As per the report, only 30% of the monetisation potential on national highways has been achieved, leaving substantial scope for increased revenue.
The report reveals that, across over 750 toll plazas analysed from FY00 to FY24, the compound annual growth rate (CAGR) of toll revenue has been approximately 12%. In FY24 alone, the national highways generated ₹54,800 crore in toll revenue, with nearly half of this amount concentrated in states like Maharashtra, Tamil Nadu, Uttar Pradesh, Rajasthan, and Gujarat — states with robust industrial activities.
As part of an enhanced toll management strategy, the SBICAPS report advocates for expanded monetisation mechanisms, such as the Infrastructure Investment Trust (InvIT) and the Toll-Operate-Transfer (TOT) models.
These approaches have shown early success in recent bundles and could unlock up to ₹2.5 lakh crore annually by capitalising on expanding highway traffic and incremental toll fee adjustments.
Expanding Revenue Streams from State Highways
Beyond national highways, India’s state highways also present emerging opportunities for toll monetisation, particularly as Fastag adoption has increased toll revenue capture.
“The monetisation potential of India’s national highways is estimated at around ₹3.6 lakh crore, of which only ₹1.1 lakh crore has been realised so far,” the report said.
Key states including Maharashtra, Karnataka, Gujarat, and Andhra Pradesh are positioned to benefit from this potential, having extensive state highway networks. The report highlights that expanding toll monetisation to state assets could complement the estimated tolling potential on national highways.
This revenue, when fully realised, could support capital-intensive highway projects nationwide, facilitating both expansion and upkeep of critical transport infrastructure, it added.