FASTag or bust: Why carrying cash on highways might soon cost you double
Zee News
In a significant step toward a fully digital toll system on national highways, the National Highways Authority of India (NHAI) plans to ban cash payments at toll plazas starting April 1, 2026. Once this change takes effect, all toll charges must be paid through digital methods, mainly FASTag or Unified Payments Interface (UPI).
In a significant step toward a fully digital toll system on national highways, the National Highways Authority of India (NHAI) plans to ban cash payments at toll plazas starting April 1, 2026. Once this change takes effect, all toll charges must be paid through digital methods, mainly FASTag or Unified Payments Interface (UPI).
The proposal aims to build on the successes of electronic toll collection (ETC) and eliminate the problems tied to using physical cash.
The shift to a "digital-only" payment system seeks to increase lane capacity and significantly reduce congestion. NHAI officials state that cash transactions are the main cause of disputes and long wait times during peak hours. By adopting FASTag and UPI, the government wants to ensure full transparency and a consistent experience at over 1,150 toll plazas on national highways and expressways.
This decision follows the successful rollout of the RFID-based FASTag system, which currently has a penetration rate of over 98% across India.
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