New Toll Tax for Kaghan Valley Imposed

In a move that’s set to impact thousands of travelers each year, local authorities have formally allowed the National Highway Authority (NHA) to collect toll tax from tourists and passengers traveling between Khyber Pakhtunkhwa (KP) and Gilgit-Baltistan (GB) through the stunning Kaghan Valley.

The decision was finalized at a high-level meeting held at the New Circuit House in Balakot. The meeting was chaired by Deputy Commissioner Khalid Iqbal and attended by MPA Munir Hussain Lughmani, former minister Syed Ahmad Hussain Shah, senior local officials, hotel owners, and key representatives from political and tourism circles.

Who Will Pay the New Toll?

According to DC Khalid Iqbal, tourists and transit passengers will be required to pay the new toll tax when traveling along this route. However, residents of Mansehra district — which includes many communities along the Kaghan Valley corridor — will be exempt from the fee. The federal government has officially notified the toll plaza installation and approved a significant Rs. 4 billion budget for infrastructure development in the area, a move aimed at enhancing road conditions and facilities for visitors.

Concerns From Local Tourism Stakeholders

While officials believe the new toll system will generate much-needed revenue for maintaining the region’s roads and boosting tourism infrastructure, it has also raised serious concerns among local hoteliers and tourism operators.

Seth Matiullah, President of the Hoteliers Association Naran, cautioned that the toll collection could disrupt traffic flow and further burden an industry already struggling with high operational costs and seasonal challenges. “Instead of making travel smoother for tourists, toll collection may cause long queues and discourage repeat visits,” he said.

Protests Reflect Local Frustration

Tensions over the toll issue are already visible on the ground. Just last week, local protesters dismantled a newly installed toll plaza near Naran, throwing its parts into the Kunhar River to demonstrate their disapproval of the plan. This act of defiance highlighted the frustration many locals feel about additional charges imposed on an area heavily reliant on seasonal tourism.

Balancing Revenue and Tourism Growth

At the meeting, District Police Officer Shafiullah Khan Gandapur stressed the importance of maintaining law and order during the toll plaza’s implementation. He called on all stakeholders to cooperate and find common ground to ensure smooth operations without hurting the local tourism economy.

The Kaghan Valley is one of Pakistan’s most iconic tourist destinations, attracting thousands of visitors each summer for its lush landscapes, river views, and scenic drives connecting KP and GB. The region’s tourism industry is a major source of income for locals, making any decision that affects visitor numbers a sensitive issue.

The Road Ahead

The introduction of the toll tax reflects the government’s broader plan to boost infrastructure funding through sustainable revenue streams. However, finding the right balance between development and supporting the tourism-dependent local economy will be crucial.

Authorities have promised to address the concerns of hotel owners and ensure that the toll system does not become a barrier for tourists who wish to explore the breathtaking Kaghan Valley.

Afsheen Gohar

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