Govt Proposes Annual & Lifetime Toll Passes for Highways
The Indian government is considering a major shift in toll collection by introducing annual and lifetime toll passes for private vehicle owners. This move aims to reduce congestion at toll plazas while offering a cost-effective and convenient alternative to the existing FASTag recharge system.
According to reports, private car owners will be able to purchase an annual toll pass for ₹3,000 or a lifetime pass (valid for 15 years) for ₹30,000. These passes will be integrated with the FASTag system, allowing seamless travel on all national highways and expressways without the need for frequent top-ups.
Currently, FASTag users must maintain a balance and pay per trip. The new toll pass system will work differently, allowing unlimited highway access for a fixed one-time payment. Once linked to a vehicle’s FASTag account, the pass will remain valid for the chosen duration (one year or 15 years), eliminating the need for multiple recharges.
This is a significant improvement over the existing monthly toll pass, which costs ₹340 per month (₹4,080 annually) and is restricted to a single toll plaza. The proposed annual pass, at ₹3,000, offers unlimited travel across the national highway network, making it a more economical and flexible option for frequent travelers.
Government data suggests that while private vehicles account for 53% of toll transactions, they contribute only 21% of toll revenue. In FY 2023-24, private cars generated ₹8,000 crore in toll collection, while the total revenue from all vehicles stood at ₹55,000 crore. The move aims to streamline toll collection, minimize delays at toll booths, and improve overall traffic flow.
While the annual and lifetime toll passes simplify toll payments, the government is also working on a satellite-based toll collection system called the Global Navigation Satellite System (GNSS). This system will charge tolls based on the actual distance traveled rather than fixed rates.
Vehicles equipped with GNSS will be able to travel toll-free for up to 20 km per day on highways, and beyond that, charges will be calculated based on distance covered. This pay-as-you-go approach is expected to enhance fairness in tolling and further ease traffic congestion.
With the introduction of annual and lifetime toll passes, the government aims to offer a cost-effective, hassle-free tolling experience for private vehicle owners. If successfully implemented, this initiative could revolutionize toll collection in India, making road travel more efficient while ensuring sustainable revenue generation for infrastructure development.
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