Traffic will increase if capital is located between Vijayawada and Guntur. The IGM which has constructed the highway has 10 years more to collect the toll fee there.
The Kaza toll gate will make a hole in the pockets of people if the residuary State capital is formed between Vijayawada and Guntur cities as the vehicular movement will increase manifold. The commoners will have to cough up fee at the toll gate every time they visit capital of residuary State of Andhra Pradesh.
There are, however, no estimates of possible income as it is premature to arrive at a figure. As of now, more than 18 per cent of the total traffic at the toll gate is local traffic that takes monthly passes. On the other hand, there are very little chances of shifting the toll gate, located at Kaza village now, beyond Guntur city limits.
The IGM which has constructed the highway has 10 years more to collect the toll fee there. The other option is: buying back the road from IGM. Either the National Highways Authority of India (NHAI) or the State government—residuary State of Andhra Pradesh—has to shoulder that burden, which is likely to be around Rs. 600 crore, sources say.
The NHAI or the State government has to pay the cost of construction of the road. It is very difficult, officials say, to assess the loss likely to be incurred by the company. The traffic between Vijayawada and Chilakaluripeta is 30,000 and 35,000 passenger cars at Kaza toll gate. Of this, 20 to 25 per cent traffic shuttles between Vijayawada and Guntur. The traffic between Guntur to Chilkaluripeta falls drastically there after.
The toll plaza is manned by Vijayawada Tollway Private Limited, a consortium, which has been awarded the execution of the widening works on a Public-Private Partnership through Build Operate and Transfer (BoT) basis. The VTPL, which fixed the rates in the year 2009, had revised it again in 2011. Another revision was effected since September 1, 2013. The VTPL can revise the charges every year until the completion of 15 year concession period.
Kaza Toll plaza fee