ONE VEHICLE ONE FASTAG (Syllabus: GS Paper 3 – Economy)

News-CRUX-10     16th January 2024        
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Context: The National Highway Authority of India (NHAI) recently launched the 'One Vehicle, One FASTag' initiative.

One Vehicle, One FASTag Initiative

  • About: The NHAI has taken this initiative after the recent reports of multiple FASTags being issued for a particular vehicle and FASTags being issued without KYC in violation of the Reserve Bank of India’s (RBI) mandate.
  • Aim: To discourage user behaviour of using single FASTag for multiple vehicles or linking multiple FASTags to a particular vehicle.
  • Objective: To enhance efficiency of the Electronic Toll Collection system and provide seamless movement at the Toll Plazas.


  • About: FASTag is an electronic toll collection system in India, managed by the National Highway Authority of India (NHAI), utilizing Radio Frequency Identification (RFID) technology.
  • Payment Mechanism: FASTag facilitates toll payments directly from the linked prepaid or savings account or directly from the toll owner, employing RFID technology.
  • Dedicated Lanes: Dedicated lanes for FASTag users have been established at select toll plazas, streamlining the toll collection process.
  • Advantages of FASTag Usage

oThe use of FASTag enables seamless digital transactions, simplifying the toll fee collection process.

oFASTag contributes to reducing congestion at toll plazas, ensuring smoother traffic flow.

oNon-stop movement facilitated by FASTag leads to decreased fuel consumption and pollution on highways.

oThe automated nature of the FASTag system significantly reduces the effort involved in managing toll gates.