No more toll hassles: Annual, lifetime highway passes for commuters soon

The government is planning to bring annual and lifetime toll passes for 15 years for Rs 3000 and Rs 30,000, respectively, to reduce the toll burden on regular commuters

The National Highways Authority of India's (NHAI) plan to switch to satellite-based toll collection system will not just eliminate the physical toll booths and the road congestion, but will also offer a significant opportunity to insurance companies
Representative Picture
Sudeep Singh Rawat New Delhi
3 min read Last Updated : Feb 05 2025 | 5:17 PM IST
Highway tolls have long been a headache for regular commuters, turning every trip into a costly affair. But that might soon change with the government's plan to introduce annual and lifetime toll passes, promising smoother and hasslefree journeys.
There is great news for the commuters as the government is planning an 'annual toll pass' with a one-time payment. Regular commuters (middle-class or private car owners) have two options; they can either buy an annual pass or a lifetime pass for 15 years, with a one-time payment of Rs 3000 and Rs 30,000, respectively. 
 
According to a Times of India report, the proposals are currently at an advanced stage with the Ministry of Road Transport & Highways. The report also mentioned that the ministry is thinking of reducing the toll rate per km to give relief to highway users.
 
To avail the benefits of an annual toll pass or lifetime pass, you don't need to purchase any additional passes, they will be embedded in FASTags.
 
Currently, there is only a monthly pass that costs around Rs 340 per month, which for the annual users can go up to Rs 4,080 a year. 
 
The road and transport ministry is planning to bring an annual pass with unlimited travel across the NH network for the entire year at Rs 3000. This option is much cheaper than the monthly passes. This is optional and it can be a preferred choice. 
 
Recently, the Union road transport minister Nitin Gadkari also shared similar thoughts that the ministry is planning to offer passes for car owners.
 
Reportedly, the ministry aims to bring a one-stop solution to multiple issues which also include growing resentment against toll plazas within municipal limits, toll gates at less than 60 km intervals and violence at plazas.

Commercial vehicle contributes more in toll revenue

The total toll revenue in 2023-24 was Rs 55,000 crore and private cars' share in this was just Rs 8,000 crore. Toll transaction and collection reports suggest that 53 per cent of transactions were for private cars, but their share was just 21 per cent. 60 per cent of traffic is private vehicles at toll plazas between 6 am to 10 pm and the commercial vehicles distribution is even throughout the day and night.
 
According to sources, there will be no loss of earnings due to passes over a period of a few years, though the NHAI has to forgo some revenue.
 
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

Topics :toll taxMinistry of Road Transport and HighwaysHighways

First Published: Feb 05 2025 | 5:17 PM IST

Next Story