Compulsory Deadline For FASTags Can Be Extended Beyond Dec 31; Here’s The Reason Why?

By Malvika Gurung Last updated Dec 31, 2020

Deadline for mandatory pay of toll taxes on highways via FASTags, to be extended from January 1.

The Ministry of Road Transport and Highways (MoRTH) had notified all four-wheelers on Indian roads to compulsorily have FASTags, effective January 1st, 2021.

The Ministry also stated, “making FASTag mandatory to be available by January 1, 2021 in old vehicles also i.e. M and N category of motor vehicles (four wheelers) sold before December 1, 2017 through amendments in CMVR, 1989?.

The National Highways Authority of India (NHAI) had earlier announced to completely terminate cash transactions to pay toll on highways from January 1, 2021.

However, it has now been reported that the government shall extend the deadline for the same through FASTags, from Jan 1.

Let’s learn the reason behind this.

Reason Behind Extension of Deadline

It has been reported that even now, a large population of travelers transiting on highways, choose to pay toll taxes by cash.

Currently, the share of transactions by FASTag is hovering around 75-78%, reports TOI.

The government has been taking steps to induce the practice of not using cash for paying highway toll taxes.

It is doing this by dedicating one lane on each side of all lanes, as “FASTag lanes”. Any vehicle without a FASTag, which enters such a lane(s) will have to pay double the normal toll fee.

How Long Can the Deadline be Extended To?

The government has been wanting to shift towards installation of mandatory FASTags on all four-wheelers and bigger vehicles and do away with cash transactions on highways, from January 1.

However, the government will be extending this deadline, due to the persistence of still a large number of commuters still using cash for making toll plaza payments.

As per some sources, the extension of this deadline could span for at least a month’s time from its initial deadline of January 1.

A FASTag is a sticker that has an integrated radio-frequency Identification (RIFD) barcode linked to registration details of respective vehicles.

FASTags are prepaid RFID tags, which are used to automatically deduct toll plaza charges from the car, and there is no need to stop the car and make the payment. They will remain valid for a period of five years starting from the date of issuance.