NHA-CDA row over toll tax for electric buses persists

The ongoing dispute between National Highway Authority (NHA) and Capital Development Authority (CDA) over fixing toll tax for electric buses could not be resolved amid deepening energy crisis in the country, reported 24NewsHD TV channel on Tuesday.

According to report, the NHA has refused to exempt CDA’s newly-introduced electric buses from toll tax.

Electric buses were forced to travel on alternative long routes due to lack of toll tax exemption.

According to NHA authorities, under the current toll policy, electric buses are not included in the list of exemptions.

There is no restriction on CDA’s EV buses from plying on national highways, but tolls will have to be paid.

Only armed forces, ambulances, fire brigade, police and motorway police are exempted from toll tax.

CDA had demanded to make electric buses toll-free under the New Energy Vehicle Policy 2025-2030.

As many as 160 electric buses ply on various public transport routes in Islamabad and in these public routes Golra Mor, Taxila and Fateh Jang routes are also included, CDA takes position.

But on the other, NHA’s stand is that there is no provision for exemption for electric buses in the existing toll plaza agreements.

Toll plaza agreements are effective till June 2026, hence immediate exemption is not possible, NHA authorities said.

Sources said NHA and CDA are in contact to exchange details of buses.

Interim arrangements can be made through mutual consultation to facilitate electric buses, officials said.

According to Ministry of Communication, new toll policy considering inclusion of exemption for electric buses. 

Toll tax exemption for EV buses can be given in new agreements from financial year 2026-27.

Reporter: Tayyab Saif