No Decision Yet on Replacing FASTag with Satellite Tolling, Says Transport Ministry Transport Ministry Clarifies

National News: The Ministry of Road Transport and Highways has dismissed the news for implementing satellite permit -based toll recovery system across the country since 1 May 2025. The ministry has clarified that at present, the existing Fastag system in the country will remain operational and no final decision has been taken to implement any new system.

Ministry's explanation on viral reports

Recently some media reports claimed that the government is going to implement a new satellite tolling system by removing Fastag. Reacting to these reports, the Ministry has publicly issued an explanation. The ministry said that many technical options are being considered to make toll collection methods modern and easy, but no approval or implementation date has been fixed for satellite -based tolling.

Trial of hybrid toll system continues

Although the ministry termed the news of the satellite system a rumor, it admitted that a joint toll recovery system is currently being tried at a select toll plaza, including Fastag and ANPR (automatic number plate recognition) technology. The purpose of this hybrid model is to reduce traffic congestion on toll plaza and speed up toll recovery process.

The ministry said, "We are testing the ANPR based system on some toll plazas to make the movement of vehicles more comfortable and reduce the waiting time."

How will the new model work?

• Fastag System: This is a contactless payment system, in which the toll fee is automatically deducted through the RFID tag imposed on the vehicle's windshield.
• AnPR camera: Scan the number plate of high-resolution cameras identify by scanning the vehicle. If Fastag does not work for some reason, this system automatically identifies the vehicle and charges toll fee.
• Compliance and penalty: If the toll fee is not paid, the vehicle owner will be sent to e-neotis. Fastag may be suspended or additional penalty in case of continuous payment.

Why is it necessary to discover the new system?

According to the ministry, it is the government's priority to make the toll recovery system more efficient, transparent and timely. This will reduce the waste of fuel and make people travel more easy. The Ministry is also studying the practicality of the GPS based toll recovery system, in which fee will be charged based on distance. However, no deadline has been fixed yet to implement this system.

Toll recovery will make more smart & effective

The Ministry of Road Transport has made it clear that at present the Fastag system will remain in force and there is no plan to remove it or implement satellite -based system. The government is continuously experimenting to make toll recovery more smart and effective, but any new system will be implemented only after final decision and testing.