No Cash Payments at Toll Plazas From April 10 Across India

MoRTH mandates 100% digital tolling on National Highways; UPI payments for non-FASTag users to incur 1.25x surcharge.

The Ministry of Road Transport and Highways (MoRTH) has officially announced that cash payments at all toll plazas on National Highways will be discontinued starting April 10, 2026.

According to a recent gazette notification, the government has moved to enforce a strictly digital payment ecosystem. Commuters will now be required to use either FASTag or Unified Payment Interface (UPI) to clear their dues at the gates.

Digital transition mandated

The move marks the final phase of the government’s transition toward a cashless highway network. Sources indicated that the decision aims to eliminate human intervention and reduce congestion at tolling points.

While FASTag remains the primary mode of transaction, the new rules provide a secondary digital alternative. However, this convenience comes at a specific cost for those who have not yet switched to a functional tag.

UPI payments attract surcharge

The Ministry clarified that vehicles entering a fee plaza without a valid or functional FASTag can still opt for UPI. In such cases, the user will be charged 1.25 times the applicable fee for that vehicle category.

"If the user enters a fee plaza without a functional FASTag and opts for UPI, they shall pay 1.25 times the user fee," the notification stated. This serves as a deterrent against non-compliance with the FASTag mandate.

Stricter enforcement protocols

Failure to pay via FASTag or the premium UPI rate will lead to enforcement under Rule 14 of the National Highways Fee Rules. This could involve higher penalties or restricted access to the highway network.

Officials from the National Highways Authority of India (NHAI) noted that the 1.25x UPI charge is intended to prioritize FASTag. This ensures that the automated flow of traffic is not disrupted by manual digital processing.

Impact on daily commuters

There are currently over 1,150 fee plazas operational across various National Highways and Expressways in the country. This policy change will impact millions of daily commuters and logistics operators.

NHAI officials believe the move is essential for making highway travel smoother. Reducing the "wait-time per vehicle" is the core objective behind the latest India News Update regarding transport infrastructure.

Annual pass prices hiked

Parallel to the digital mandate, the NHAI has also revised the cost of FASTag annual passes. The prices have seen a 2.5% increase, moving from ₹3,000 to ₹3,075.

This adjustment coincides with the broader increase in vehicle ownership costs. From April 1, prices for commercial and passenger vehicles in India have risen by 2–3% due to updated regulatory standards.

Future of highway travel

The government’s push for a digital-only tolling system is expected to significantly cut fuel wastage and CO2 emissions. By removing the cash option, the ministry anticipates a 15–20% improvement in transit speeds at bottlenecks.

As the April 10 deadline approaches, the English News Portal India suggests that commuters ensure their FASTag accounts are active and adequately funded. This Public Interest Story highlights the urgent need for digital readiness among Indian motorists to avoid surcharges.