Updated February 12th, 2024 at 17:44 IST

GPS toll systems: How will they work?

Union Minister Nitin Gadkari announced replacing highway toll plazas with the technology

Business Desk
NHAI's 'One Vehicle, One FASTag' Initiative Aims to Curb Misuse
NHAI's 'One Vehicle, One FASTag' Initiative Aims to Curb Misuse | Image:ANI

Better than FASTags: In an advancement for road technology in India, Union Minister Nitin Gadkari said highway toll plazas will be replaced by GPS-based toll collection.

The innovation, which aims to make rides smoother, will be rolled out in April this year.


A consultant has been appointed, the Minister said, for implementing the GPS-based toll collection system on national highways.

How will it work? 

There will be cameras placed on the highway, which will recognise the number plates of vehicles and deduct the amount using Automatic Number Plate Recognition (ANPR) technology.

The technology works by analysing the travel distance and identifying toll plazas passed, marking entry and exit on tolled segments.


The system will be introduced on a pilot basis in addition to FASTags, the Minister said, adding that the move will reduce traffic congestion and charge motorists only for the distance they have travelled on the highways.

The FASTag technology has been made compulsory since 2021, with those who do not have FASTags being charged double the amount. 

The technology has reduced waiting time at tolls from 8 minutes in 2018-19 to 47 seconds, on the back of decreased traffic and more efficiency for travellers.

Moving one step ahead, the technology will deduct the amount from a secured electronic payment system, so that users don’t have to keep checking or topping up their FASTag balance. 

FASTags work on Radio Frequency Identification (RFID) as a means to collect electronic toll. The passive tag on the vehicles is utilised for processing payments directly from the customers linked to prepaid, savings or their current account.


The technology has also resulted in state-owned NHAI's toll revenue being currently at Rs 40,000 crore, which is projected to rise to Rs 1.40 lakh crore in the next 2-3 years.



Published February 12th, 2024 at 17:44 IST

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