From next year, India’s electronic toll collection chip for national highways- FASTag is going to be mandatory for all vehicles. The government is eyeing a system wherein 100% of the toll collected at toll plazas are through FASTag and thereby, no cash handling.
Currently, over 80% of all toll collected across the NHs is through FASTags, according to an IE report. FASTag is a tag or a sticker usually pasted on the car’s windscreen. To communicate with the scanner installed at toll plazas, the device uses RFID technology. The requisite toll amount is deducted automatically from a prepaid wallet or a bank account linked to the FASTag when the car crosses the toll plaza.
With FASTags, vehicles can drive through toll plazas across highways without stopping. If the FASTtag is linked to a prepaid account such as a debit/credit card or a wallet, then vehicle owners are required to recharge/top up the tag.
If it is linked to the owner’s savings account, then the amount will automatically get deducted after the balance goes below a pre-defined threshold. The owner gets an SMS alert on the deduction when the vehicle crosses the toll.