DMC cancels toll, entry fee collection; CNCCI welcomes state govt order

Dimapur Municipal Council (DMC) has cancelled collection of tolls and certain urban utility and entry fees with immediate effect.
In an order, DMC chief executive officer Thungchanbemo Tungoe stated that in pursuance of Municipal Affairs Department order dated February 23, 2026, and in supersession of all previous orders, notifications and instructions of the council on the subject, collection of tolls and urban utility fees, tolls on goods/empty vehicle entry fees and vehicle entry fees stood cancelled with immediate effect.
The order stated that the cancellation was issued in view of the closure of check gates (toll gates), ban on levy of taxes/fees on goods and items covered under GST regime, and in accordance with the provisions of Section 81 read with Section 124 of the Nagaland Municipal Act, 2023, wherein no prior sanction of the government had been accorded for such levy.
It further stated that coupons for import and export on non-GST items had been kept in abeyance till further order. All structures, booths/installations erected for the purpose of collection of taxes/fees have been directed to be dismantled and removed forthwith in strict compliance with the government order.
The order warned that any officer or staff found acting in contravention would be liable for disciplinary action as per rules. It stated that the order would come into force with immediate effect.
CNCCI welcomes: Confederation of Nagaland Chamber of Commerce & Industry (CNCCI) has welcomed the recent order issued by the department of municipal affairs directing all municipal and town councils to immediately cease collection of tolls, urban utility taxes, vehicle entry fees, and similar levies.
In a press release, CNCCI chairman Dr. Khekugha Muru and general secretary Avi Chase appreciated the directive but expressed reservation over repeated government assurances and subsequent enforcement failures.
CNCCI recalled it had earlier forced the issue through an all-Nagaland shutter-down agitation, leading to the constitution of a committee under deputy chief minister Y Patton. The chamber said this resulted in the municipal affairs department’s Order dated November 16, 2021, banning collection of any taxes/fees on GST-covered goods by municipal and town councils across Nagaland.
However, CNCCI said despite the order, several councils resumed such collections, prompting another statewide shutter-down protest. It said this compelled the home department to issue Order dated May 19, 2022, which banned all check gates except inter-state police check gates; prohibited illegal collections at any location; explicitly covered government departments, associations, unions, and other entities and provided for punishment under Sections 188 and 384 of the IPC.
It said the 2022 order temporarily halted illegal gates and collections, providing relief to consumers and businesses. However, CNCCI noted that certain government departments, municipal councils, and town councils later resumed such practices, raising serious questions about the rule of law in the state.
Welcoming the latest February 23, 2026 order, CNCCI expressed caution, stating that experience has shown government directives often remain “mere eyewash” without strict monitoring and enforcement by the issuing authority.
It said this pattern has eroded public trust in governance.
CNCCI has, therefore, made the following demands: Strict, visible, and time-bound enforcement of both the November 16, 2021 and May 19, 2022 orders; immediate implementation of the Home Department’s May 19, 2022 order in letter and spirit, as certain departments have reportedly resumed collections at various gates.
The confederation affirmed that it would not accept any relaxation or backdoor reintroduction of such illegal levies. CNCCI said that any attempt to revive tolls or fees would face strong opposition, including democratic street action to protect consumers, the market system, and the business community.
CNCCI stressed that the time has come for consistency in governance. It said orders must not only be issued but rigorously enforced to restore public trust and prevent repeated governance failures in Nagaland.