India to Launch Barrier-Free Highway Toll System Soon

India to Launch Barrier-Free Highway Toll System Soon

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India is preparing to introduce a barrier-free highway toll system that aims to remove stoppages and streamline toll payments. With trials already active at several locations, the nationwide rollout is expected within a year, marking a major step toward smoother and smarter road travel.

Current Toll Collection System in India

• • Collection Mechanism: India currently collects highway toll through a mix of traditional toll booths and an electronic system called FASTag under the National Highways Authority of India (NHAI). FASTag uses radio-frequency identification (RFID) technology. The device is fixed onto the windscreen of a vehicle. As the vehicle crosses a toll plaza the RFID reader scans the tag and automatically deducts toll from the bank or prepaid account linked to it.
  • Charging Mechanism: Toll charges on national highways are determined under the National Highways Fee (Determination of Rates and Collection) Rules, 2008. Under these rules, toll rates vary based on the type, size, and weight of the vehicle generally measured in Passenger Car Unit (PCU) equivalents. Toll plazas are typically placed every ~60 km along highway corridors, as per original planning norms.

• Mandate: The government made FASTag mandatory for payment of tolls on national highway plazas in February 2021. As of 2024, over 98% of toll payments at toll plazas are done using FASTag. NHAI (and its concessionaires) maintain around 1,200 toll plazas across national highways and expressways where tolls are collected. These toll plazas cover roughly 45,000 km of highway length under toll collection. 

• Transaction: Electronic toll collection has witnessed rapid growth in recent years. In 2022, total toll collection via FASTag (including state highway plazas) was approximately ₹ 50,855 crore, up from ₹ 34,778 crore in 2021 — a growth of around 46%. The number of FASTag transactions in 2022 reached about 324 crore nationally, compared to 219 crore in 2021. On 29 April 2023, the system recorded a peak of 1.16 crore transactions in a single day, generating around ₹ 193.15 crore from tolls.

Challenges behind the Current Toll Collection System

• Traffic Congestion: Despite the implementation of electronic systems, traffic bottlenecks and long queues persist at toll plazas due to factors like malfunctioning scanners, non-FASTag vehicles entering dedicated lanes, or insufficient lanes for electronic toll collection (ETC) users.
• Time and Fuel Wastage: Prolonged idling in queues leads to significant fuel wastage and increased carbon emissions, with estimates pointing to substantial economic and environmental costs. The need for manual intervention for vehicles with blacklisted tags, low balances, or technical issues disrupts the free flow of traffic, defeating the primary purpose of automation. 
• Malfunctioning Equipment: Technical problems such as faulty RFID readers or poor internet connectivity at remote plazas can lead to failed transactions, delays, and incorrect deductions. Users frequently report issues like double debits or wrong toll charges due to system errors, which can be difficult to resolve due to fragmented helpline services.
• Interoperability: While national systems aim for interoperability, challenges arise when integrating with different local or state highway systems, and a lack of standardized number plates can hinder the effectiveness of supplementary systems like Automatic Number-Plate Recognition (ANPR). 
• Lack of Independent Oversight: A significant challenge is the absence of an independent regulatory body to evaluate whether toll charges are justified relative to maintenance costs, leading to a perception of “perpetual tolling” regardless of road quality. The current system often lacks clear signage or a centralized, well-advertised mechanism for users.

Technology Behind the Barrier-Free Highway Toll Model

The barrier free toll model removes physical gates. The model uses a mix of RFID, ANPR, and Multi-Lane Free Flow (MLFF) platforms to charge users while they move. The model aims to let vehicles pass at normal speed. The model records each passage and then assigns a toll. 

• Vehicle Identification: RFID tags attach to vehicle windshields. Readers mounted on gantries read tags at highway speed. The system links each RFID read to a customer account. The system flags failed reads for secondary processing. 
• Automatic Number Plate Recognition: Cameras capture licence plates as vehicles pass. Software extracts plate characters and matches them to registration records. ANPR serves as a backup when RFID reads fail. ANPR accuracy improved with deep learning methods in 2023 and 2024.
• Multi-Lane Free Flow: Gantry hardware hosts RFID readers and high speed cameras. The gantry also uses vehicle detectors to count lanes. The gantry timestamps read for reconciliation. The gantry design must work in dust wind and night conditions.
• Transaction Matching: The system first matches RFID reads to accounts in real time. The system then uses ANPR reads to reconcile unmatched events. The clearing house marks disputed events for manual review. The process records transaction logs for audits. 
• Billing Settlement: The system aggregates toll events by account. The system posts charges to linked banks or prepay wallets. The system settles funds to concessionaires after clearing. The settlement follows NETC rules and bank acquirer agreements.
• Data Management: The system stores high volume images and transaction data. The system applies retention limits and access controls. The system anonymises nonessential records for planning use.
• Integration with ITS Services: The system shares live feeds with traffic control centres. The system adds value for incident detection and road maintenance planning. The system supports future vehicle to infrastructure features. The system acts as a data source for smarter highway operations.

Pilot Implementation of the Barrier-Free Highway Toll Model

• The government’s barrier-free toll model, known as the Multi-Lane Free Flow (MLFF) system in India, has been piloted at 10 locations using a combination of Automatic Number Plate Recognition (ANPR) and the existing FASTag system. 
• On July 29, 2025 the Choryasi Toll Plaza on the Bharuch–Surat section of National Highway 48 in Gujarat was announced as the first location for a pilot of the barrier-free toll collection system.
• On August 30, 2025 the first barrier-free toll plaza under the MLFF system was officially launched at Choryasi, Gujarat, following an agreement between the Indian Highways Management Company Limited (IHMCL) and ICICI Bank.
• Also in late 2025 pilot deployment has also begun at around 10 new locations, with plans to expand to a total of 25 National Highway fee plazas during the 2025-26 fiscal year. The Economic Survey 2024-25 targeted the rollout of barrier-free tolling on all four-lane and above National Highways and high-speed corridors by the 2029 fiscal year. 

Expected Benefits of Barrier-Free Highway Toll System

• Time Savings: Barrier-free tolling lets vehicles glide through toll plazas without stopping. Drivers avoid delays that once took several minutes at cash booths. This continuous flow reduces travel time significantly. As seen with the electronic toll system FASTag, average waiting time dropped from around 8 minutes to under 1 minute at many plazas by 2023. 
• Lower Fuel Use: When vehicles do not stop and start repeatedly at toll booths they consume less fuel. The barrier-free flow cuts down idle time and stop-and-go movement. This leads to lower fuel consumption for both private and commercial vehicles. Reduced fuel use also cuts down emissions.
• Reduced Logistics Costs: For goods vehicles and transporters the smooth flow dramatically reduces transit time. Faster highway travel helps trucks and carriers deliver goods more quickly. Lower travel time and fuel costs reduce overall logistics expenses. This efficiency supports supply-chain reliability and reduces per-unit transport costs. This supports trade, commerce, and regional economic growth.
• Improved Highway Capacity: Barrier-free toll plazas increase the throughput of highways because more vehicles pass in less time. They remove bottlenecks that occur when hundreds of vehicles queue at toll booths. With MLFF and continuous tolling, highways can handle higher traffic volumes with less congestion. This improves flow even during peak travel seasons.
• Better Revenue Realisation: Automated toll collection under barrier-free systems captures every transiting vehicle accurately. Digital records ensure that toll dues are logged properly. This reduces chances of human error or manual misreporting that once caused revenue leakages. The enhanced collection integrity helps authorities maintain correct toll income.