Saturday, May 21, 2022

FASTag system to end soon in India

Indian government is planning to roll out GPS-based toll collection system in the place of current FASTag system. This is going to be done to ensure seamless payment and vehicle movement on national highways. Nitin Gadkari, the minister of Road and Highway Transport recently told that the FASTag system which was recently implemented in 2015 will get over soon.

The government is now planning to launch a GPS-based toll system, in which a common man will not need to stop at the toll plazas.

How will the new GPS system work?

Under the new system, vehicles will be fitted with GPS and once they enter the highway, system would automatically track the vehicle. The customers will have to pay the toll for the distance travelled on the highway and based on this, the system will automatically deduct the toll amount at toll gate.

This will work on a pro-rata basis. It means the more you use the highways, the higher amount you’ll need to pay. Currently, the tolls ae charged at the booths at a stepped price.

This system will require the owner to register his/her name, vehicle model, address, registration number, and bank account details.

People believe that this would require the toll amount based on the distance travelled. However, the full toll has to be paid even if a person enters or exits the highway at some midpoint.

People find this more challenging as they need to maintain the sufficient money in their bank account linked to the system to enable automatic transfer of toll amount.

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