THE CENTRAL ROAD AND INFRASTRUCTURE FUND ACT, 2000 
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ARRANGEMENT OF SECTIONS 
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CHAPTER I 

PRELIMINARY 

SECTIONS 

1.  Short title, extent and commencement. 
2.  Definitions. 

CHAPTER II 
CENTRAL ROAD AND INFRASTRUCTURE FUND 

3.  Levy and collection of cess. 
4.  Crediting of cess to Consolidated Fund of India. 
5.  Grants and loans by the Central Government. 
6.  Establishment of Central Road and Infrastructure Fund. 
7.  Utilisation of the Fund. 
7A. Apportionment of share of fund by Committee. 
8.  Accounts and audit. 

CHAPTER III 

MANAGEMENT OF CENTRAL ROAD AND INFRASTRUCTURE FUND 

9.  Powers of Central Government to administer the Fund. 
10.  Functions of the Central Government. 
11.  Administration of States’ share of the Fund. 
12.  Power to make rules. 
13.  Rules made under this Act to be laid before Parliament. 
14.  Provisions relating to existing Central Road and Infrastructure Fund. 
15.  Repeal and saving. 

THE SCHEDULE I 
THE SCHEDULE II 

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THE CENTRAL ROAD AND INFRASTRUCTURE FUND ACT, 2000 

ACT NO. 54 OF 2000 

[27th December, 2000.]  

An  Act  to  give  statutory  status  to  1[the  Central  Road  and  Infrastructure  Fund  for  development 
and maintenance of National Highways, railway projects, improvement of safety in railways, 
State and rural roads and other infrastructure, and for these purposes  to levy and collect by 
way  of  cess,  a  duty  of  excise  and  a  duty  of  customs  on  motor  spirit  commonly  known  as 
petrol and high speed diesel oil] and for other matters connected therewith. 

BE it enacted by Parliament in the Fifty-first Year of the Republic of India as follows:— 

CHAPTER I 

PRELIMINARY 

1.  Short  title,  extent  and  commencement.—(1)  This  Act  may  be  called  the  2[Central  Road  and 

Infrastructure] Fund Act, 2000. 

(2) It extends to the whole of India. 

(3) Save as otherwise provided in this Act, it shall be deemed to have come into force on the 1st day 

of November, 2000. 

2. Definitions.—In this Act, unless the context otherwise requires,— 

(a)  “appointed  day”  means  the  date  on  which  the  Fund  is  established  under  sub-section  (1)  of 

section 6; 

(b) “cess” means a duty in the nature of duty of excise and customs, imposed and collected on 

motor spirit commonly known as petrol and high speed diesel oil for the purposes of this Act; 

(c) “Fund” means the Central  3[Road and Infrastructure Fund] established under sub-section (1) 

of section 6; 

(d) “national highways” means the highways specified in the Schedule to the National Highways 
Act, 1956 (48 of 1956) or any other highway declared as national highway under sub-section (2) of 
section 2 of the said Act; 

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(f) “prescribed” means prescribed by rules made under this Act. 

CHAPTER II 

5[CENTRAL ROAD AND INFRASTRUCTURE FUND]  

3. Levy and collection of cess.—(1) With effect from such date as the Central Government may, by 
notification in the Official Gazette, specify, there shall be levied and collected, as a cess, a duty of excise 
and  customs  for  the  purposes  of  this  Act,  on  every  item  specified  in  column  (2)  of  the  6[Schedule  I], 
which is produced in or imported into India and— 

(a) removed from a refinery or a factory or an outlet; or 

1. Subs. by Act 13 of 2018, s. 206, for long title (w.e.f. 1-4-2018). 
2. Subs. by s. 206, ibid., for “Central Road” (w.e.f. 1-4-2018). 
3. Subs. by s. 206, ibid., for “Road Fund”  (w.e.f. 1-4-2018). 
4.  Clause (e) omitted by s. 206, ibid, (w.e.f. 1-4-2018). 
5. Subs. by s. 206, ibid., for Heading (w.e.f. 1-4-2018). 
6. Subs. by s. 206, ibid., for “Schedule” (w.e.f. 1-4-2018). 

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(b) transferred by the person, by whom such item is produced or imported, to another person,  

at such rates 1*** as the Central Government may, by notification in the Official Gazette, specify: 

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3[Provided  that  the  additional  duty  of  customs  and  the  additional  duty  of  excise  on  motor  spirit 
commonly known as petrol and on high speed diesel oil levied under sub-section (1) of section 109 and 
sub-section (1) of section 110, as the case may be, of the Finance Act, 2018 shall be deemed to be the cess 
for  the  purposes  of  this  Act  from  the  date  of  its  levy  and  the  proceeds  thereof  shall  be  credited  to  the 
Fund.] 

