The government had earlier stepped in to prevent the initial proposed toll hikes at three highways that would’ve seen the implementation of costlier toll rates, according to a report by theSun. Works Minister, Datuk Fadillah Yusof, had earlier revealed that three highways had proposed to raise their toll rates by RM2 but the government instead insisted on a RM1 raise.

Concessionaires were permitted to raise the toll rates as per the contracts but did not do so since 2008. “We have been holding on actually, it was supposed to be increased in 2014 but Prime Minister Datuk Seri Najib Abdul Razak said no and to let us study in depth and have further negotiations with the concessionaires.”

“After the negotiations, we had to finally increase the toll rates though the increase seems high,” he added. Despite the toll hikes, the government is still expected to be paying a fair sum of money to the concessionaires as compensation. Without the recent toll hikes, the government would have had to pay a total of RM1.6 billion in compensation by next year.

“Although the toll increase has been implemented, we are still paying RM510 million in compensation for the Jan-Oct 15 period because of the delay in raising the toll rates which should have been done in January this year,” he commented. Fadillah said that the money paid as compensation could have been channelled to projects that would better the community.

For a recap on all the recent highway toll hikes, check out our roundup post right here.