The Old Way of Calculating Tolls
Previously, the cost of a highway journey involving significant structures like bridges, tunnels, or long flyovers was calculated using a simple but often expensive method. To account for the higher construction and maintenance costs of these structures,
their actual length was multiplied by a factor of ten to determine the 'chargeable length'. For instance, a 2-kilometre bridge was treated as a 20-kilometre road for tolling purposes. This system, while designed to help recover infrastructure costs, could lead to very high toll fees on stretches with numerous or long structures, with no upper limit on the chargeable distance.
Introducing the New Two-Part Formula
The Ministry of Road Transport and Highways has amended the rules, introducing a new, more nuanced formula that NHAI is now implementing. Instead of a single calculation, authorities will now use two methods and apply whichever results in a lower chargeable distance. The two calculations are: 1) Ten times the length of the structures (like bridges and tunnels) plus the length of the regular road section. 2) Five times the total length of the entire highway section, including both structures and regular road. The final toll is based on the lower of these two outcomes, effectively putting a cap on how much a structure can inflate the cost.
A Practical Example of the Change
To understand the impact, consider a 40-kilometre highway that includes 10 kilometres of bridges and 30 kilometres of regular road. Under the old system, the chargeable length would be (10 km of bridges x 10) + 30 km of road = 130 km. With the new rule, authorities must also calculate the second option: 40 km total length x 5 = 200 km. In this case, since 130 km is lower than 200 km, the toll would be based on 130 km. However, if the highway stretch was mostly a bridge—say 30 km of structures on a 40 km road—the old method would yield a punishing 310 km chargeable length. The new formula caps this at 200 km (40 km x 5), offering significant savings.
Why Was This Change Necessary?
The primary goal of this revision is to strike a better balance between recovering the high costs of building and maintaining complex infrastructure and ensuring that toll fees remain fair and affordable for commuters. As India builds more elevated corridors and tunnels to navigate congested urban areas and challenging terrain, the old formula was leading to disproportionately high toll burdens on certain routes. The new rule aims to create a more uniform and transparent system, preventing excessive charges on infrastructure-heavy highways while still acknowledging their higher upfront investment.
What This Means for Indian Commuters
For millions of people using India's national highways, this change could mean direct savings, especially for those who frequently travel on routes with long bridges, tunnels, or elevated sections. The reduction in toll charges could be as high as 40-50% on some specific stretches, particularly those that are almost entirely elevated. This not only makes personal travel more affordable but also lowers operational costs for commercial vehicles, which can have a broader positive impact on logistics and transportation expenses. The change will not apply to all highways, only those with structures over 60 metres in length.
Implementation and Rollout
NHAI has directed its field offices to begin implementing the revised formula. For existing publicly funded toll plazas, the new rates will apply from the next scheduled fee revision date. For highways operated by private concessionaires, the change will take effect after the concession period ends and the project is transferred back to the authority. All newly constructed toll plazas will use this formula from the day they become operational. This phased rollout ensures a smooth transition to the new, fairer system across the entire national highway network.













