New Delhi, October 29, 2026: Residents who regularly travel through a National Highway toll plaza near their homes will soon have a new annual payment option under a concessional local-pass scheme notified by the Ministry of Road Transport and Highways.
The Central Government notified the National Highways Fee (Determination of Rates and Collection) (Fifth Amendment) Rules, 2026, through notification G.S.R. 917(E), dated October 26. The amended rules will come into force on November 1, 2026.
Editorial Insight
Key Highlights
Important points readers should notice.
Issue/Event: Government notification introducing a Concessional Local Pass for eligible National Highway users.
Location: Eligible National Highway toll plazas across India, subject to specified conditions.
Authority/Organisation: Ministry of Road Transport and Highways, Government of India.
Action Taken: National Highways Fee (Determination of Rates and Collection) (Fifth Amendment) Rules, 2026, notified through G.S.R. 917(E).
Impact: Eligible residents can choose an annual local pass costing ₹1,500 or ₹3,000, depending on the designated toll plaza’s location.
The provision allows eligible owners of non-commercial vehicles who reside within 20 kilometres of a fee plaza to choose between the existing monthly pass and a new Concessional Local Pass for their vehicle.
How much will the pass cost?
The annual charge depends on where the designated toll plaza is located:
Editorial Analysis
Why This Matters
Lower recurring travel costs: People who regularly cross the same nearby toll plaza may benefit from an annual payment option instead of paying for a monthly pass throughout the year. Clearer choice for motorists: Eligible vehicle owners can compare the existing monthly pass with the new annual option and select the arrangement that suits their travel patterns. Important eligibility limits: Residence within 20 kilometres is not enough by itself. Vehicle registration, FASTag status and restrictions relating to alternative roads or closed user-fee collection systems also matter. Plaza-specific validity: The pass cannot be used at every toll plaza. Motorists should not assume that one local pass will cover an entire journey or all highways. More predictable budgeting: An annual fee may help frequent local commuters plan toll expenditure, although the value depends on the applicable fee and actual usage.
- ₹1,500 per year: For a fee plaza outside municipal or local-town limits.
- ₹3,000 per year: For a fee plaza within municipal or local-town limits.
The revised rules allow the Central Government to review these rates annually, with changes taking effect on April 1.
For comparison, a monthly local pass priced at ₹360 would cost ₹4,320 over 12 months. Against that illustrative annual total, the new pass could reduce the cost by ₹2,820 at a ₹1,500 plaza or ₹1,320 at a ₹3,000 plaza. Actual savings depend on the applicable fee and the travel arrangement chosen by the vehicle owner.
Who is eligible?
The notified provision covers a person who owns a mechanical vehicle equipped with a valid, functional FASTag registered for non-commercial use and resides within 20 kilometres of the relevant fee plaza.
Meeting the distance requirement alone does not guarantee eligibility. The pass is linked to a specific toll plaza and cannot be transferred to another plaza.
The rules also exclude certain locations. A concessional local pass will not be issued for travel on a National Highway or expressway where tolls are collected through a closed user-fee collection system. It will also not be issued where a service road or alternative road is available for the vehicle owner, driver or person in charge to use.
When and where will it be available?
According to the Ministry’s announcement, the annual local pass will be available at eligible toll plazas from November 1, 2026. It is scheduled to become available through the Rajmargyatra app from December 1, 2026.
Motorists should check whether their particular toll plaza is eligible and confirm the application process before making a payment. The notification does not mean every toll plaza across India will automatically offer the concession.
How is this different from the existing FASTag Annual Pass?
The new Concessional Local Pass is designed for eligible residents who regularly use one nearby toll plaza. It is valid only at that specific plaza.
The separate FASTag Annual Pass for non-commercial cars, jeeps and vans provides access across eligible National Highway and National Expressway fee plazas under its own conditions, including a validity period or crossing limit. The two passes serve different purposes and should not be confused.
The new provision is intended to give eligible local residents another option for managing recurring toll expenses, subject to the rules and plaza-specific conditions.
