Introduction

India’s toll system affects almost every road user. Over time, highways have expanded fast. At the same time, toll plazas have become a normal part of travel. As a result, people no longer ask only why tolls exist. Instead, they ask whether tolls still remain fair after years of collection.

This issue matters because tolls do not affect only car users. In fact, they also affect truckers, bus users, farmers, traders, and buyers. Therefore, a higher toll may raise travel cost, freight cost, and even the price of goods. Consequently, toll policy has become a public cost issue.

Against this background, Lok Sabha Question No. 6402 becomes important. Shri E.T. Mohammed Basheer asked whether the Government has reviewed the old toll formula. Moreover, he asked about the NITI Aayog study on toll base rates and user fee rules. Thus, the question placed toll reform before Parliament.

The answer confirms that tolls still rise every year under the 2008 Rules. However, it does not say whether this system remains fair in 2026. Also, it does not share data on toll recovery, road upkeep cost, or the time limit for the NITI Aayog study. Therefore, the answer informs citizens, but it does not fully satisfy them.

Official Sources

Lok Sabha Q&A:
https://sansad.in/getFile/loksabhaquestions/annex/187/AU6402_wPEKEs.pdf?source=pqals

ABC Live Internal Link:
https://abclive.in/2026/04/11/niti-aayog-report-research-and-development/

Question No. 6402  of Lok Sabha — Annual Escalation of Toll Rates

Shri E.T. Mohammed Basheer asked:

“Whether the Government has reviewed the automatic annual escalation of toll rates based on the 2008 base rates and the fixed three percent annual increase formula in light of the Committee’s observations?”

“The current status of the proposed NITI Aayog study to re-evaluate toll base rates and the user fee determination framework?”

Government’s Answer

Shri Nitin Jairam Gadkari, Minister of Road Transport and Highways, replied:

“The extant National Highways Fee (Determination of Rates and Collection) Rules, 2008 was formulated to ensure transparency, with a uniform methodology for calculating user fees across the country.”

“The annual revision is linked to the Wholesale Price Index (WPI), which reflects inflationary trends in the economy, and is implemented uniformly across National Highway fee plazas.”

“As per Rule 5… User Fee rates are revised annually with effect from 1st April every year… with 40% increase in Wholesale Price Index (WPI)… as well as fixed 3% yearly increase without compounding.”

“NITI Aayog is actively engaged to study the user fee framework… and the study is as yet incomplete.”

Core Data Snapshot

Quality of the Question

The question is clear and useful. First, it points to the yearly rise in toll rates. Second, it links this rise with the old 2008 base rate. Third, it asks about the NITI Aayog study. Therefore, the question does more than seek a simple fact.

Instead, it tests whether the toll system needs reform. Also, it gives road users a public record. Moreover, it creates pressure for a time-bound review.

However, the question could have been stronger. It could have asked for toll plaza-wise data. Similarly, it could have asked how much money has been collected. Further, it could have asked how much project cost is still pending. In addition, it could have sought a deadline for the NITI Aayog study.

Quality of the Government’s Answer

The answer is correct as per the rule. However, it is not complete as a policy answer. On the one hand, the Ministry explains how tolls rise. On the other hand, it does not explain why the same formula should continue today.

Thus, the answer tells citizens the method. Yet, it does not prove that the method is fair. Moreover, it gives no clear date for the NITI Aayog study. Consequently, the answer remains narrow.

What This Q&A Achieved

This Q&A has clear public value. First, it forced the Government to explain the toll formula in Parliament. Second, it confirmed that tolls rise from 1 April every year. Third, it placed the NITI Aayog study on record.

As a result, this exchange can help future debate on toll reform. However, it still leaves many key facts outside the public record. Therefore, the answer creates awareness, but it does not close the issue. In short, the Q&A starts the debate but does not end it.

Structural Problem in Toll Escalation

The toll formula has two parts. First, tolls rise with WPI. Second, tolls also rise by a fixed 3% each year. As a result, users face two layers of increase.

Therefore, the system is simple to run. However, a simple rule is not always a fair rule. Moreover, the same toll rule may hurt poorer users more than richer users. Thus, the formula needs a fresh public test.

Major Gaps in the Answer

The answer does not share key data. For example, it does not say whether the project cost has been recovered. Also, it does not tell how much toll has been collected. In addition, it does not show how much is spent on road upkeep.

Because of this, the answer remains narrow. In other words, it explains the rule but not the real impact. Consequently, Parliament and citizens cannot fully test fairness. Therefore, the reply leaves the main concern unresolved.

Impact on Road Users and Economy

Annual toll rise affects many groups. For instance, truckers may pay more. Similarly, traders may pass that cost to buyers. Also, bus users may face higher fares. Therefore, toll policy is not only a road issue.

Consequently, toll policy is also a cost-of-living issue. Moreover, it affects trade, travel, and local markets. Hence, annual toll rise needs open review.

Legal and Policy Implications

Tolls may be legal under the 2008 Rules. Nevertheless, a user fee must be fair, clear, and linked to public benefit. Therefore, legal power alone is not enough.

If tolls keep rising without cost data, users may doubt the system. Further, if the project cost has already been recovered, then a higher toll needs a stronger reason. Thus, the Government must link toll rates with facts.

Therefore, the key legal-policy question is simple: can tolls keep rising every year without public proof of cost, recovery, and road service?

What a Better Government Reply Should Have Included

A better reply could have shared more data. For example, it could have listed total toll income, project recovery status, and the likely date of the NITI Aayog report. Also, it could have shown road upkeep cost.

Such data would have made the answer stronger. Also, it would have helped Parliament judge whether the toll rule is still fair. Moreover, it would have built public trust.

DSLA Analytical View

From a DSLA view, this Q&A shows a clear governance gap. The Government has explained the rule. However, it has not justified the rule. Therefore, India needs a fresh toll review.

Moreover, that review should not stay inside files. Instead, it should place facts before the public. Also, it should hear road users, states, and transport groups.

In addition, a public toll dashboard can build trust. It should show project cost, toll collected, road upkeep cost, and concession period. As a result, users can see why they pay and how the money is used.

Conclusion

The Lok Sabha question was timely and useful. Moreover, it helped put the toll formula on public record. However, the answer stayed limited to the rule. Therefore, the larger issue remains open.

India must move from automatic toll rise to accountable toll governance. Ultimately, tolls may rise where facts support the rise. However, they should not rise year after year only because an old formula allows it.