new policy change?
As per the revised rules, private vehicles equipped with a functional Global Navigation Satellite System (GNSS) will now enjoy zero toll charges for journeys of up to 20 km per day on highways. If the journey exceeds 20 km, the toll will be calculated based on the actual distance travelled.
The official notification from the ministry states, “A driver, owner, or person in charge of a mechanical vehicle other than a National Permit vehicle who makes use of the same section of the national highway, permanent bridge, bypass, or tunnel, as the case may be, shall be levied a zero-user fee up to 20 kilometres of a journey in each direction in a day under the Global Navigation Satellite System-based user fee collection system.”
The GNSS-based toll collection has been under consideration for some time now. The Ministry of Road Transport and Highways had previously launched a pilot project to test this system in conjunction with the existing FASTag toll collection method. By leveraging advanced GNSS technology, the government aims to improve toll collection efficiency, minimize bottlenecks at toll plazas, and provide a more seamless travel experience for road users.
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The notification further read “Provided also that exclusive lane can be earmarked for Global Navigation Satellite System On-Board Unit fitted vehicle and in case vehicle enters such lane, without a valid, functional Global Navigation Satellite System On-Board Unit, shall pay a fee equivalent to two times of the user fee applicable at that fee plaza.”
