The company, in a statement, pointed out that the existing toll charges were as per the toll concession agreement, dated September 2020, and it was far less than what it is entitled to collect.
DH File Photo
Bengaluru: Nandi Infrastructure Corridor Enterprise (NICE) Ltd, the operator of the 44-km peripheral road and link roads in Bengaluru, has said it is entitled to enhance the toll by 10% every year as per the toll revision agreement, signed with the state government.
In response to an article, published in the DH, titled: 'NICE Ltd in the dock for hiking toll without govt consent’, the company, in a statement, also pointed out that the existing toll charges were as per the toll concession agreement, dated September 2020, and it was far less than what it is entitled to collect.
The toll road operators said the company enforced the revised toll after it received no response from the Public Works Department (PWD) in November 2022 as well as on previous occasions.
"The revision of toll sought for is deemed to have been granted if there is no response from the department,” the company said. It said the PWD officials’ claim on lack of communication regarding toll revision was untrue and contrary to the records.
Referring to the differences of opinion with PWD over violation of technical specifications, NICE Ltd also said there was no link between the right to collect toll and the concretisation of tolled roads.
While the project technical report mandates rigid pavements on NICE Road with certain thickness, the company had white-topped the road.
Matter in high court
The PWD had slapped a default notice in February 2016, stating that NICE Ltd failed to concretise toll roads of the Bangalore-Mysore Infrastructure Corridor Project, as per agreed technical requirements. The high court had stayed the notice and the writ petition is now pending for consideration.
Subsequently, when NICE Ltd reached out to the government over enhancing the toll, the PWD denied permission, citing the pendency of proceedings and the currency of default notice.
In 2017, the PWD had also stated that revision and enhancement of toll rates can come into effect only by state government’s notification, as per the toll concession agreement, dated September 2000, and in terms of the prevailing law.
"The enhancement of toll rates by you during the pendency of writ proceedings before the high court in respect of the default notice issued to you and without following the procedure contemplated above is illegal,” the PWD’s 2017 letter had stated.