In a major move to promote digital transactions and streamline toll collection on National Highways, the Government of India has amended the National Highways Fee (Determination of Rates and Collection) Rules, 2008. The updated regulation introduces differential toll charges based on the mode of payment for vehicles without a valid, functional FASTag.
Under the revised rules, vehicles arriving at toll plazas without a FASTag will face a steep penalty if paying in cash, double the standard user fee. However, such users can opt to pay via the Unified Payments Interface (UPI) and will only be charged 1.25 times the applicable fee for their vehicle category.
For instance, if the regular FASTag toll for a vehicle is ₹100, the charge would increase to ₹200 when paid in cash, but would be reduced to ₹125 if paid using UPI.
This amendment, set to take effect from November 15, 2025, aims to modernise toll collection, reduce delays at plazas, and encourage a shift toward cashless transactions. By incentivising digital payments, the government seeks to enhance transparency, improve operational efficiency, and ensure a smoother travel experience for highway users.
Also Read: FASTag Annual Pass: Where It Applies and Which Expressways and Highways Are Exempt
The change in toll rules reaffirms the Government of India’s ongoing efforts to harness digital infrastructure for better public service delivery and reduced congestion on National Highways.
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Published on: Oct 6, 2025, 9:01 AM IST
Sachin Gupta
Sachin Gupta is a Content Writer with 6+ years of experience in the stock market, including global markets like the US, Canada, and Australia. At Angel One, Sachin specialises in creating financial content that simplifies complex market trends. Sachin holds a Master's in Commerce, specialising in Economics.
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