Home India Ministry of Road Transport and Highways Parliament Question: Revenue Generated through Toll Plazas...
Date: 2025-07-31 Category: Not Applicable State: Union Government Country: India

Parliament Question: Revenue Generated through Toll Plazas

Issued by Ministry of Road Transport and Highways · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary:** This document presents the Minister of Road Transport and Highways' response to questions regarding revenue generated through toll plazas, including details about specific projects like the Budhanpur to Varanasi four-lane road. It outlines revenue collection, toll policies, construction costs, and funding sources for National Highway development as of July 31, 2025. The document clarifies the purpose of user fees and the financial mechanisms involved. **Key Points / Main Content:** * **Budhanpur to Varanasi Project:** * The project is divided into two packages (PkgII and PkgIII) with a total cost of Rs. 5746.97 Cr. * Amora Fee Plaza (PkgII) revenue from 13.03.2024 to 30.06.2025: Rs. 51.12 Cr. * Dherhi Fee Plaza (PkgIII) revenue from 24.01.2024 to 30.06.2025: Rs. 22.35 Cr. * Total revenue from both plazas: Rs. 73.47 Cr. * User fee collection is not directly related to the recovery of project development cost. * **National Toll Policy:** * User fees are collected per NH Fee Rules for the use of completed sections of National Highways. * Fees are levied as per Concession Agreements until the end of the concession period. * After the concession period, fees are collected by the Government or executing authority. * For public funded projects, fees continue to be collected and revised annually. * Revenue goes to the Consolidated Fund of India (CFI) and is used for National Highway development through budgetary allocations. * **Toll Plazas Nationwide:** * As of June 2025, there are 1,087 operational fee plazas on National Highways. * User fee collection for FY 2024-25 is Rs.168.24 Cr. per day. * FY 2024-25 user fee collection: Public Funded Fee Plaza: Rs. 28,823.74 Cr, Concessionaire Operated Fee Plaza: Rs. 32,584.41 Cr, Total: Rs. 61,408.15 Cr. * **Road Construction Costs:** * Construction costs depend on terrain, site requirements, structure numbers, state SOR, and materials. * The government uses an interactive cost-analysis IT tool to calculate component-wise normative costs. * **Funding Sources:** * Road users contribute through user fees (tolls) and central cesses on petrol and high-speed diesel. * User fees are collected under the National Highways Fee Determination of Rates and Collection Rules, 2008. * Central cesses are credited to the Central Road Infrastructure Fund (CRIF) and deposited in CFI. * CRIF funds are used for NH development along with budgetary allocations. **Impact Analysis:** * **Road Users:** * *Impact:* Road users are directly affected by toll charges and cesses on fuel, contributing to road development and maintenance. * *Action Required:* Pay applicable user fees at toll plazas and cesses on fuel. * **Government (Ministry of Road Transport and Highways):** * *Impact:* Responsible for managing toll revenue, allocating funds for highway development, and setting toll policies. * *Action Required:* Continue to collect and allocate user fees, manage the CRIF, and utilize the cost-analysis IT tool for project planning. * **National Highways Authority of India (NHAI) / Implementing Agencies:** * *Impact:* Involved in the construction, maintenance, and toll collection on National Highways. * *Action Required:* Execute projects, collect user fees, and transfer revenue to the CFI. * **Concessionaires:** * *Impact:* Operate and maintain toll plazas during the concession period and collect user fees as per agreement. * *Action Required:* Adhere to concession agreements, collect user fees, and hand over fee plazas to the government at the end of the concession period.

