The Indian government has announced a major update to promote digital toll payments and discourage cash transactions on national highways.
The Ministry of Road Transport and Highways has amended the National Highways Fee (Determination of Rates and Collection) Rules, 2008, to introduce new charges for vehicles without FASTag.
Under the new rules, any vehicle entering a toll plaza without a valid FASTag will have to pay double the toll amount if the payment is made in cash. However, there’s some relief for those who choose to pay digitally.
UPI Payments to Cost Less Than Cash
According to the new system, if drivers pay using UPI or other digital methods, they will be charged only 1.25 times the normal fee — instead of twice the amount. For example, if the regular FASTag toll is ₹100, paying in cash will cost ₹200, while paying via UPI will cost ₹125.
The ministry said this move aims to make toll collection more transparent and convenient while reducing long queues at toll plazas.
The new rules will officially come into effect from November 15, 2025.
A Step Toward a Digital, Hassle-Free Highway System
The government believes that encouraging digital payments will not only improve toll efficiency but also enhance the overall travel experience on highways.
By reducing cash use, it hopes to cut down congestion and make toll plazas faster and more efficient.
This change marks another step in India’s growing shift toward cashless, technology-driven infrastructure, making travel simpler and smoother for millions of drivers nationwide.