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2019-10-15

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Indian Economy
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A FASTag uses Radio Frequency Identification (RFID) technology to make cashless payments through a prepaid account linked to it. The tag is fixed to the windscreen of a vehicle and an RFID antenna in the canopy of the toll gate scans the QR code and the tag identification number, following which the boom barrier lifts to allow a vehicle to pass through it without the need for a vehicle to stop.

The Minister mentioned that cameras will capture the images of vehicles, but officials involved with the initiative explained that it is the FASTag that will help track vehicles.

“A FASTag is linked to a bank account. When a vehicle passes through a toll, an SMS with date, time and place of transaction will be sent to the owner of the vehicle. The master data of all transactions will be with the concessionaire of the toll booth concerned, along with the bank with which the owner has registered the FASTag and the National Payments Corporation of India,” officials said.

The Minister was quoted in a press statement saying that FASTags are “likely to reduce the nation’s GDP loss by bringing down loss of fuel while waiting at toll plazas.” FASTags are acceptable across 490 National Highways out of the total 527. These can also be used at nearly 39 State Highways. So far there are six million users in the country.

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