Centre to Implement GPS-Based Toll Collection System, Replacing FASTag from May 1
Why in News?
- The Ministry of Road Transport and Highways will launch a GPS-based toll collection system from May 1, 2025, replacing the current FASTag system. The new system promises distance-based tolling, greater efficiency, and the elimination of toll booths, as announced by Union Minister Nitin Gadkari.
Important Key Points:
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New Toll System Rollout:
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Begins May 1, 2025, across India.
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Will gradually replace FASTag with a GPS-based system.
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How it Works:
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Vehicles will have an on-board GPS unit that uses GNSS (Global Navigation Satellite System) to track the distance travelled on toll roads.
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Toll fees will be automatically deducted from the user’s digital wallet, based on distance.
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Benefits:
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Fair and distance-based tolling (pay only for what you use).
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Eliminates toll booths, reducing traffic congestion and travel delays.
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Enables real-time tracking, minimizing billing errors.
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Implementation Plan:
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Rollout by NHAI.
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Initial phase targets commercial vehicles (trucks, buses).
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Private cars to be included in later stages.
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Technology Update:
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Originally set for April 1, the launch was delayed to replace the US-based GPS with India’s own GNSS system.
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