The Report discusses the rapid growth in Fastag collections which was seen in FY25 despite moderation in tolling on National Highways. It concludes that a significant chunk of the increase is coming from State tolls which are becoming important in overall Fastag collections. Thus, despite saturation in National toll plazas, modest toll hike, and middling traffic growth on National Highway stretches, Fastag holds out as a beacon of hope. Given the quantum of State tolls is reaching critical mass, it hazards that monetisation of such assets could provide a rich source of revenue for State Governments. While the existing bank of State toll plazas on NETC can potentially yield upwards of Rs. 1 trn if monetised, this remains subject to States improving their governance frameworks and carefully selecting stretches to reap the rewards. The Report also provides an update on latest trends in awards and construction of National Highways, positing that the completion of key greenfield alignments will give a rear ended push in FY26.
Connect with us
