NHAI to introduce dual toll system on highways
The government is planning a new approach for India's highways!
The government is preparing to roll out a dual toll system on both new and existing roads, hoping to make highway investments less risky and more appealing for private companies.
The plan? Bundle nearby old and new roads together so revenue is steadier—even if traffic goes up and down.
What does this mean for private developers?
The National Highways Authority of India (NHAI) will package these road stretches for private developers to maintain and collect tolls.
This should help cut down on lost revenue ("toll leakage") and give investors more confidence.
After testing the idea in Guwahati, the dual toll setup is set to expand nationwide through contracts like toll-operate-transfer (ToT) or operation & maintenance (O&M).
The approach also fits with the government's Build-Operate-Transfer (BOT) model, with 53 projects expected to be awarded soon.