Maharashtra government to exempt small cars from paying toll tax for all build operate transfer (BOT) road projects that worth over 200 crore rupees. Similar relief also given for road projects developed by the state Public Works Department (PWD) that cost below 200 crore rupees.
- Road developers’ loss will be recovered by increasing toll tax on big vehicles and by budgetary provision.
- State Public Works Department (PWD) will incur the entire expenditure for project that worth below 200 crore rupees.
- Small cars will also be exempted from paying toll tax for the project above 200 crore rupees which will be developed on annuity basis model.
- Payment to the road developers will be given after two years under annuity model.
- State has over 2,60,000 km of road network and has proposed to develop more 5,000 km under the similar model.
- State government has also recommend the Centre to exempt small cars from paying toll tax on roads constructed by the National Highways Authority of India (NHAI)
Note: State government has already closed 12 toll collection booths and has exempted small vehicles from paying toll at 53 toll booths where roads are developed on BOT basis. Over 800 crore rupees has been allotted by state government to pay to the contractors for their revenue loss.