India’s highways are set to go fully digital as the National Highways Authority of India (NHAI) announced that cash payments at toll plazas will be phased out starting April 10. The move is aimed at streamlining long-distance travel, reducing congestion, and promoting the adoption of electronic payment systems for commuters.

Under the new rules, FASTag will remain the primary mode of toll payment. However, vehicles without a FASTag will be required to pay via the Unified Payments Interface (UPI). Officials expect this measure to ease traffic flow, particularly during peak travel hours, which have long been a source of complaints for motorists.

Motorists who opt for UPI payments instead of an active FASTag will face a surcharge, with toll charges set at 25 per cent higher than the standard rates. The National Highways Fee Rules grant authorities the right to deny entry to vehicles refusing both FASTag and UPI payments. In addition, unpaid dues may result in e-notices, and if unsettled within three days, the outstanding amount can double.

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The revised regulations also end informal toll exemptions previously allowed for private vehicles using government identity cards. Going forward, only vehicles with an ‘Exempted FASTag’ will qualify for free passage, ensuring fair application of exemptions and minimizing disputes at toll plazas.

The NHAI is promoting the FASTag Annual Pass as a cost-effective option for frequent travelers. Priced at ₹3,075 for private, non-commercial vehicles, the pass covers up to 200 crossings or remains valid for one year, whichever comes first. Officials say this provides significant savings for commuters traveling regularly between cities.

Motorists can apply for or renew the Annual Pass digitally via the Rajmarg Yatra app or the NHAI and Ministry of Road Transport and Highways websites. Activation requires logging into a FASTag-enabled account, linking the vehicle and mobile number, and paying the fee via UPI, debit/credit card, or net banking. Once processed, the pass is automatically activated on the vehicle’s FASTag, usually within 24 hours.

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