Curated By: Business Desk
Last Updated: December 13, 2023, 15:34 IST
Renewing your old FASTag is important to prevent penalties.
In February 2021, the Ministry of Road Transport and Highways announced that the installation of a FASTag would be mandatory for all vehicles dealing with toll plazas.
People believe that installing a FASTag deters them from paying any penalty at the toll plazas. Even after installing a FASTag in the vehicle, a penalty can be imposed. Although it sounds strange, it is true. Some drivers have had to pay significant penalties even after installing a FASTag. People have complained about this issue. When the National Highway Authority of India (NHAI) investigated, the reason came to light. Subsequently, the NHAI has appealed to vehicle drivers not to make such mistakes.
Why is there a penalty on FASTag?
The above-mentioned problem is affecting those drivers who occasionally use highways. When they went there for the first time, they might have paid in toll cash. Since February 2021, when FASTags became mandatory, penalties are still being imposed even after having a FASTag in the vehicle. Drivers argue and even have disputes with toll workers, who were unable to explain the reason for this.
The Ministry of Road Transport and Highways introduced FASTags in November 2016. After this month, FASTags became mandatory for new vehicles. This means that every vehicle is now equipped with a FASTag at the showroom. The first transaction with FASTags started in December, 2016. So, if you bought a vehicle in November 2016, your FASTag will not work at toll plazas. Therefore, now you need to replace it.
How to transfer your old FASTag’s balance to the new one?
Vehicle drivers should remove the old FASTag and get a new one. But if the FASTag is linked to a bank account or has some balance, you should go to the respective bank and get another FASTag, which should be installed in the vehicle. Transfer the remaining balance from the old FASTag to the new one.
Currently, the FASTag facility is available at 2000 toll plazas across the country, covering highways and state highways. In addition to toll plazas, parking payments are also being made through FASTags in various places. Over 6.5 crore FASTags have been issued in the country.
Earlier, in 2022, the total FASTag fee collection was recorded to be Rs 50,855 crore, registering a massive increase of 46.20 percent from 2021’s collection of Rs 34,778 crore. In addition, the number of FASTag transactions grew by 48 percent as 324 crore transactions took place in 2022, while 219 crore transactions were recorded in 2021.