SRINAGAR: The National Highways Authority of India (NHAI) has announced that cash payments will be phased out at all national highway toll plazas across the country from April 1, 2026. After this date, tolls will only be payable through FASTag or UPI (Unified Payments Interface), aiming to make toll collection fully digital, faster, and more efficient, allowing vehicles to pass through plazas without long delays.
FASTag has already seen widespread adoption, with over 98 percent of vehicles using it for toll payments. The system employs RFID technology to automatically deduct tolls, enabling contactless movement. UPI payments are also accepted at toll plazas, providing drivers an additional quick and convenient digital option.
Currently, vehicles without a valid FASTag that pay in cash are charged double the toll amount, while UPI payments incur a 1.25-times toll fee. These measures are designed to encourage a shift from cash to digital payments.
Studies indicate that cash transactions at toll plazas contribute to traffic congestion, longer waiting times, and occasional payment disputes. By moving entirely to digital payments, NHAI aims to enhance traffic flow, reduce congestion, and improve the travel experience on highways and expressways. This policy will affect over 1,150 toll plazas nationwide and aligns with NHAI’s vision of a modern, technology-driven highway system offering faster, smoother, and more reliable travel. -(KL)

