NHA Denies Toll Tax Exemption for CDA Electric Buses

The National Highway Authority (NHA) has clarified that electric buses operated by the Capital Development Authority (CDA) are not exempt from toll tax under the current policy framework, the National Assembly was informed.

In a written reply, Federal Minister for Communications Abdul Aleem Khan said that while CDA electric buses are allowed to operate freely on routes such as N-5 from 26 No. Chungi to Taxila, they must pay toll charges like other vehicles.

He added that toll exemptions are currently limited to specific categories, including armed forces vehicles, ambulances, fire brigades, police, and certain government vehicles.

The issue was discussed in a meeting between NHA and CDA officials on January 28, 2026, where CDA sought an exemption under the New Energy Vehicle Policy 2025–2030. Officials were informed that around 160 electric buses are operating on inter-city routes and requested relief at key toll plazas.

However, NHA explained that existing toll contracts for FY2025–26, awarded through competitive bidding, do not include provisions for electric vehicle exemptions, as the EV policy was approved after the contracts were finalized.