Centre’s help sought to pay toll operators

Mumbai: The Maharashtra Government has written to the Central Government seeking compensation for asking private toll operators to waive off the toll for motorists for 24 days following the Centre’s demonetisation of Rs 500 and Rs 1,000 currency notes.

The state’s Public Works Department (PWD) has sought compensation of around Rs 142 crore for 41 toll booths, 14 operated by the PWD and the remaining 27 booths run by Maharashtra State Road Development Corporation (MSRDC).

The State Government had received claims from some contractors estimating their loss for 24 days when toll was exempted state-wide. Contractors are eligible for compensation as it is part of their concession agreements.

“We have written to the Centre and submitted our claims. We are going to compensate contractors on monetary terms as many of the projects where toll is levied have a concession period of 25-30 years. So, if we extend the concession period it won’t fit within norms where the toll collection period of any particular infrastructure project should not be of more than 30 years,” a senior PWD official said.

On November 9, The Ministry of Road Transport and Highways (MoRTH) announced that highways would be toll-free up to November 18. However, considering the situation, the exemption was extended till November 24.

The National Highways Authority of India (NHAI) has decided to compensate Rs. 700 crore to contractors who come under their ambit. The PWD official added, “The reason for writing to the Centre was because it was on their directions that the State Government asked contractors to not levy any toll.”