In a major step toward making the road travel more seamless, the Central government is set to introduce a new GPS-based toll collection system starting May 1, 2025. The move, spearheaded by the National Highways Authority of India (NHAI), aims to phase out the current FASTag system in favor of a more advanced, satellite-driven model that calculates toll charges based on the actual distance travelled by vehicles.

The upcoming system, known as the Global Navigation Satellite System (GNSS), assures an upgrade over the current FASTag model, which has been operational since 2016. While FASTags have significantly improved toll plaza efficiency, they’ve also been plagued by technical glitches at toll plazas leading to long queues.

How the GNSS-Based Toll System Works

Unlike FASTags, which rely on RFID tags located on your vehicle’s windshields, the GNSS system uses satellite tracking. Cars fitted with an on-board unit (OBU) or tracker will be monitored for their exact highway usage. And the toll charges will be calculated based on the distance travelled and automatically deducted from a linked digital wallet. The system is also expected to support both prepaid and postpaid billing options, offering flexibility to commuters.

Recently, Union Minister Nitin Gadkari confirmed in Nagpur that the GNSS-based system will be rolled out by the end of April. After some delays, it was first expected to launch on April 1. Now, the Centre plans to begin the rollout within the next 15 days. 

Benefits for Commuters

The GNSS-based system is expected to offer several advantages:

  • It will cut down waiting time as you do not have to wait on the toll booths
  • It will reduce the risk of fraud and manual errors
  • More seamless and contactless driving experience

What FASTag Users Must Do

Existing FASTag users will need to follow a transition process:

  • The FASTag will work till April 30, 2025
  • Install a government-approved GPS device in your vehicle From May 1, 2025
  • Link your bank account to the new system
  • After completing everything remove the FASTag sticker from your car 

What’s The Need To Switch From FASTag To GNSS Based Toll System

The FASTag made the toll payment seamless, contactless, and also less time consuming, but one can’t deny the fact that it usually faced manual errors by the staff, and the misuse also. If the tag is not clear then the machine will have problems reading it. And all of this ended up in long queues.

As the GNSS rollout approaches, drivers across India can look forward to smoother, more efficient travel.