August23 , 2026

    Government incentivizes digital payments: non-FASTag vehicles to pay less if using UPI from November 15

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    In a move to promote digital transactions and reduce cash usage at toll plazas, the Government of India announced on Saturday that vehicles entering National Highway fee plazas without a valid, functional FASTag will face revised charges from November 15, 2025.

    Under the new rules, those paying tolls in cash will continue to be charged double the applicable toll, while users opting to pay via the Unified Payments Interface (UPI) will only have to pay 1.25 times the regular toll amount.

    The Ministry of Road Transport and Highways said the amendment to the National Highways Fee (Determination of Rates and Collection) Rules, 2008 aims to encourage digital payments, enhance transparency in toll operations, and improve the overall user experience on National Highways.

    “By incentivising digital payments, the government hopes to reduce cash transactions at user fee plazas and make toll collection more efficient,” the statement added.

    This initiative aligns with the broader push towards a cashless economy and is expected to facilitate smoother traffic flow and quicker toll collection across highways nationwide.