Vehicle transfer NOC only after all pending national highway user fee dues cleared

These changes aim to improve fee compliance and discourage evasion on National Highways, especially with the upcoming Multi-Lane Free Flow tolling system.
These changes aim to improve fee compliance and discourage evasion on National Highways, especially with the upcoming Multi-Lane Free Flow tolling system.

The ministry of road transport and highways on Tuesday said a No Objection Certificate (NOC) for transfer of ownership or transfer of a vehicle from one state to another shall not be granted until any unpaid user fee is cleared.

In addition, renewal or generation of a certificate of fitness for vehicles will not be permitted unless outstanding user fee dues have been paid while commercial vehicles seeking a national permit have been mandated to clear all unpaid user fees to get the permit.

These changes have been introduced in the ‘Central Motor Vehicles Rules, 1989’ and the amended ‘Central Motor Vehicles (Second Amendment) Rules, 2026’ have been notified.

“These amendments are aimed at improving user fee compliance, enhancing efficiency of electronic toll collection and discouraging user fee evasion on National Highways,” it said.

Under the amended rules, a new definition of ‘unpaid user fee’ has been introduced and it refers to the user fee payable for the use of a National Highway section, where Electronic Toll Collection (ETC) system has recorded the vehicle’s passage, but the applicable fee has not been received in accordance with the National Highways Act, 1956.

Henceforth, an applicant seeking NOC will be required to disclose whether any demand for an unpaid user fee at a toll plaza is pending against the vehicle, along with relevant details.

For this, the ministry had made necessary amendments in Form 28 which is an application for a No Objection Certificate (NOC), a key document required for transferring vehicle ownership to another state or district confirming the vehicle has no pending taxes, challans, or legal issues.

“These Amendments will also help in user fee collection after the implementation of the Multi-Lane Free Flow (MLFF) system, that will enable barrier less tolling on the National Highway network,” the ministry said.

“These amendments will help NHAI in fostering transparent and technology-driven tolling systems for sustained development and maintenance of the National Highway network across the country,” it added.

  • Published On Jan 21, 2026 at 11:13 AM IST

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