 (2) Every cess leviable under sub-section (1) on any item shall be payable by the person by whom 
such item  is  produced,  and  in the  case  of imports, the  cess  shall  be imposed  and  collected  on items  so 
imported and specified in the Schedule. 

(3) The cess leviable under sub-section (1) on the items specified in the Schedule shall be in addition 

to any cess or duty leviable on those items under any other law for the time being in force. 

(4) The provisions of the Central Excise Act, 1944 (1 of 1944) and the rules made thereunder and the 
provisions  of  the  Customs  Act,  1962  (52  of  1962)  and  the  rules  made  thereunder,  as  the  case  may  be, 
including those relating to refunds and exemptions from duties shall, as far as may be, apply in relation to 
the  levy  and  collection  of  cess  leviable  under  this  section  and  for  this  purpose,  the  provisions  of  the 
Central Excise Act, 1944 and of the Customs Act, 1962, as the case may be, shall have effect as if the 
aforesaid Acts provided for the levy of cess on all items specified in the Schedule. 

4. Crediting of cess to Consolidated Fund of India.—The proceeds of the cess levied under section 
3 shall first be credited to the Consolidated Fund of India, and the Central Government may, if Parliament 
by appropriation made by law in this behalf so provides, credit such proceeds to the Fund from time to 
time, after deducting the expenses of collection, for being utilised exclusively for the purposes of this Act. 

5.  Grants  and  loans  by  the  Central  Government.—The  Central  Government  may,  after  due 
appropriation made by Parliament by law in this behalf, credit by way of  grants or loans such sums of 
money as the Central Government may consider necessary in the Fund. 

6. Establishment of Central 4[Road and Infrastructure Fund].—(1) With effect from such date as 
the Central Government may, by notification in the Official Gazette, appoint in this behalf, there shall be 
established  for  the  purposes  of  this  Act,  a  Fund  to  be  called  as  the  Central  4[Road  and  Infrastructure 
Fund]. 

(2)  The  Fund  shall  be  under  the  control  of  the  Central  Government  and  there  shall  be  credited 

thereto— 

(a) any sums of money paid under section 4 or section 5; 

(b)  unspent  part  of  the  cess,  being  already  levied  for  the  purposes  of  the  development  and 

maintenance of national highways;  

(c)  the  sums,  if  any,  realised  by  the  Central  Government  in  carrying  out  its  functions  or  in  the 

administration of this Act;  

(d) any fund provided by the Central Government for the development and maintenance of State 

roads.  

1. Omitted by Act 13 of 2018, s. 206, for “not exceeding the rate set forth in the corresponding entry in column (3) of the 

Schedule” (w.e.f. 1-4-2018). 

2. The first proviso omitted by s. 206, ibid (w.e.f. 1-4-2018). 
3. Subs. by s. 206, ibid, for the second proviso (w.e.f. 1-4-2018). 
4. Subs. by s. 206, ibid, for “Road Fund” (w.e.f. 1-4-2018). 

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(3) The balance to the credit of the Fund shall not lapse at the end of the financial year. 

7. Utilisation of the Fund.—1[(1)] The Fund shall be utilised for the— 

(i) development and maintenance of national highways;  

(ii) development of the rural roads;  

(iii)  development  and  maintenance  of  other  State  roads  including  roads  of  inter-State  and 

economic importance; 

2[(iv) construction of roads either under or over the railways by means of bridges and erection of 
safety  works  at  unmanned  rail-road  crossings,  new  lines,  conversion  of  existing  standard  lines  into 
gauge lines and electrification of rail lines; and 

 (v) undertaking other infrastructure projects.  

Explanation.—For  the  purposes  of  this  Act,  the  expression  “infrastructure  projects”  means  the 

category of projects and infrastructure Sub-Sectors specified in Schedule II.] 

3[(2) The Central Government may, depending upon the requirement for development of infrastructure 
projects, and if it considers necessary or expedient to do so, by notification in the Official Gazette, amend 
Schedule II relating to any Category of projects or Infrastructure Sub-Sectors.  

