New Delhi: Union Minister for Road Transport and Highways, Nitin Gadkari, has announced a new FASTag-based annual pass aimed at private, non-commercial vehicle users. Set to launch on August 15, the pass is priced at Rs 3,000 and will be valid for one year or up to 200 trips—whichever comes first.
The initiative is designed to use the existing FASTag framework, but will gradually move toward sensor-based toll collection using GPS and vehicle tracking, aiming to eventually eliminate traditional toll booths.
“The annual pass will facilitate seamless, efficient, and economical travel across National Highways nationwide,” Mr. Gadkari said. “A dedicated link for activation and renewal will be integrated into the Rajmarg Yatra App and also available on official portals of the NHAI and MoRTH.”
The policy seeks to resolve ongoing issues regarding toll plazas situated within 60 km of each other, by simplifying toll payments into a single, affordable transaction. It’s also expected to cut wait times, ease traffic congestion, and reduce disputes at toll collection points.
Backstory: Government’s Push for Toll Reform
Last month, reports suggested that the government was preparing a new toll policy to enhance travel efficiency on national highways. Two models were speculated:
- Annual Pass: Rs 3,000 recharge for unlimited access (up to 200 trips) on national highways for a year.
- Distance-Based Tolling: A flat rate of Rs 50 per 100 km, potentially replacing existing toll fees.
While the annual model has now been formally announced, there is no official confirmation yet on whether the distance-based model will also be implemented. A previous proposal for a lifetime FASTag pass costing Rs 30,000 and valid for 15 years was shelved earlier by the government.
The new initiative marks another step toward a barrier-free travel experience, with plans to eventually transition to sensor-driven, GPS-enabled toll systems across the country.