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India is preparing to revamp its toll collection system with a new FASTag-based policy that could allow unlimited highway travel for an annual flat fee of ₹3000. The goal is to simplify road travel, eliminate frequent top-ups, and offer a smoother driving experience across national and state expressways.

Two Options: Annual Pass or Pay-As-You-Go

The proposed toll policy offers two flexible payment models:

• Annual Pass: Vehicle owners can pay ₹3000 once per year for unlimited access to all toll roadsincluding national highways and expressways.
• Distance-Based Toll: Occasional users can choose to pay ₹50 for every 100 km travelled, ideal for those who rarely use highways.

No Extra Documents, Easy Transition

Existing FASTag users do not need to submit new documents. They can switch to the new system using their current accounts. This ensures a hassle-free transition and encourages wider adoption.

Lifetime FASTag Plan Scrapped

The government has dropped its earlier idea of a lifetime FASTag plan that proposed a hefty one-time payment of ₹30,000 for 15 years. The new annual model is seen as more affordable and practical for most users.

Revenue Protection for Private Toll Operators

To address concerns from highway concessionaires and toll operators, the Ministry of Road Transport and Highways is drafting a compensation mechanism based on actual travel data. This will help maintain revenue flow while giving users more value and freedom.

Banks Get More Power to Curb Evasion

The policy also plans to empower banks with stronger tools to prevent toll fraud and evasion, such as enforcing minimum FASTag balances.

Status in 2025: Under Review

The proposed FASTag toll policy is still under review. However, if approved, it promises a major upgrade to India’s toll system—making long-distance travel more seamless, efficient, and cost-effective for millions of motorists across the country.

Conclusion: A Game-Changer for Road Travel

This new toll policy could redefine road travel in India. By offering flexibility, ease of use, and value for money, it paves the way for a smarter, more accessible national highway experience.