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India to be Free of Tollbooths in 2 Years, New GPS System to be Installed Nationwide: Nitin Gadkari

File photo of Union Minister Nitin Gadkari. (PTI)

File photo of Union Minister Nitin Gadkari. (PTI)

The Centre has finalised the new GPS-based toll collection system that will be implemented nationwide with the Russian government.

Minister of Road Transport and Highways Nitin Gadkari on Thursday announced that India would be tollbooth free within two years. At the ASSOCHAM, Gadkari stated that the upcoming toll collection system would be based on GPS. The Centre has finalised the new toll collection system that will be implemented nationwide with the Russian government. The new system will call for seamless movement of vehicle throughout the country by directly deducting the money from the linked bank account.

Since, the recent passenger and commercial vehicle, already come with GPS, the government will find a way to install GPS in old vehicles as well. The move follows an extensive push by the government for FASTag system, which is now mandatory and is aimed at reducing congestion on highways.

Gadkari believes that the National Authority of India (NHAI) could attract a revenue of Rs 1.34 trillion in just five years after the new system is rolled out. Last month, FASTag users in the country have reached 2 crore mark, registering a growth of 400 per cent in a year. This has increased the total toll collection to Rs 92 crore per day which is a "substantial increase" in the daily toll collection from Rs 70 crore per day a year back, a statement said.

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"'FASTag' is contributing to nearly 75 per cent of the total toll collection as of now," it said, adding that digital payment through 'FASTag' is being actively promoted by NHAI to enhance the user experience on National Highways and reduce pollution on account of queuing of vehicles at the toll plazas.