FASTag 2.0: Electronic Toll Collection Coming Nationwide

Union Minister for Road Transport and Highways, Nitin Gadkari, has announced a major change for India’s highways.

Within a year, physical toll booths will be eliminated, replaced by a fully electronic toll collection (ETC) system.

This will help end long queues and traffic jams at toll plazas.

The new system is already being tested at ten locations and will soon be rolled out nationwide.

Goodbye Toll Booths, Hello Seamless Travel

Gadkari said, “This toll system will end… Within a year, an electronic toll collection will be implemented across the country.”

The shift is expected to reduce wait times, fuel wastage, and congestion, especially on busy highway stretches.

Vehicles will no longer need to stop at toll plazas, making travel faster and smoother.

The Technology Behind the Change

The new system is powered by the National Electronic Toll Collection (NETC) program, developed by the National Payments Corporation of India (NPCI).

FASTag at the Core

Every vehicle will have a FASTag, an RFID sticker on the windshield.

Toll charges will be automatically deducted from the linked bank account as the vehicle passes through a toll lane.

The upgraded system will also:

Eliminate physical toll plazas completely

Use GPS-based tolling and ANPR cameras

Charge vehicles based on distance travelled, not just toll points

This approach aligns India’s highways with global best practices.

Boosting Infrastructure and Travel Efficiency

Gadkari shared that 4,500 highway projects worth ₹10 lakh crore are underway, including expressways, multi-lane highways, and greenfield corridors.

Removing toll barriers will speed up freight movement, enhance regional connectivity, and make travel more efficient.

Benefits for Road Users:

No stoppages at toll plazas

Less congestion and waiting time

Lower fuel consumption

Efficient toll collection with minimal leakage

Future-ready integration with GPS-based tolling

Once fully implemented, India will join countries like the U.S., Singapore, and several European nations that rely entirely on electronic tolling.

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