New Delhi, April 18 (IANS) The government on Friday dismissed media reports about the nationwide implementation of satellite-based tolling system from May 1.

In a statement, the Ministry of Road Transport and Highways said some sections of the media have reported that a satellite-based Tolling System will be launched from 1st May 2025 and will replace the existing FASTag-based toll collection system.

“This is to clarify that no such decision has been taken by the Ministry of Road Transport and Highways or National Highways Authority of India (NHAI) regarding the nationwide implementation of satellite-based tolling from 1st May 2025,” said the ministry.

In order to enable seamless, barrier-free movement of vehicles through toll plazas and reduce travel time ‘ANPR-FASTag-based Barrier-Less Tolling System’ will be implemented at selected toll plazas, it informed.

The advanced tolling system will combine ‘Automatic Number Plate Recognition’ (ANPR) technology, that will identify vehicles by reading their number plates, and the existing ‘FASTag system’ that uses Radio-Frequency Identification (RFID) for toll deduction.

Under this, vehicles will be charged based on their identification through high performance ANPR cameras and FASTag Readers, without needing to stop at the toll plazas.

In case of non-compliance, e-notices will be served to the violators, non-payment of which may result in suspension of FASTag and other VAHAN related penalties, according to the ministry.

The NHAI has invited bids for the implementation of ‘ANPR-FASTag-based Barrier-Less Tolling System’ that will be installed at selected toll plazas. Based on the performance, efficiency, and user response to this system, a decision will be made regarding its implementation across the country.

There are around 855 plazas on the India’s national highway network out of which 675 are government-funded, while another 180 or so are managed by private operators.

Earlier this month, the NHAI raised toll charges for motorists driving through highways and expressways across the country by an average of 4 to 5 per cent as part of the annual exercise of factoring in inflation costs.

The adjustment is part of NHAI's annual review, which aligns toll rates with inflation based on the wholesale price index and the additional revenue will support highway upkeep and expansion projects.