In a major step to promote digital payments and discourage cash transactions at National Highway toll plazas, the Government of India has amended the National Highways Fee (Determination of Rates and Collection) Rules, 2008. The revised norms introduce differentiated toll charges for vehicles without valid FASTags, depending on the mode of payment used.
According to the new rule, vehicles entering a fee plaza without a valid or functional FASTag will have to pay twice the applicable user fee if the payment is made in cash. However, those opting to pay via the Unified Payments Interface (UPI) will be charged only 1.25 times the regular fee applicable to their vehicle category.
For example, if the standard user fee is ₹100 for a vehicle with a valid FASTag, the toll amount will be ₹200 for cash payments and ₹125 for UPI transactions. The amendment will take effect from November 15, 2025, the Ministry of Road Transport and Highways (MoRTH) announced.
Officials said the move is aimed at strengthening the toll collection system, enhancing transparency, and improving traffic flow at toll plazas. The government expects the policy to significantly reduce waiting times and promote a culture of digital-first toll payments across the country’s expanding highway network.
The amendment reflects the Centre’s broader digital governance push and its ongoing efforts to modernize toll operations. With FASTag usage already exceeding 98% of toll payments on National Highways, authorities believe the new rules will help phase out remaining cash transactions while providing a digital alternative for occasional or non-FASTag users.
By integrating UPI into toll systems, the government also aims to ensure ease of payment for domestic and foreign travelers, particularly those using rental or temporary vehicles without permanent FASTag tags.
