Roads, Highways, Cargo, Air-Cargo and Logistics infrastructure – Bharatmala, LEEP, SetuBharatam, etc.

FASTag Annual Pass Scheme

Prelims Only | Economics | Mains Paper 3: Infrastructure: Energy, Ports, Roads, Airports, Railways Etc.

Why in the News?

Union Transport Minister announced a new FASTag-based Annual Pass system for private non-commercial vehicles (cars, jeeps, vans) to ensure smoother travel across National Highways.

What are FASTags?

  • FASTag is a contactless toll payment system that uses Radio Frequency Identification (RFID) technology to enable automatic toll collection at National Highway toll plazas.
  • Managed by the National Highways Authority of India (NHAI) and National Payments Corporation of India (NPCI), it was launched in 2014 and became mandatory in 2021 for all four-wheeled vehicles.
  • It is a sticker affixed on a vehicle’s windshield, linked to a prepaid wallet or savings account. Toll charges are automatically deducted when the vehicle passes through an electronic toll gate.
  • It enhances convenience, reduces traffic congestion, and promotes digital payments across India’s highway network.
  • As per the Motor Vehicles Rules, FASTags are mandatory for all new four-wheelers and necessary for renewal of fitness certificates and national permits.

About the FASTag Annual Pass Scheme:

  • Overview: It is a new initiative announced by the Ministry of Road Transport and Highways to provide cost-effective and hassle-free travel for private non-commercial vehicles.
  • Implementation: The pass will be effective from August 15, 2025, and is optional, intended for cars, jeeps, and vans (not for commercial vehicles).
  • Objectives: The scheme is designed to reduce per-trip costs (as low as ₹15/toll) and provide savings of up to ₹7,000 annually for frequent travelers.
  • Benefits: It allows unlimited passage at National Highway (NH) and National Expressway (NE) toll plazas for either:
    • One year, or
    • 200 toll crossings, whichever is earlier.

Key Features:

  • Eligibility: Applicable only for non-commercial private vehicles with a valid, active FASTag linked to a registered vehicle number.
  • Activation: Can be activated via the Rajmargyatra mobile app or NHAI website with a one-time payment of ₹3,000 for FY 2025–26.
  • Validity: Covers 200 trips or one year and then reverts to regular FASTag mode unless renewed.
  • Trip Count:
    • Point-based plazas: Each pass counts as one trip per crossing.
    • Closed toll systems: Entry and exit combined count as one trip.
  • Transfer Restrictions: The pass is non-transferable and valid only for the vehicle on which the FASTag is registered.
  • Coverage: Valid only at NH and NE toll plazas managed by the Centre. It does not apply to state highway or local toll plazas.
  • Fee Revision: The base fee may be revised annually starting April 1 every year.
  • Existing Users: No need for a new FASTag if one is already affixed and active. The pass can be added on top of the existing tag after eligibility verification.
[UPSC 2023] With reference to India’s projects on connectivity, consider the following statements:

1. East-West Corridor under Golden Quadrilateral Project connects Dibrugarh and Surat.

2. Trilateral Highway connects Moreh in Manipur and Chiang Mai in Thailand via Myanmar.

3. Bangladesh-China -India -Myanmar Economic Corridor connects Varanasi in Uttar Pradesh with Kunming in China. How many of the above statements are correct? Options: (a) Only one (b) Only two (c) All three (d) None*

 

Get an IAS/IPS ranker as your 1: 1 personal mentor for UPSC 2024

Attend Now

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments

JOIN THE COMMUNITY

Join us across Social Media platforms.

💥UPSC 2026, 2027 UAP Mentorship - June Batch Starts
Talk To Mentor
💥UPSC 2026, 2027 UAP Mentorship - June Batch Starts
Talk To Mentor