Key Entities Referenced

Ministry of Road Transport and Highways: The Indian government ministry responsible for the development and maintenance of national highways and transport infrastructure. Lok Sabha: The lower house of the Parliament of India. SHRI DAROGA PRASAD SAROJ: Member of Parliament who raised the question about revenue generated through toll plazas. Budhanpur to Varanasi: A section of National Highway 28 (Old NH233) in Uttar Pradesh, India, where toll plazas are located. Lalganj: A place through which the four-lane road from Budhanpur to Varanasi passes. Azamgarh Lok Sabha Constituencies: A Lok Sabha constituency in Uttar Pradesh, India through which the road passes. National Highways Fee Determination of Rates and Collection Rules, 2008: The rules governing the determination of toll rates and collection on national highways in India. Central Road Infrastructure Fund CRIF: A statutory fund in India dedicated to the development and maintenance of road infrastructure, financed by cesses on petrol and diesel.
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GOVERNMENT OF INDIA MINISTRY OF ROAD TRANSPORT AND HIGHWAYS LOK SABHA STARRED QUESTION NO. 179 ANSWERED ON 31ST JULY, 2025 REVENUE GENERATED THROUGH TOLL PLAZAS *179. SHRI DAROGA PRASAD SAROJ: Will the Minister of ROAD TRANSPORT AND HIGHWAYS सड़क परिवहन औि िाजमार्ग मंत्री be pleased to state: (a) the time by which the total cost incurred in constructing the four-lane road from Budhanpur to Varanasi passing through Lalganj and Azamgarh Lok Sabha Constituencies is expected to be fully recovered through the toll plaza constructed at Amaura; (b) the number of toll plazas currently constructed in the country including the above- mentioned toll plaza and the daily revenue being earned by the Government from these toll plazas; (c) the time period after which the National Highways of the country will become toll-free based on the income earned from toll plazas; (d) the per day cost of road construction in the country at present and the percentage by which this cost is more or less than the total income earned from all toll plazas across the country; and (e) whether any kind of tax is being collected from the citizens of the country for the construction of these roads, if so, the details thereof? ANSWER THE MINISTER OF ROAD TRANSPORT AND HIGHWAYS (SHRI NITIN JAIRAM GADKARI) (a) to (e) A Statement is laid on the Table of the House. 1STATEMENT STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF LOK SABHA STARRED QUESTION NO. 179 FOR ANSWER ON 31.07.2025 ASKED BY SHRI DAROGA PRASAD SAROJ REGARDING REVENUE GENERATED THROUGH TOLL PLAZAS. ------------------------------------------------------------------------------------------------------------------------ (a) Budhanpur to Varanasi section of NH-28 (Old NH-233) includes 2 packages viz Pkg-(II) & (III). Amora Fee Plaza falls under NH-28 Pkg-II (from Budhanpur to start of Gossai ki Bazar Bypass). Dherhi Fee Plaza falls under NH-28 Pkg-III (from start of Gossai ki Bazar Bypass to Varanasi) with total cost of Rs. 5746.97 Cr. (i.e. for Pkg-II is Rs. 3307.53Cr. and for Pkg-III is Rs. 2439.44Cr.) The Revenue generated since commencement of fee collection through Amora Fee Plaza (i.e. 13.03.2024 till 30.06.2025) is Rs. 51.12 Cr. and through Dherhi Fee Plaza (i.e. 24.01.2024 till 30.06.2025) is Rs. 22.35 Cr. i.e. a Total of Rs. 73.47 Cr. for both packages/plazas. Further, collection of user fee at fee plazas on National Highways is not related to the recovery of project development cost. User fee is collected for the use of a completed section of National Highway, in accordance with the provisions of the NH Fee Rules. As per the provision of National Highways Fee (Determination of Rates and Collection) Rules, 2008, the fee as notified as per Concession Agreement shall be leviable till the end of the concession period and after the concession period is over, the fee shall be collected by the Government or the executing authority as per the fee specified under sub-rule (2) of rule 4 of National Highway Fee Rules, 2008 on the date of transfer of such section of the National Highway, bridge, tunnel or bypass, as the case may be, to be revised annually. In respect of a public funded project, the fee leviable shall continue to be collected for such section of the National Highway, bridge, tunnel or bypass, as the case may be, to be revised annually in accordance with these rules. 2In case of Build-Operate-Transfer (BOT) Projects, after the end of Concession period, the fee Plaza is handed over to Government and thereafter the user fee is collected by the Government through its implementing Agencies. The revenue collected by the Government from user fee collection is deposited in Consolidated Fund of India (CFI) and the funds provided through budgetary allocations are utilised for the development of National Highways. (b) As on June, 2025, there are a total of 1,087 fee plazas operational on National Highways. User fee being collected from these fee plazas for the Financial Year 2024-25 is Rs.168.24 Cr. per day. Details are as under:- User Fee collected User fee collected at at Public Funded Concessionaire operated Total (in Financial Fee Plaza operated Fee Plaza operated through Crore Year through NHAI (in the concessionairs (in Crore Rupees) Crore Rupees) Rupees) 2024-25 28,823.74 32,584.41 61,408.15 (c) In case of concessionaire operated fee plaza, after the end of Concession period, the fee Plaza is handed over to Government and thereafter the user fee is collected by the Government through its implementing Agencies. In respect of fee plaza under public funded project, the fee leviable shall continue to be collected for such section of the National Highway, bridge, tunnel or bypass, as the case may be, to be revised annually in accordance with these rules. The revenue collected by the Government from user fee collection is deposited in Consolidated Fund of India (CFI) and the funds provided through budgetary allocations are utilised for the development of National Highways. (d) The cost of construction of the defined highway depends on various factors such as the terrain type, site requirement, height of embankment, number of structures planned in the project, SOR of the State, lead considered for aggregates, cement, bitumen etc. 3As various factors involved to work out the cost of construction of NH, Government has introduced an interactive cost-analysis IT tool, where project inputs like terrain, embankment height, structural type, aggregate lead, traffic loading, and pavement design are used to calculate component wise normative costs. (e) Yes Sir. Road users contribute to National Highway development and upkeep primarily through (i) user fees (tolls) levied on specified NH sections opened to traffic and (ii) central cesses on petrol and high- speed diesel, the proceeds of which are credited to the statutory Central Road & Infrastructure Fund (CRIF) (earlier Central Road Fund—CRF) and are deposited in Consolidated Fund of India (CFI). These funds used, inter alia, for NH development alongwith budgetary allocation. (i) User Fee (Toll) on National Highways: User fees are levied and collected by the Government under the National Highways Fee (Determination of Rates and Collection) Rules, 2008, as amended from time to time after completion of NH stretch and same is deposited in Consolidated Fund of India (CFI). (ii) Central Road Fund (CRF) & Central Road & Infrastructure Fund (CRIF): Parliament enacted the Central Road Fund Act, 2000 to give statutory status to a dedicated fund for development and maintenance of National Highways, State roads, and safety works at rail-road crossings, financed by a cess (duty of excise/customs) on petrol and high-speed diesel. Subsequent statutory amendments renamed the Fund as the Central Road & Infrastructure Fund (CRIF) and further enabled deployment of cess proceeds across a wider basket of infrastructure sectors (transport—including rural roads & bridges, ports, inland waterways, airports, railways, urban transport—energy, water & sanitation, communication, and social/commercial infrastructure), including NH development. The Road & Infrastructure Cess component of central excise on petrol and diesel is credited to the Consolidated Fund of India; after accounting procedures, amounts are transferred to the CRIF for allocation in accordance with the Act and rules notified by the Central Government. ***** 4

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