Mumbai, Sep 11 — Minister for Road Transport and Highways, Nitin Gadkari, said on Friday that India would move towards a fully digital, barrier-free highway tolling by February in which motorists will not have to stop at toll plazas to pay fees.
The government is now looking to combine FASTag with vehicle number-plate recognition as it moves towards a more technology-driven tolling system which will also lead a significant increase in toll collections, the minister said in his address at the 'Global Fintech Fest 2026' here.
“The tolling systems that we will implement where the number plate and FASTag both will be used will lead to an incremental increase of Rs 10,000 crore in toll revenues annually,” Gadkari said.
He said that waiting times that once stretched to 12 minutes at toll plazas, and in some cases to as much as 30 minutes, have fallen by 80-90 per cent following the adoption of FASTag. The government is now using technology to eliminate the remaining delays.
The proposed system is expected to strengthen toll collection by using both FASTag data and vehicle number plates, improving the identification and tracking of vehicles on tolled stretches, he explained.
Gadkari said FASTag has already transformed toll collection by sharply reducing waiting times and eliminating the need for cash and change at toll plazas. The next step is to ensure vehicles do not have to stop at toll plazas for paying the fee.
The minister said FASTag was launched in 2016 as part of the government’s effort to modernise toll payments and improve the experience at toll plazas. India’s shift to electronic tolling through FASTag has delivered visible results, making toll collection more seamless, efficient and transparent.
FASTag was made mandatory in 2021, accelerating the shift from cash-based payments to electronic toll collection across the national highway network.
Gadkari pointed out that the benefits of making FASTag compulsory are already quite evident as the government now moves to the next phase of barrier-free tolling.
FASTag uses radio-frequency identification technology to automatically deduct toll charges from a linked account as vehicles pass through toll plazas. Its adoption has reduced reliance on cash payments and helped streamline toll collection.
Gadkari’s remarks at the fintech conference underline the growing role of digital technologies in India across sectors.