NHA Refuses Toll Tax Exemption for CDA Electric Bus Service

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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.

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

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

The matter was discussed in a meeting between NHA and CDA officials on January 28, 2026. During the meeting, CDA requested an exemption under the New Energy Vehicle Policy 2025–2030, noting that around 160 electric buses are operating on inter-city routes and seeking relief at major toll plazas.

However, NHA stated that existing toll contracts for the fiscal year 2025–26, which were awarded through competitive bidding, do not include any provisions for electric vehicle exemptions. Officials added that the EV policy was approved after these contracts had already been finalized.

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Syed Sadat Hussain Shah

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