India Set to Remove Toll Plazas With New Satellite Tolling System
The Centre plans to replace physical toll plazas with a satellite based automatic toll collection system by 2027, allowing vehicles to pass highways without stopping and pay only for distance travelled.

The Central government has announced a major change for highway travellers across India. Union Road Transport and Highways Minister Nitin Gadkari said the country will gradually remove all physical toll plazas and introduce a fully automatic toll collection system over the next few years.
Under the upcoming model, motorists will no longer have to stop at toll gates or wait in long queues. The new technology will automatically detect vehicles while they are moving and deduct toll charges digitally.
Toll Gates to Disappear by 2027
According to the government, all traditional toll booths on national highways are expected to be phased out by 2027. Officials believe the move will make highway travel faster, smoother, and more fuel efficient.
The new system is based on Multi Lane Free Flow technology and satellite supported tolling. High speed cameras and sensors installed on highways will identify vehicle number plates through Automatic Number Plate Recognition technology. The toll amount will then be deducted directly from FASTag accounts or linked bank accounts.
Drivers travelling at highway speeds will not need to slow down or stop for payments.
Pay Only for Distance Travelled
One of the biggest changes in the new toll model is the introduction of a pay as you go method. Instead of paying a fixed toll amount at a plaza, vehicle owners will be charged only for the exact distance they travel on highways.
Officials explained that many motorists currently pay full toll charges even if they use only a short stretch of road. With the upcoming system, charges will become more accurate and fair for commuters.
The minister stated that in some cases where drivers currently pay around Rs. 150, the amount could reduce significantly depending on the actual kilometres covered.
Pilot Tests Already Completed
The government has already conducted successful trial runs at nearly 85 locations across the country. Based on the results, authorities are confident about implementing the technology nationwide in phases.
The new system is also expected to reduce congestion near toll gates, improve logistics movement, and save travel time for millions of commuters daily.
Fuel Savings and Higher Revenue Expected
Officials estimate that the removal of toll plaza waiting lines could help save fuel worth nearly Rs. 1,500 crore every year. At the same time, toll revenue collection may also increase significantly due to improved efficiency and digital tracking.
The Centre believes the project will modernise India’s highway infrastructure and bring road transport systems closer to international standards followed in countries across Europe and the United States.



