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The Ministry of Road Transport and Highways (MoRTH) has clarified on Friday, April 18, that it has not approved any plan to implement a satellite-based tolling system across the country starting from May 1, 2025.
The clarification comes after sections of media reported that the new system would replace the existing FASTag mechanism from May. No such nationwide transition has been finalised by either MoRTH or National Highways Authority of India (NHAI), the Ministry said in a statement.
Instead, a pilot initiative involving a hybrid 'ANPR-FASTag-based Barrier-Less Tolling System' will be introduced at select toll plazas, it said.
Vehicles will be charged based on number plate detection and FASTag identification without requiring them to halt at toll booths.
Non-compliant vehicles will be issued electronic notices, and failure to pay may result in FASTag suspension or penalties under the VAHAN portal.
"Vehicles will be charged based on their identification through high performance ANPR cameras and FASTag Readers, without needing to stop at the toll plazas. In case of non-compliance, E-Notices will be served to the violators, non-payment of which may result in suspension of FASTag and other VAHAN related penalties," the MoRTH added.
The NHAI has already invited bids for the system's installation at selected locations. The decision on a broader rollout will depend on system performance, user experience, and operational efficiency, the Ministry added.
The clarification follows media coverage suggesting that India was preparing to replace the FASTag with a GPS based toll collection model.
The Union Road Transport and Highways Minister Nitin Gadkari had reportedly said that a new tolling policy would be introduced within 15 days, with implementation likely in May.
"Once the new policy is implemented, no one will get a chance to complain about the toll," Gadkari had said, without sharing further specifics.