In a significant move to make highway travel more affordable, the Government of India has reduced toll charges by up to 50% for stretches of National Highways featuring tunnels, bridges, flyovers, or elevated corridors. The decision comes after the Ministry of Road Transport and Highways amended the National Highways Fee (Determination of Rates and Collection) Rules, 2008, introducing a new calculation formula to determine toll charges.

According to the official notification dated July 2, 2025, the new toll fee formula aims to standardize and rationalize toll collection, ensuring motorists pay fair charges on highway sections with expensive infrastructure like flyovers and elevated corridors.

How the New Toll Formula Works

The Ministry’s notification defines the revised method as follows:

“The rate of fee for use of a section of national highway comprising of structure or structures shall be calculated by adding ten times the length of structure or structures to the length of the section of national highway excluding the length of structure or structures, or five times the total length of section of national highway, whichever is lesser.”

For instance, if a highway stretch includes 40 km of bridges or tunnels, the fee will be calculated based on either:

10 × 40 km = 400 km, or

5 × 40 km = 200 km,

Whichever is lesser will be used for toll computation.

Here, the term "structure" includes independent bridges, flyovers, tunnels, or elevated highways.

Impact on Commuters

The revised rule is expected to bring substantial relief to daily commuters and long-distance travelers, especially in regions where elevated infrastructure forms a significant portion of the highway. By adjusting the toll based on a fair formula, the Ministry aims to encourage smoother and more cost-effective travel across high-traffic corridors.

The move also comes amid rising demands for transparent and proportional toll pricing, especially on stretches developed using public-private partnerships (PPP) or high-cost engineering projects.

Looking Ahead

Transport experts believe that this reform could pave the way for standardized toll pricing nationwide, with focus on affordability, accountability, and infrastructure use. It also underlines the government’s intent to balance revenue generation with commuter convenience.

The new rules have come into effect and toll operators have been directed to implement the revised formula across applicable National Highway sections.