Govt Cuts Toll by Up to 50 per cent on Flyovers, Tunnels

10 Jul 2025 CW Team

The central government has reduced toll rates by up to 50 per cent for sections of National Highways featuring structures such as tunnels, flyovers, bridges, and elevated roads — a move aimed at lowering travel costs for motorists.

The user charges, which are levied at toll plazas as per the National Highways Fee Rules, 2008, have now been revised under a fresh amendment notified by the Ministry of Road Transport and Highways on 2 July 2025. A new method has been introduced to calculate toll charges for stretches with such infrastructure.

As per the revised formula, “the rate of fee for use of a section of national highway comprising structure(s) shall be calculated by adding ten times the length of the structure(s) to the remaining highway length, or five times the total section length—whichever is lower.”

In a cited example, if a 40 km stretch comprises entirely of structures, the calculation would be either 10 x 40 = 400 km or 5 x 40 = 200 km. The toll would be based on the lesser value — in this case, 200 km — effectively halving the user charge.

Previously, tolls on structured stretches were calculated at ten times the standard rate per kilometre to offset the higher construction costs associated with these complex builds.

A senior official from the National Highways Authority of India (NHAI) stated that the new formula would reduce user fees by up to 50 per cent for infrastructure-heavy stretches, offering relief to regular highway users while maintaining financial viability for project developers.

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