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Business and Trade news

FASTag, UPI-only toll collection begins on national highways

  • BY India News Newsdesk
  • April 12, 2026
  • 0 COMMENTS

New Delhi, April 11 (IANS) The Union government on Saturday took a major step to enhance efficiency and transparency by implementing digital-only toll collection at all National Highway fee plazas across the country.

According to the Ministry of Road Transport and Highways, with effect from April 10, all user fee payments at highway toll plazas are being processed exclusively through digital modes such as FASTag and Unified Payments Interface (UPI), an official statement said.

However, the rollout has been kept on hold in Tamil Nadu, Kerala, Assam and West Bengal, as well as the Union Territory of Puducherry, due to the Model Code of Conduct being in force amid the ongoing electoral process, the Ministry said.

The Ministry added that the shift to fully digital toll collection is expected to streamline operations, reduce congestion at toll plazas, and improve transparency in revenue collection.

With more than 98 per cent penetration, FASTag has significantly transformed toll collection practices in the country.

A majority of toll transactions are now processed electronically through Radio Frequency Identification-enabled FASTag affixed to vehicles, facilitating seamless and contactless movement across toll plazas.

According to the National Highways Authority of India (NHAI), UPI payment facilities have also been operationalised at National Highway toll plazas, ensuring instant and accessible digital payment options for commuters nationwide.

Vehicles entering a fee plaza without a valid and functional FASTag are currently charged twice the applicable user fee if payment is made in cash.

Meanwhile, the FASTag Annual Pass has crossed 50 lakh users, with more than 26.55 crore transactions recorded within six months of its launch.

The annual pass eliminates the need for frequent recharges through a one-time payment of Rs 3,000 for one year’s validity or up to 200 toll crossings.

In addition, NHAI has revised the FASTag Annual Pass fee for the financial year 2026–27 from Rs 3,000 to Rs 3,075, effective from April 1.

The revision has been made in accordance with the National Highways Fee (Determination of Rates and Collection) Rules, 2008, the NHAI said.

–IANS

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