(3) Every notification issued under this Act by the Central Government shall be laid, as soon as may 
be after it is issued, before each House of Parliament, while it is in session, for a total period of thirty days 
which may be comprised in one session or in two or more successive sessions, and if, before the expiry of 
the session immediately following the session or the successive sessions aforesaid, both Houses agree in 
making any modification in the notification or both Houses agree that the notification should not be made, 
the notification shall thereafter have effect only in such modified form or be of no effect, as the case may 
be;  so,  however,  that  any  such  modification  or  annulment  shall  be  without  prejudice  to  the  validity  of 
anything previously done under that notification.] 

3[7A. Apportionment of share of fund by Committee.— The share of the Fund to be apportioned to 
each of infrastructure projects shall be finalised by a Committee, constituted by the Central Government 
by  notification  published  in  the  Official  Gazette,  headed  by  the  Finance  Minister,  depending  on  the 
priorities of the project.] 

8. Accounts and audit.—(1) The concerned departments of the Central Government shall maintain 
proper  accounts  and  other  relevant  records  and  prepare  an  annual  statement  of  accounts,  including  the 
profit and loss account and the balance-sheet in respect of allocations of their shares of fund in such form, 
as  may  be  prescribed  by  the  Central  Government  in  consultation  with  the  Comptroller  and  Auditor-
General of India. 

(2)  The  accounts  of  the  Fund  shall  be  audited  by  the  Comptroller  and  Auditor-General  of  India  at 

such intervals as may be specified by him. 

CHAPTER III 

4[MANAGEMENT OF CENTRAL ROAD AND INFRASTRUCTURE FUND]  

9.  Powers  of  Central  Government  to  administer  the  Fund.—(1)  5[The  Central  Government 

shall have the power to administer the Fund and shall—  

1. Section 7 renumbered as sub-section (1) thereof by Act 13 of 2018, s. 206 (w.e.f. 1-4-2018). 
2. Subs. by s. 206, ibid., for clauses (iv) and (v) (w.e.f. 1-4-2018). 
3. Ins. by s. 206, ibid (w.e.f.1-4-2018).  
4. Subs. by s. 206, ibid., for heading “MANAGEMENT OF CENTRAL ROAD FUND” (w.e.f. 1-4-2018). 
5. Subs. by s. 206, ibid, for section 9 (w.e.f. 1-4-2018). 

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(a) take such decisions regarding investment on projects of roads and other infrastructure 

as it considers necessary; 

 (b)  take  such  measures  as  may  be  necessary  to  raise  funds  for  the  development  and 

maintenance of roads and other infrastructure.] 

10. Functions of the Central Government.—1[(1)] The Central Government shall be responsible for 

the— 

(i)  administration  and  management  of  the  share  of  Fund  allocated  to  the  development  and 

maintenance of the 2[roads and other infrastructure];  

(ii) co-ordination and complete and timely utilisation of all sums allocated out of the Fund; 

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4[(iv) formulation of criteria for allocation of funds for development and maintenance of State road 

projects including the projects of inter-State and economic importance;] 

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(vi)  formulation  of  the  criteria  for  allocation  of  the  funds  for  development  and  maintenance  of 

national highways and other infrastructure projects;]  

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8[(2) Notwithstanding anything contained in clause (viii) of sub-section (1), the Central Government 
shall, with effect from the 1st day of March, 2005, allocate fifty paise from the amount of rupee two as 
amended  by  sections  119  and  120  of  the  Finance  Act,  2005  as  the  additional  duty  of  customs  and  the 
additional  duty  of  excise  on  petrol,  levied  under  sub-section  (1)  of  section  103  and  sub-section  (1)  of 
section 111, as the case may be, of the Finance (No. 2) Act, 1998 (21 of 1998) and the additional duty of 
customs and the additional duty of excise on high speed diesel oil levied under sub-section (1)  of section 
116  and  sub-section  (1)  of  section  133,  as  the  case  may  be,  of  the  Finance  Act,  1999  (27  of  1999), 
exclusively for the development and maintenance of national highways.] 

11.  Administration  of  States’  share  of  the  Fund.—9[(1)  The  share  of  the  Fund  to  be  spent  on 

development  and  maintenance  of  State  roads,  based  on  the  criteria  formulated  under  clause  (iv)  of               
sub-section  (1)  of  section  10,  shall  be  allocated  in  such  manner  as  may  be  finalised  by  the  Committee 
referred to in section 7A]. 

 (2) The portion of the Fund allocated for expenditure in the various States and Union territories shall 

be retained by the Central Government until it is actually required for expenditure.  

