The Supreme Court has ruled that commuters cannot be compelled to pay tolls on highways that are incomplete, riddled with potholes, or rendered impassable by traffic snarls, upholding a Kerala High Court order suspending toll collection at the Paliyekkara plaza in Thrissur district.
A bench comprising Chief Justice of India BR Gavai and Justice K Vinod Chandran dismissed the NHAI’s appeal against the Kerala High Court’s judgment, which suspended the toll collection along NH-544 due to the bad condition of the road.
The bench agreed with the High Court’s view that a citizen paying toll acquires a corresponding right to demand good roads, and if that right is not protected, then the NHAI or its agents cannot demand toll.
“In the meanwhile, let the citizens be free to move on the roads, for use of which they have already paid taxes, without further payment to navigate the gutters and pot-holes, symbols of inefficiency,” the bench said, endorsing the Kerala High Court’s 6 August order.
The Kerala High Court had ruled that any failure by NHAI or its agents to ensure unhindered, safe and regulated road access constitutes a breach of public expectations and undermines the toll regime’s foundation.
“We cannot but agree with the reasoning of the High Court,” SC held on Tuesday, reinforcing that the public’s obligation to pay statutory user fees is tied to proper road access.
In the order, the bench also lamented that a citizen, who has paid tax to ply a motor vehicle on the road, is forced to make a further payment of toll for the use of road.
The bench rejected NHAI’s contention that traffic snarls were limited to “black spots” where underpass construction was underway. Despite assurances that the main carriageway remained functional, the court highlighted that even a five-kilometre disruption in a 65-kilometre stretch creates a cascading effect, bringing traffic to a standstill for hours.
Senior advocates Shyam Divan, for the concessionaire, and Solicitor General Tushar Mehta, for NHAI, argued that toll revenues are crucial for maintaining the road network and that suspending tolls would cripple the daily revenue of nearly Rs 49 lakh.
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The ruling affirms the Kerala High Court’s order that castigated NHAI for “total apathy” and held that the authority could not demand user fees while breaching public trust with road users. Despite reminders since February 2025, the situation remained unaddressed. “We are not convinced that any interference can be made to the order, especially when the arguments of NHAI and the concessionaire gloss over the citizen-centric approach the High Court took,” the bench concluded.