Digital-Only Toll Collection via FASTag and UPI Launches on National Highways
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Key Takeaways
New Delhi, April 11 (NationPress) In a significant advancement towards improving efficiency and transparency, the Union government has initiated a digital-only toll collection system at all National Highway toll plazas across India.
The Ministry of Road Transport and Highways announced that, starting from April 10, all user fee payments at highway toll booths will be processed solely via digital platforms such as FASTag and Unified Payments Interface (UPI), as per an official statement.
However, the implementation has been delayed in Tamil Nadu, Kerala, Assam, and West Bengal, along with the Union Territory of Puducherry, due to the enforcement of the Model Code of Conduct amidst the ongoing electoral process, according to the Ministry.
The Ministry highlighted that transitioning to a fully digital toll collection approach is anticipated to enhance operational efficiency, diminish congestion at toll plazas, and foster greater transparency in revenue collection.
With a penetration rate exceeding 98 percent, FASTag has drastically changed the landscape of toll collection practices in the nation.
A significant portion of toll transactions is now conducted electronically using Radio Frequency Identification-enabled FASTags attached to vehicles, enabling smooth and contactless passage through toll plazas.
The National Highways Authority of India (NHAI) reported that UPI payment options have also been activated at National Highway toll plazas, providing instant and convenient digital payment solutions for travelers across the country.
Vehicles that enter a toll plaza without a valid and operational FASTag will currently incur a charge of double the applicable user fee if payment is made in cash.
Additionally, the number of users for the FASTag Annual Pass has surpassed 50 lakh, with over 26.55 crore transactions recorded in just six months since its introduction.
This annual pass removes the necessity for frequent recharges by allowing a one-time payment of Rs 3,000 for a year’s validity or up to 200 toll crossings.
Furthermore, the NHAI has increased the fee for the FASTag Annual Pass for the financial year 2026–27 from Rs 3,000 to Rs 3,075, effective from April 1.
This adjustment is in accordance with the National Highways Fee (Determination of Rates and Collection) Rules, 2008, as stated by the NHAI.