In a significant development, the Centre has decided to delink toll charges with investment to rationalise its existing tolling norms across the 35,000-km stretch of National Highways.
The concessionaires, wherever applicable in four/six-laning, will charge only once the stretch is entirely complete and not from the date of the mere presence of their road materials or other road infrastructure support system.
The Ministry of Road Transport and Highways (MoRTH) has moved a Cabinet note, which proposes several other changes too in the existing toll system.
The Ministry proposes to allow the concessionaires to charge only 80 per cent of the toll during the time of construction. Simultaneously, the concession period for the developer or concessionaire will be calculated on the date of beginning of the project on ground zero unlike the existing ‘shady’ concession pattern which begins on the date of entering into commercial venture.
“The changes have been proposed to delink toll determination with investment. The tolling is to be done on a basis not on the point of investment recovery,” said a top MoRTH official. “In present scenario, developers start charging by installing a toll plaza once an MoU is done. With certain changes, first once the road is complete they would be able to charge toll, and secondly the new move will also put a pressure on the concessionaires to expedite the project,” said the official.
Another important changes likely to bring relief on almost 15,000-km NH stretch across the country is making 10 metre width or less than that NHs toll free. There is also a proposal to review the 2008 National Toll Determination Fee Notification to remove toll on less than 10 metre wide NHs.
In 2008, the MoRTH had permitted collection of toll on such category of roads and total length of 10 metre wide or less than this NH in the country is about 15,000 kms. “Ten metres road are in fact very narrow and due to its width it continuously gets eroded at borders due to plying of vehicle like tractors, and even bullock carts,” an NHAI official said.
At the same time, developers can charge toll amount to 80 per cent of the toll value of 10 meter width highways undergoing lane conversion to four or six lane. In case of conversion of one-lane and two-lane roads into four-lane ones, tolling can begin only after the construction is complete. The toll regime shift change also includes proposals like rounding-off of the toll amount to the nearest Rs 5 denomination to benefit the roads users in terms of time and put an end to regular spat between toll booth operators and commuters.
As part of toll rates for Government Expressways, MoRTH has sought that for all the upcoming Expressways, including the Delhi, Meerut, ludhiana, Jaipur Expressways, the tariff should be 1.25 times of existing toll tariff on six lanes.
The Government is set to finalise the terms of reference for the proposed road regulator by the end of this month. Finance Minister P Chidambaram had announced setting up of a regulator in the road sector during his Budget (2013-14) speech. MoRTH is finalising the terms in consultations with other Ministries and stakeholders.