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‘One Vehicle One FASTag’ Initiative


Why is it in the news?

  • National Highways Authority of India’s (NHAI’s) ‘One Vehicle, One FASTag’ will come into implementation from 31st January 2024.

About the Initiative

  • The National Highways Authority of India (NHAI) is the implementing agency behind the ‘One Vehicle One FASTag’ Initiative.
  • The primary objective is to enhance the efficiency of the Electronic Toll Collection (ETC) system and ensure seamless movement at Toll Plazas on national highways.
  • Addresses situations where a single FASTag is improperly used on multiple vehicles or where multiple FASTags are issued for a single vehicle, causing confusion and delays at toll plazas.
  • Linking one FASTag to one vehicle facilitates tracking of transactions, ensuring proper revenue collection for toll operators.
About FASTag

·       FASTag (Faster Automated System Tag) is a prepaid tag that utilizes Radio-frequency identification (RFID) technology for automatic toll collection at national highway toll plazas in India.

·       It operates as a cashless and contactless method of paying tolls, offering convenience, speed, and security.

·       FASTag is issued by various banks and financial institutions in India, and it needs to be linked with a bank account for toll payments.

Advantages:

·       More convenient, faster, and safer compared to traditional cash or card payments.

·       Contributes to reducing traffic congestion at toll plazas.

·       With a penetration rate of around 98 percent and a user base exceeding 8 crores, FASTag has significantly transformed the Electronic Toll Collection system in the country.

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