Center proposes reduction of toll tax by 60% after 30 years
National highways built with 100% government funding should have full toll tax for a maximum 30 years, proposed the center.
The proposal also says that after 30 years of toll collection, the charges will be reduced by 60% and in case the government has recovered the investments early, the toll charges will become incrementally less.
The toll charge on Delhi Gurgaon Expressway will be reduced by 40 percent in 2023 when the concession period for the project is slated to the end. After this plan there will be no national highway project which will have concession period more than 30 years.
Although the officials from the ministry said that it might be possible that the public funded projects are unviable as the traffic flow is poor and this can become a reason due to which the tolling cost might not get recovered within 30 years. The reduction will be helpful for the commuters a lot and it is also necessary for the maintenance of roads.
The ministry also introduced a new formula that will calculated the tax of this projects and will ask NHAI to maintain the balance sheet for every project to keep a proper track of the annual recovery of the investment. The government is also planning to widen the roads for at least 8000 km to two and half lanes within next three years and this stretches will fall under the tolling.
Related Real Estate News:
Traffic to ease on Delhi-Gurgaon Expressway
NHAI to consider out of court settlement with Expressway Operator
highway construction in india, highway projects in india, highway projects india, highway toll, highways of india, indian national highway, national highway construction, national highway projects, road authority of india, toll tax exemption