(3) If in the opinion of the Central Government, the Government of any State or the administration of 

any Union territory has at any time— 

(a) failed to take such steps as the Central Government may recommend for the regulation and 

control of motor vehicles within the State or the Union territory; or  

1. Section 10 numbered as sub-section (1) thereof by 18 of 2005, s. 121 (w.e.f. 13-5-2005). 
2. Subs. by Act 13 of 2018, s. 206, for “national highways” (w.e.f. 1-4-2018). 
3. Clause (iii) omitted by s. 206, ibid. (w.e.f. 1-4-2018). 
4. Subs. by Act 23 of 2019, s. 186, for clause (iv) (w.e.f. 1-8-2019). 
5. Clause (v) omitted by s. 186, ibid. (w.e.f. 1-8-2019).  
6. Clause (vii) omitted by s. 186, ibid. (w.e.f. 1-8-2019). 
7. Clause (viii) omitted by Act 13 of 2018, s. 206 (w.e.f. 1-4-2018). 
7. Ins. by Act 18 of 2005, s. 121 (w. e. f. 13-5-2005). 
9. Subs. by Act 23 of 2019, s. 187, for sub-section (1) (w.e.f. 1-8-2019). 

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(b) delayed without reasonable cause the application of any portion of the Fund allocated or re-

allocated, as the case may be, for expenditure within the State or Union territory,  

the Central Government may resume the whole or part of any sums which it may have at that time held 
for expenditure in that State or the Union territory.  

(4)  All  sums  resumed  by  the  Central  Government  from  the  account  of  any  State  Government  or 
Union  territory  administration  as  aforesaid  shall  be  re-allocated  between  the  credit  accounts  of  the 
defaulting  and  other  State  Governments  and  Union  territory  administrations  in  the  ratio  of  the  main 
allocation for the financial year preceding the year in which the re-allocation is made.  

(5) The balance to the credit of the Fund in respect of any allocation shall not lapse at the end of the 

financial year. 

12. Power to make rules.—(1) The Central Government may, by notification in the Official Gazette, 

make rules for carrying out the purposes of this Act. 

(2)  In  particular  and  without  prejudice  to  the  generality  of  the  foregoing  powers,  such  rules  may 

provide for all or any of the following matters, namely:— 

(a) specify 1[the type of projects] in respect of which the funds may be disbursed under section 7;  

(b) the manner in which the accounts shall be maintained and the annual statement of accounts 
may be prepared including the profit and loss account and the balance-sheet under sub-section (1) of 
section 8;  

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(d) any other matter for which rule is to be made, or may be, prescribed. 

13.  Rules  made  under  this  Act  to  be  laid  before  Parliament.—Every  rule  made  under  this  Act 
shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, 
for  a  total  period  of  thirty  days  which  may  be  comprised  in  one  session  or  in  two  or  more  successive 
sessions,  and  if,  before  the  expiry  of  the  session  immediately  following  the  session  or  the  successive 
sessions aforesaid, both Houses agree in making any modification in the rule or both Houses agree that 
the rule should not be made, the rule shall thereafter have effect only in such modified form or be of no 
effect,  as  the  case  may  be;  so,  however,  that  any  such  modification  or  annulment  shall  be  without 
prejudice to the validity of anything previously done under that rule. 

14. Provisions relating to existing Central  4[Road and Infrastructure Fund].—With effect from 
the appointed day the Central Road Fund governed by the Parliamentary Resolution dated the 13th May, 
1988 (hereafter referred to in this section as the existing Fund) shall be deemed to be the Fund established 
under this Act and,— 

(a) all schemes relating to development and maintenance of national  5[highways, State roads and 
other infrastructure] sanctioned under the existing Fund in so far as such schemes are relatable to the 
schemes under this Act, shall be deemed to be the schemes sanctioned under this Act; 

(b) all funds accrued under the existing Fund including assets and liabilities shall be transferred to 

the Fund established under this Act. 

15.  Repeal  and  saving.—(1)  The  Central  Road  Fund  Ordinance,  2000  (Ord.  5  of  2000)  is  hereby 

repealed. 

1. Subs. by Act 13 of 2018, s. 206, for “the projects” (w.e.f. 1-4-2018) 
2. Clause (c) omitted by Act 23 of 2019, s. 188 (w.e.f. 1-8-2019). 
3. The words and figures “under section 10” omitted by Act 13 of 2018, s. 206 (w.e.f. 1-4-2018).  
4. Subs. by s. 206, ibid., for “road Fund” (w.e.f. 1-4-2018). 
5. Subs. by s. 206, ibid, for “highways and State roads” (w.e.f. 1-4-2018).  

