Government’s earnings will be reduced from National Highways due to epidemic, toll collection may decrease by 25-30% this month: ICRA

Toll Collection: Lockdown and restriction are in place in many parts of the country to prevent infection due to the second wave of Corona epidemic. Due to this, the movement has been affected. Due to the movement affected, the toll collection on national highways (national highways) in May may be reduced by 25-30 per cent as compared to the previous month of April 2021. Rating agency ICRA released its estimate on Thursday. The toll collection in May may be 25–30 per cent less than in April, although in April also the toll collection was 10 per cent less than in March 2021 the previous month.
Vice President of ICRA Rajeshwar Burla believes that the corona cases have declined in the third week of May. Due to this, now states can gradually relax in lockdown restriction. In such a situation, ICRA estimates that there may be an increase in toll collection in June. In 2019-20, there was a toll collection of Rs 26,851 crore on National Highways, whereas 24,396 crore toll collection was done a year ago.

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Estimates based on collect toll from 1 March to 10 May

With regard to the decline in toll collection in the month of May, ICRA has made the toll collected on 29 projects from 11 states between March 1 and May 10, 2021. According to the study, Maharashtra has been affected the most by Corona. In the second wave of Corona epidemic, lockdown restriction was imposed in Maharashtra for the first time in the country, due to which the growth started to decline here from April 2021. This decline occurred in the collect toll through all types of trains but the toll affected was the most affected passenger trains and buses as the movement of people was affected due to strict restrictions.

Toll collection will not be affected more than last year

Last year, a lockdown was imposed across the country due to the pandemic in 2020, but this time the lockdown has been imposed at the local level. Apart from this, the movement of manufacturing and construction activities and goods has been exempted this time. Due to this, the toll collection will have less effect than last year. According to Rajeshwar Burla, toll collection has been affected due to the second wave, but in spite of the inflow linked increase in low base and toll rates in FY 2021-22, teen revenue growth in toll road projects will be less.