Plea challenges limiting discounts only for vehicles with FASTag

The petitioner, a practicing advocate, submitted that the discount given to all vehicles crossing a toll plaza multiple times and making payments either by cash or by FASTag under Rule 9 of the National Highways Fee (Determination of Rates and Collection) Rules, 2008, and thereafter amended in 2016 wherein the toll plazas became ‘fee plazas’, has now been taken away by an executive circular.

The discount was now restricted only to those vehicles that have affixed FASTag devices, thereby withdrawing discounts for those who pay by cash, the petitioner submitted, noting that if an executive action was prejudicial to any person, it has to be necessarily backed by a legislation.

He also contended that a person cannot be deprived of the discount just because pays by cash.

When the case came up for hearing, the first bench comprising Chief Justice AP Sahi and Justice Subramonium Prasad observed that circulars cannot amend rules having statutory force. “Similarly, the power to give discount or withdraw them is ordinarily in the domain of the State. Similarly, if executive instructions are contrary to the rules, then the rules and not the executive instructions would prevail,” it said.

“We have therefore now to examine as to whether the impugned circular issued by the government can limit the discount which was available to users of fee plaza by paying cash can be withdrawn to their disadvantage,” the bench said while ordering notice returnable in a week.

It asked the Centre to explain whether the circular issued on January 15, has the effect of amending the Rule 9 of 2016 Rules; and if yes, was it not beyond its legal authority. Also, the bench sought to know if the circular in the nature of a direction could be issued which would have an effect of amending therule itself. The plea was posted to March 30 for further hearing.