IHC prevents NHA from collecting 50% additional toll for M-Tag violations

Court suspends additional toll until August 3, seeks answers from NHA and Ministry of Communications

The Islamabad High Court (IHC) on Friday restrained the National Highway Authority (NHA) from collecting an additional 50 per cent from motorists traveling without M-Tag or with insufficient M-Tag balance, suspending the authority’s notification until the next hearing on August 3.

The court also sent notices to the NHA, Ministry of Communications and other respondents, seeking their responses.

Judge Arbab Muhammad Tahir issued the interim order after conducting a preliminary hearing on a motion filed by lawyer Muhammad Jalal Haider.

Read: SCBAP will challenge “extortion” of the NHA via toll tax increases

The NHA has announced a 50% increase in toll fees for vehicles without M-Tag or with insufficient M-Tag balance, effective June 15, 2025, as part of its plan to implement a 100% M-Tag system on the country’s highways.

The petition named the NHA, the Ministry of Communications and other parties as respondents, asking the court to declare the additional charges illegal and order the authorities to refund the amount collected from the public as the fine.

According to the petition, the NHA issued a notification on May 30, 2025, imposing an additional 50% toll, described as a penalty, on vehicles traveling without an M-Tag or with insufficient M-Tag balance.

The petitioner argued that Section 10 of the NHA Act authorized the authority to collect only toll taxes and did not contain any provision allowing it to impose penalties on non-M-Tag vehicles or those with low M-Tag balance.

The petition claimed the NHL was clawing back the extra amount without any legal authority.

It asked the court to declare the May 30 notification unconstitutional and void, order the NHA to refund all additional amounts collected under the notification and seek details of the mechanism governing M-Tag balances and its implementation.

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