National Highways to Go Cashless: What You Need to Know About the New Toll Payment Rules

The Ministry of Road Transport and Highways has announced a shift to cashless toll payments on national highways, effective April 10. This change aims to reduce congestion at toll booths, with FASTag as the primary payment method. For vehicles without a valid FASTag, payments can still be made via UPI, but at a higher fee. The NHAI has also reported significant growth in FASTag subscriptions, indicating a move towards more efficient toll collection. Discover all the details about this transition and what it means for travelers.
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National Highways to Go Cashless: What You Need to Know About the New Toll Payment Rules

Transition to Cashless Toll Payments


In a significant update, the Ministry of Road Transport and Highways has announced that cash transactions at toll plazas on national highways will cease starting April 10. This decision aims to streamline the toll collection process and alleviate congestion at toll booths.


According to a recent gazette notification, vehicles entering a toll plaza without a valid FASTag will still have the option to pay via Unified Payment Interface (UPI), albeit at a surcharge of 1.25 times the standard toll fee.


A senior official from the National Highways Authority of India (NHAI) emphasized that the primary method for toll payments will be through FASTag, while UPI will act as a backup for those without a valid FASTag.


The notification further clarifies that if a vehicle arrives at a fee plaza without a FASTag or a functional one, and the driver chooses to pay via UPI, they will incur an additional charge based on their vehicle category.


Moreover, if the vehicle owner or driver opts not to pay as specified, the vehicle will be subject to penalties as outlined in rule 14 of the regulations.


Recently, the NHAI reported surpassing 5 million subscribers for its FASTag annual pass, which permits up to 200 toll crossings for a fee of Rs 3,000 annually. Since its introduction on August 15, there have been approximately 26.55 crore transactions using these passes.


Currently, there are over 1,150 toll plazas located across various National Highways and Expressways throughout the country.