SC Stays J&K HC Order Slashing Toll by 80% on NH-44

SC Stays J&K HC Order Slashing Toll by 80% on NH-44

The Supreme Court has stayed a recent order by the Jammu & Kashmir High Court that had significantly reduced toll charges by 80% at the Lakhanpur and Bann Toll Plazas on National Highway 44.

The High Court’s directive had cited the incomplete condition of the highway as the reason for the toll cut.

The matter arises from a public interest litigation (PIL) filed by Sugandha Sawhney, challenging toll collection on the stretch of the highway between Pathankot and Udhampur—currently under construction as part of the Delhi-Amritsar-Katra Expressway project.

The petitioner argued that charging full tolls was unjust, given that more than two-thirds of the road remained incomplete. She invoked Rule 3 of the National Highways Fee (Determination of Rates and Collection) Rules, 2008, which permits toll collection only after full completion of a project.

Accepting the petitioner’s contention, the High Court held that commuters should not bear the burden of tolls for poorly maintained or under-construction highways. It directed that only 20% of the toll be collected until construction is completed and independently certified. The order also included directions for broader regulatory reforms—such as ensuring a minimum 60-kilometer distance between two toll plazas, removal of violators, police verification of toll staff, and a review of toll rates by the Union government.

Challenging the order, the National Highways Authority of India (NHAI) approached the Supreme Court. On April 15, a Bench comprising Justices Abhay S Oka and Ujjal Bhuyan stayed the High Court’s directions and issued notice in the matter. “There will be stay of this order. Notice returnable on 19th May, 2025,” the Court stated.

Solicitor General Tushar Mehta, appearing for the NHAI, submitted that the authority was already collecting toll at a reduced rate of 75% in accordance with Rule 4(9) of the National Highways Fee Rules, which permits a proportional reduction during periods of upgradation. He contended that the High Court had overreached by mandating an 80% reduction and intervening in matters governed by a central regulatory framework.

The Supreme Court, while granting interim relief to NHAI, allowed toll collection to continue at 75% of the notified rate as per existing rules.

The case will be heard next on May 19.

Appearing alongside SG Mehta were advocates Nishant Awana, Rini Badoni, GS Awana, Rebecca Mishra, and Mayank Chaudh.


 

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