Toll waiver’s pro-development, HC told

State says decision part of broader infrastructure plan, will facilitate development along corridors where toll plazas are scrapped

The government on Tuesday defended its decision to waive toll collection at 52 locations across Maharashtra and give active consideration to scrap toll tax plazas on the five entry/exit points to the city and on the Mumbai-Pune Expressway.

Justifying the move, the state informed the Bombay High Court that the step was meant not only to benefit motorists but also facilitate development along the corridors where toll is waived.

The government was responding to a query raised by the court on whether it was correct on the state’s part to divert public money which otherwise could be used for the poor and needy. “Is it overwhelming public interest that motorists don’t pay,” asked the court.

The government contended that the decision on removal of toll was taken keeping in mind the broader picture of state infrastructure. “No toll will increase trips to those areas and development on both sides will speed up.” It also cited the example of a consideration before the state to open up lands on either side of the Mumbai-Pune E-way for development.

However, the court suggested that the stand taken by the government may have an impact on future projects undertaken under the build-operate-transfer policy.

The contractor dealing with toll collection has moved the court seeking its intervention in revoking the government’s decision to scrap toll plazas at 52 locations. It has argued that it is incurring huge losses due to exclusion of light motor vehicles, jeeps and state transport buses from paying the levy.

The government countered the argument saying that it had chalked out a policy through which it would compensate the contractors on a monthly basis. A yearly budgetary allowance of Rs 800 crore has been approved by the government.

It also informed that if there are any issues regarding the calculation of compensation, then the contract provides for alternate dispute redressal forum before the finance secretary. No surcharge or other taxes will be added or introduced for citizens to recover the compensation amount, asserted the state.

The court though wanted to know how many of the 52 toll plaza have completed the 50 percent concession period or were nearing completion. It will hear the matter next on July 28.