Govt to implement satellite-based toll system, says Gadkari: Difference vs FASTag explained

The Ministry of Road Transport and Highways is preparing to implement a Global Navigation Satellite System (GNSS)-based toll collection system on select national highways. This initiative, announced by Union Minister Nitin Gadkari in a written reply to the Rajya Sabha, will function along with the existing FASTag system.
The pilot studies have already been conducted on the Bengaluru-Mysore section of NH-275 in Karnataka and the Panipat-Hisar section of NH-709 in Haryana.The system aims to enhance the efficiency of toll collection and reduce congestion at toll plazas.
On June 25, 2024, an international workshop was held to consult stakeholders on the GNSS-based system. This was followed by a global expression of interest (EOI) on June 7, 2024, inviting wider industrial participation. The deadline for EOI submissions was July 22, 2024.
FASTag vs GNSS-Based Tolling
FASTag uses RFID technology with a windshield sticker that toll booth scanners read to deduct tolls automatically. While faster than cash lanes, FASTag still requires stopping at toll booths, leading to potential queues during peak hours. Users must maintain a pre-paid balance for smooth toll payments.

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In contrast, the GNSS system employs virtual toll booths that communicate with satellites to track vehicle locations and calculate tolls based on distance traveled. This system eliminates the need for physical toll booths, allowing for seamless travel without stopping. It will likely allow flexible payment options, including prepaid and postpaid billing.
The new GNSS system will initially work alongside FASTag in a hybrid model, ensuring a smooth transition. While FASTag users won’t need to replace their tags immediately, GNSS-enabled devices may be required in the future.
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