Unpaid Tolls To Cost Double as govt brings in e-notice system

Unpaid highway tolls will now attract a penalty of up to twice the applicable fee, with dues linked to the VAHAN database and enforceable through restrictions on vehicle-related services, under the National Highways Fee (Determination of Rates and Collection) (Second Amendment) Rules, 2026 notified by the government.

The rules, which came into effect on March 17, introduce a technology-driven enforcement framework to plug leakages in toll collection and strengthen compliance as India moves towards barrier-free tolling.

A key provision is the formal definition of “unpaid user fee”, covering toll charges recorded through electronic toll collection systems but not realised. This includes cases such as insufficient FASTag balances, failed transactions, or evasion despite a vehicle’s passage being digitally captured.

To operationalise recovery, the amendment introduces an automated electronic notice system. Vehicle owners will receive e-notices via SMS, email, mobile applications, or other digital channels, detailing the vehicle, toll transaction, and amount payable. These notices will also be available on a designated online portal.

The rules provide a clear compliance window. Users who pay within 72 hours of receiving the e-notice will only need to pay the original toll amount. Beyond this period, the payable amount doubles.

In a significant enforcement step, unpaid dues beyond 15 days, where no grievance is pending, will be recorded in the VAHAN system. Authorities may then restrict access to vehicle-related services until the outstanding amount is cleared, creating a strong deterrent against non-payment.

The amendment also builds in a time-bound grievance redressal mechanism. Vehicle owners can contest an e-notice within 72 hours through a designated portal, and authorities must resolve such cases within five days. If the timeline is not met, the claim lapses.

The move is aimed at improving transparency in toll operations and ensuring that digitally recorded journeys translate into actual revenue, a key requirement as the government advances towards next-generation tolling systems, including barrier-free and GPS-based models.