The decision comes when toll rates at several plazas have been revised. (Express illustration)
Karnataka

Ministry of Road Transport’s move to impact highway user fee revision in Karnataka

The Ministry has decided that it will be used for calculating toll revisions under all existing contracts and concession agreements, as well as future national highway projects.

Express News Service

BENGALURU: The Ministry of Road Transport and Highways decision to retain the 1.641 linking factor for converting Wholesale Price Index (WPI) data is set to have a bearing on the annual revision of user fees at 35 toll plazas in the state.

In a memorandum issued on June 29, the ministry stressed the need to continue the linking factor to convert the WPI series from the 2004-05 base year to the 2011-12 series for calculating toll revisions on national highways.

The decision follows observations by the Comptroller and Auditor General and directions of the Delhi High Court on the methodology used to revise user fees. Under the National Highways Fee (Determination of Rates and Collection) Rules, 2008, toll rates are revised annually from April 1 based on increase in the Wholesale Price Index. The increase in user fee, however, is restricted to 40% of the rise in the WPI.

The National Highways Authority of India adopted the 1.641 linking factor in 2018. The Ministry has decided that it will be used for calculating toll revisions under all existing contracts and concession agreements, as well as future national highway projects.

This means the toll rates at plazas across Karnataka, including those on key routes such as the Bengaluru–Mysuru Access Controlled Highway and other national highways, will continue to be calculated using the same methodology. The decision comes when toll rates at several plazas have been revised. The ministry said the directive will be in force until further orders or an amendment to the National Highways Fee Rules.

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