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(2) Notwithstanding such repeal, anything done or any action taken under the said Ordinance shall be 

deemed to have been done or taken under the corresponding provisions of this Act. 

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1[THE SCHEDULE I] 

(See section 3) 

Name of item 

(2) 

Motor spirit commonly known as petrol 

High speed diesel oil 

Sl. No 

(1) 

1. 

2. 

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1. The Schedule numbered as Schedule I thereof by Act 13 of 2018, s. 206 (w.e.f. 1-4-2018). 
2. Colum (3) omitted by s. 206, ibid. (w.e.f. 1-4-2018). 

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1[SCHEDULE II 

[See section 7 (1)] 

Category of projects and Infrastructure Sub-Sectors 

Sl. No. 

1. 

Category 

Transport 

Infrastructure Sub-Sectors 

(a) Road and bridges; 

(b)  Ports 

(including  Capital 

Dredging); 

(including 

(c)  Shipyards 

a 
floating  or  land-based  facility  with 
the  essential  features  of  waterfront, 
turning  basin,  berthing  and  docking 
facility,  slipways  or  ship  lifts,  and 
which  is  self-  sufficient  for carrying 
on 
shipbuilding/repair/breaking 
activities); 

(d) Inland Waterways; 

(e) Airports; 

(f)  Railway  Track, 

tunnels, 
terminal 
bridges, 
viaducts, 
infrastructure  including  stations  and 
adjoining commercial infrastructure; 

(g)  Urban  Public  Transport 
(except  rolling  stock  in  case  of 
urban road transport). 

(a) Electricity Generation; 

(b) Electricity Transmission; 

(c) Electricity Distribution; 

(d) Oil pipelines; 

(LNG) 

(e) Oil / Gas /  Liquefied Natural 
Gas 
facility 
(including  strategic  storage  of  crude 
oil); 

storage 

(f)  Gas  pipelines  (including  city 

gas distribution network). 

(a) Solid Waste Management; 

(b) Water supply pipelines; 

(c) Water treatment plants; 

(d)  Sewage  collection,  treatment 

and disposal system; 

(e)  Irrigation  (dams,  channels, 

embankments, etc.); 

(f)  Storm  Water  Drainage 

System; 

(g) Slurry pipelines. 

2. 

3. 

Energy 

Water and Sanitation 

1. Ins. by Act 13 of 2018, s. 206 (w.e.f. 1-4-2018). 

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Sl. No. 

4. 

Category 

Communication 

5. 

Social and Commercial Infra 

Infrastructure Sub-Sectors 

 (a) Telecommunication (Fixed 
network including optic fibre/ 
wire/cable networks which provide 
broadband/internet); 

(b) Telecommunication towers; 
(c) Telecommunications and 

Telecom Services. 

(a) Education Institutions (capital 

stock); 

(b)  Sports  and 

Infrastructure 
(including provision of Sports Stadia 
and  Infrastructure  for  Academies  for 
in  Sports  and 
Training/Research 
Sports-related activities); 

(capital 

(c)  Hospitals 

stock 
including  Medical  Colleges,  Para 
Institutes  and 
Medical  Training 
Diagnostic Centers);  

(d) Tourism Infrastructure— 

classified 

three-star  or  higher 
(i) 
hotels 
category 
located  outside  cities  with 
population  of  more  than  one 
million; 
(ii) ropeways and cable cars; 
(e)  Common  infrastructure  for 
industrial parks and other parks with 
industrial  activity  such  as  food 
parks, 
special 
economic  zones,  tourism  facilities 
and agriculture markets; 
storage 
Post-harvest 
infrastructure  for  agriculture  and 
horticulture  produce  including  cold 
storage; 

textile 

parks, 

(f) 

(g) Terminal markets; 
(h) Soil-testing laboratories; 
(i)  Cold  chain  (including  cold 
room  facility  for  farm  level  pre-
cooling,  for  preservation  or  storage 
of  agriculture  and  allied  produce, 
marine products and meat); 

(j) 

Affordable 

Housing 
(including a housing project using at 
least  50%  of  the  Floor  Area  Ratio 
(FAR)/Floor  Space  Index  (FSI)  for 
dwelling units with carpet area of not 
more than 60 square meters. 

Explanation.—  For  the  purposes 
of the item (j), the term “carpet area” 
shall have the meaning assigned to it 
in clause (k) of section 2 of the Real 
and 
Estate 
Development)  Act,  2016  (16  of 
2016). 

(Regulation 

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