Govt Says No Nationwide Satellite Tolling in May 2025, ANPR-FASTag Pilot A Select Plazas

The government has dismissed recent media reports suggesting that the existing FASTag toll collection system would be replaced by a satellite-based tolling system starting May 1, 2025. In an official clarification, the authorities confirmed they have not decided on such a nationwide transition, per Economic Times.

Instead, the National Highways Authority of India (NHAI) is all set to roll out a new ANPR-FASTag-based Barrier-Less Tolling System at select toll plazas across the country. This hybrid tolling mechanism aims to improve traffic flow and reduce congestion at toll booths by enabling seamless toll collection.

The new system will integrate Automatic Number Plate Recognition (ANPR) technology — which uses high-resolution cameras to identify vehicle registration numbers — with the existing FASTag system, which operates on Radio-Frequency Identification (RFID) to deduct toll charges.

Under this upgraded model, vehicles will be able to pass through toll plazas without stopping, as tolls will be deducted automatically. In cases where tolls are unpaid, E-Notices will be issued to defaulters, and continued non-compliance may result in FASTag suspension and further penalties under the VAHAN database system.

NHAI has already floated tenders for installing the ANPR-FASTag system at designated toll plazas. The government said the feedback and performance of this pilot phase will help decide on future nationwide implementation.

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Meanwhile, in a related development earlier this month, NHAI announced a 4-5 per cent hike in toll rates across highways and expressways, in line with its annual revision to adjust for inflation. Currently, there are around 855 user fee plazas on the national highway network, including 675 public-funded plazas and 180 operated by private concessionaires, operating under the National Highways Fee Rules, 2008.

The new barrier-less tolling initiative is part of a broader move towards enhancing road travel efficiency and modernising India's highway infrastructure.