News Brief

Kerala Government Plans To Introduce Toll Collection On State Highways Managed By KIIFB: Report

Arjun Brij

Feb 06, 2025, 03:13 PM | Updated 03:13 PM IST


FASTag lanes at a toll plaza.
FASTag lanes at a toll plaza.

The Kerala government is reportedly planning to introduce toll collection on state highways managed by the Kerala Infrastructure Investment Fund Board (KIIFB).

However, unlike the traditional toll gates seen on national highways, the new system will rely on specialised cameras and an online payment system similar to FASTag for seamless toll collection, according to a report by Mathrubhumi.

This initiative aims to create an alternative revenue stream for the state, as KIIFB explores toll collection as a new source of income.

The tolls will be implemented on state highways with an investment of Rs 50 crore or more.

The implementation of the scheme follows a model adopted by the National Highways Authority of India (NHAI).

KIIFB has been instrumental in funding major infrastructure projects through loans, and with these projects now falling under the state’s debt ceiling, the government will need to allocate its own funds for future development.

The legal framework for generating income from these projects is reportedly already in place,.

It remains uncertain whether this toll collection plan will be included in the upcoming state budget as a significant revenue-generation measure.

Read More: India’s Logistics Push: 434 Mega Projects, New Roads, Airports To Cut Transport Time By 66 Per Cent

Arjun Brij is an Editorial Associate at Swarajya. He tweets at @arjun_brij


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