FASTags will be mandatory for vehicles from January 1, 2021, Union Minister Nitin Gakdari said on Thursday.
FASTags, which facilitate the electronic payment of the fee at toll plazas, was introduced in 2016. Making tags mandatory would also help ensure that vehicles pass smoothly through toll plazas, as paying the rate would be done electronically.
The Union Minister of Road Transport, Highways and MSMEs, Nitin Gadkari, announced that FASTag will be mandatory for all vehicles in the country from the new year, the Ministry of Road and Highway Transport said in a statement.
Addressing a virtual function on Thursday, he also said that FASTag will be useful for travelers as they will not have to stop at toll plazas for cash payments. Plus, it will also help save time and fuel, he added.
FASTag was launched in 2016 and four banks together issued almost one lakh of them. By 2017, their numbers rose to seven lakhs and more than 34 lakh FASTags were issued in 2018.
In November this year, the ministry issued a notice that also makes FASTag mandatory as of January 1, 2021 for vehicles that are older or that were sold before December 1, 2017.
In accordance with the 1989 Central Motor Vehicle Rules, as of December 1, 2017, FASTag had been made mandatory for the registration of new four-wheelers.
The renewal of the certificate of fitness of a transport vehicle was also ordered to be carried out only after the vehicle in question has a FASTag.
For vehicles with national license, the installation of FASTag was mandatory from October 1, 2019.
A valid FASTag would be mandatory to obtain new third party insurance. This would enter into force as of April 1, 2021.
The ministry said steps are being taken to ensure the availability of FASTag through multiple channels. They would be available in physical locations and online, the National Toll Collection (NETC) program has been implemented across India to remove bottlenecks and ensure smooth movement of traffic and collection of user fee based on reported rates. using passive radio frequency identification (RFID) technology.
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