NHAI To Remove Cash Payments At Toll Plazas Nationwide

Starting April 1 2026, the National Highways Authority of India will completely remove cash payments at toll plazas nationwide. Commuters must use digital platforms like FASTag or the Unified Payments Interface to pay fees. This shift aims to reduce highway congestion, ensure seamless vehicle movement, and improve transparency. With over 98 percent of transactions already electronic, this creates a fully cashless tolling ecosystem.

Why Is NHAI Moving To A Cashless Tolling System?

According to the authority, this proposal is part of a broader effort to create a fully digital tolling ecosystem. By eliminating cash payments, NHAI aims to streamline operations at toll plazas, reduce congestion, and improve transparency in fee collection.

The move builds on the success of electronic tolling systems already in place, where FASTag has achieved widespread adoption. Officials highlight that more than 98 percent of toll transactions are currently processed electronically, demonstrating the effectiveness of RFID enabled FASTag technology in ensuring seamless vehicle movement.

How Does The Dual Payment System Work?

The introduction of UPI as an additional payment option further strengthens the digital framework. With UPI now operational at toll plazas, commuters have access to instant, secure, and widely accepted payment methods.

• FASTag: Uses RFID technology for automatic toll deduction while the vehicle is in motion.
• UPI: Provides a reliable alternative for users preferring instant digital payments through their smartphones.

This dual system is expected to enhance convenience, improve lane throughput, and provide greater consistency in toll transactions. NHAI believes the transition will significantly contribute to the Ease of Commuting initiative, ensuring smoother travel experiences for highway users.

What Are The Current Penalties For Not Using FASTag?

Current rules already strongly discourage cash payments. To encourage digital adoption and reduce reliance on manual transactions, the government applies specific penalty rates.

How Can You Protect Yourself From FASTag Scams?

NHAI has cautioned the public about fraudulent activities targeting FASTag users. A recent advisory issued through the Indian Cyber Crime Coordination Centre under the Ministry of Home Affairs warned of scams involving fake FASTag portals.

Fraudsters have been creating websites that closely mimic official government pages, often promoted through paid advertisements and search engine optimization. These fake portals appear at the top of search results.

• These sites trick users into entering personal details such as mobile numbers, vehicle registration data, and payment credentials.
• While the payment gateways appear authentic, funds are diverted to accounts controlled by criminals.
• Always verify website URLs carefully and rely on official government apps or authorized banking platforms for recharges.

Conclusion

The complete removal of cash payments at toll plazas starting April 1 2026 marks a significant milestone in modernizing Indian highways. By relying exclusively on FASTag and UPI, the NHAI will ensure faster travel times, eliminate long queues, and provide a transparent payment structure. Commuters should equip their vehicles with valid FASTags to avoid penalties while staying vigilant against online recharge scams.