In a major overhaul of the country’s toll collection system, the indian government has announced that FASTag will be phased out starting May 1, making way for a new GPS-based toll tracking mechanism. The move aims to eliminate long queues at toll plazas and ensure seamless highway travel.

Why the Change?
While FASTag—a radio-frequency identification (RFID) system—reduced waiting times compared to cash payments, vehicles still had to slow down or stop at toll booths, leading to congestion, especially during peak hours. The new GPS-based toll collection system will calculate toll charges based on the distance traveled by a vehicle on highways, eliminating the need for physical toll booths.

How Will It Work?
GPS Tracking: vehicles will be tracked via GPS-enabled devices or in-built systems.

Automatic Deduction: Toll amounts will be deducted directly from the user’s linked bank account based on the distance covered.

No More Stops: Unlike FASTag, drivers won’t need to halt at toll plazas, ensuring uninterrupted travel.

Global Inspiration
India’s new system is inspired by Singapore’s Electronic Road Pricing (ERP) and Europe’s satellite-based toll collection models, where tolls are charged based on real-time vehicle movement.

Challenges Ahead
While the shift promises smoother travel, concerns remain over privacy issues due to GPS tracking and implementation hurdles in rural areas with weak wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital infrastructure. The government has assured robust safeguards to protect user data.

What’s Next?
FASTag will remain operational for some time, but the full transition to GPS-based tolling is expected by the end of 2025. The move aligns with India’s vision for a futuristic, congestion-free highway network.
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Sindujaa D N

17/04/2025 11:44 AM