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FASTag Getting Abolished In India; New Satellite-Based Toll Collection Replacing FASTag

(Last Updated On: October 31, 2022)

Key Highlights

FASTag might get abolished in India

Sattelite-based navigation toll collection system under development

Exact timeline for FASTags getting out of service is a mystery

FASTag toll collection system came as one of the biggest respites for Indian consumers using the national highways for daily or occasional commutes. This advanced toll collection system started as a pilot project back in 2014. And by December 2019, the Indian government made it a mandate system for collecting tolls across all toll plazas on the national highways in India. FASTag was introduced to make the commute for the masses hassle-free and also get rid of long queues at the toll plazas.

But the latest developments suggest the government is planning to abolish the FASTag service in India and instead bring a new toll collection method. The government is said to be in the works to implement a new satellite-based toll collection system which might be more expensive than the current fare collection system. Why is the FASTag system getting abolished in India and which service will replace it? Read on to know all the details:

FASTag Toll Collection Getting Discarded in India

The Indian government has started working on a new system to collect tolls from the vehicles commuting on the national highways in the country. Currently, the tolls are being collected using the RFID-based FASTag system where a certain fixed amount is being charged from the travelers. The current rates are set depending on the distance between one toll collection point and the other.

While there is no official confirmation from the government stating the abolition of the FASTag system, rumors are rife that it’s getting replaced by a rather advanced fare collection system. Several online reports have suggested the government is planning to implement a new toll collection system that will be using the satellite-based navigation system to charge the toll fare.

New Satellite-Based Navigation Toll System To Replace FASTag Toll Collection In India

A new satellite-based toll collection system based on satellite navigation is said to replace FASTag in the coming years in India. The latest toll collection system is already said to be in the development phase and a pilot project has already been initiated for the same in the country. This toll collection system has been doing fairly well in the international markets.

Countries like Germany and Russia are using the satellite toll collection system in their region. The Indian government is said to be following the lead of the European nations by implementing the satellite-based toll collection in the country. It might take a while for the government to completely implement this new toll collection system all across the Indian continent.

Experts from Russia and South Korea are being consulted by the Indian government to prepare a study report that will help complete this project. With the expert opinion and study cases, it will be easy to deploy the satellite toll collection at a mass scale.

How Will The New Satellite Toll Collection Work? Will It Be Expensive Than FASTag?

Unlike FASTag, where a toll fare is charged based on the distance between one toll booth to another, the upcoming satellite toll collection will rather charge the travelers based on the total kilometers driven on the national highway or expressway. The toll collection system would be similar to FASTag where a certain amount would be deducted from the linked account.

However, the fare charges will now be calculated right from the moment a vehicle gets on a toll-enabled route. This upcoming toll collection system seems a bit expensive compared to the current FASTag system. But we aren’t yet sure how expensive it would be compared to FASTag once it is implemented officially on a mass scale. Besides, this new satellite toll collection is in the testing phase and it might take a few years before it goes fully functional in the country.

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By Sandeep Sarkar

As the Assistant Editor, Sandeep is generating tech-oriented content and also monitoring the content published on the website. He has over six years of experience in tech journalism and has expertise in product reviews, news articles, listicles, and media campaigns.

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