No NOC without toll payment; Centre tightens rules on vehicle transfer, fitness renewal over toll dues

Motorists with pending toll payments on national highways will no longer be able to transfer vehicles, renew fitness certificates or obtain permits, as the Union government tightens enforcement of user fee compliance through sweeping amendments to motor vehicle rules.

The Centre has tightened rules around toll payments, a move that will directly affect both private car owners and commercial vehicle operators.

At its core, the move is about tightening the system - discouraging toll evasion and making electronic toll collection on national highways more efficient, dependable and difficult to get around for motorists.

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The notification, issued on January 20, follows months of consultations and is part of the government’s broader push towards technology-driven, barrier-less tolling on India’s expanding highway network.

A key feature of the amendment is the formal definition of ‘unpaid user fee’. Under the revised rules, it refers to any toll amount payable for using a national highway section where the Electronic Toll Collection system has recorded a vehicle’s passage, but the fee has not been received in line with provisions of the National Highways Act, 1956.

This definition allows authorities to digitally track toll defaults and link them directly with vehicle databases, closing loopholes that earlier allowed defaulters to access transport services.

No NOC without clearing toll dues

The biggest and most immediate impact will be felt when a vehicle changes hands or moves across states. Under the new rules, any pending toll dues must be cleared first - there’s no way around it. In effect, a vehicle with unpaid tolls will be stuck in limbo, unable to be sold or relocated until all dues are cleared.

Toll payments are now also linked to a vehicle’s fitness status. The renewal or issue of a Certificate of Fitness will be denied if toll charges remain unpaid. This is especially important for older vehicles and commercial fleets, which need periodic fitness certificates to stay legally on the road.

Commercial vehicle operators face even tighter scrutiny. To get or renew a National Permit, a vehicle must have a clean record with no unpaid toll fees.

To make enforcement smoother, the government has updated Form 28, which is used to apply for an NOC. Vehicle owners will now have to clearly declare whether any toll dues are pending, along with relevant details.

Officials say these steps are also meant to prepare the ground for barrier-less tolling under the upcoming Multi-Lane Free Flow system, where vehicles will pass through toll points without stopping. The feedback received was examined before the rules were finalised.

According to the government, these changes will help the National Highways Authority of India build a more transparent and efficient tolling system, while ensuring steady revenue for maintaining and expanding the country’s national highway network.