GPS-based toll collection system in India: All you need to know

The new system aims to make the trip smoother for millions of road users, but it isn't rolling out fully just yet

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Ali Pardiwala 21 Apr 2025 02:47 PM

Reports and rumours have been doing the rounds that a new GPS-based toll collection system for vehicles in India is set to roll out from May 1, 2025. This system is touted as the replacement to the currently predominant Fastag system, which uses RFID technology to make toll payments quicker and more efficient when passing through toll booths all over India. However, it's worth pointing out here that the new GPS-based system is nowhere near a wide-scale rollout this year, and the Fastag system will remain the main method of toll collection for most vehicles for now.

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While the GPS-based toll system isn't coming right now as per the rumours, it's definitely in the works. The idea for this has been pitched, and is likely to replace the Fastag system on newer vehicles in the coming years. So what exactly is going on? We help you decode this.

What's coming on May 1, 2025? ANPR barrier-less toll collection

No, GPS-based toll collection isn't rolling out from May 1, 2025 in India; that's still a while away. Instead, a new hybrid toll collection system called Automatic Number Plate Recognition (ANPR) Fastag-based barrier-less toll collection system is being tested on specific routes, with one example being the New Delhi-Mumbai corridor. This will combine cameras which can read the car's number plate with the existing Fastag system, to make toll collection a bit quicker.

Cars will be able to pass through the toll booths quickly and without stopping, and toll booth barriers will be removed to facilitate this. However, as mentioned, this is only being tested at specific locations on select routes, and continues to rely on the RFID-based Fastag system for toll payments. The cameras will simply ensure that cars passing through the special lanes are compliant and tolls are collected correctly.

What about the GPS-based toll system then?

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This isn't coming right now, but it's definitely coming in the next few years, and will be the eventual replacement to the Fastag system. The GNSS system will use satellite tracking to detect the distance covered by the vehicle. The satellite navigation device will be fixed in vehicles to detect the distances traveled and routes taken, after which it will also work with ANPR and Fastag to charge the toll amount.

The special lanes for GNSS device-fitted vehicles will be barrier-less, allowing for faster vehicle movement without stopping. Users will be charged toll based on the distance covered on the national highway system, with charges starting only after covering 20km on a single trip. Exepctedly, passing through the correct lanes will not charge the Fastag as is currently done through RFID scanning, but the system will continue to use Fastag for processing payments.

For a detailed explanation on how the GNSS system works, check out this article from our sister publication Autocar India.