Should the Toll Charges be Scrapped on the Noida Toll Bridge Company's Delhi Noida Direct (DND) Expressway/Flyway?

For all the commuters using the Delhi - Noida Direct expressway / flyway, acronymed as DND in usual jargon, this might be a #NewsOfUse

Following a petition and Court Orders in India, CAG to audit the accounts of Noida Toll Bridge Company, which operates the #DND Flyway to check the contractual terms & if the company has already realized the profit under deemed terms & conditions.

Delhi Noida Direct Flyway (DND)If the CAG ascertains through course of its investigation that the DND Flyway Company has already pocketed the deemed profit amount, after achieving the break-even for the project cost in incurred, they shall recommend scrapping of the collection of toll at this flyway.

This development is important for India's commuters, planners, road developers, infrastructure companies & allied government departments in more than one way. 

While, collection of requisite toll charges is valid for an infrastructure project which was conceived that way only between a particular government / semi-government body and a road development company. The most common mode of planning for such projects off late is the 'BOT' mode, which stands for 'Build-Operate-Transfer'. As per the usual terms & conditions of such projects, the developer chalks out the actual techno-commercial viability of a particular project (which in first place was conceived by a government body on papers/plans). The developer then builds the infrastructure project with its own and borrowed (financed) capital; and then operates it once the project is ready.

In entire operation & pay-back scenario, the company/ developer is supposed to collect calculated toll amount for a certain estimated period of time, during which it pares its financed debt for the project, earns earmarked returns on investment (deemed earnings in shape of profits for the company) along with paying a part of collected toll back to the government/ municipal body also under the jurisdiction of which the particular infrastructure project is.

All in all, as per the valid & just estimates, the profits earned from such infrastructure projects must also have a pre-defined and calculated upper limit (called the 'ceiling') for the deemed profits. 

And that is what is being probed now as whether the Noida Toll Bridge Company (NTBC) has already earned its deemed profits from the DND Flyway as on date or not. If yes, then collection of toll should rightly be stopped right away

Team bricksNmortar shall keep a track of the developments, and would update our readers & followers by means of our twitter & facebook handles

Technical details of the DND:
  • Originally 9.2 kms long, with 1 km additional stretch/interchange added later.
  • 4 lane dual carriageway making it an 8 lanes flyway
  • 31 lane Toll Plaza at the Noida end and 11 lane Toll Plaza at the Mayur Vihar end
  • Find more details at DND's Wikipedia page

Click this image of Google Map to Get Route Directions
#NewsOfUse | #Toll | #Infrastructure | #Delhi | #Noida | #Flyway | #bricksNmortar

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