FASTags will use Radio Frequency Identification (RFID) that will help vehicles pass through toll booths without having to halt to pay toll. Even as the Indian auto industry adopts a new technology, FASTag we take a look at what it actually is!
The FASTag is a sticker with a magnetic strip that will be displayed at the top left corner of the vehicle’s windscreen. FASTag will use Radio Frequency Identification (RFID), which will help vehicles pass through toll booths without having to halt to pay toll as the RFID will be automatically read by the sensors placed at toll booths.
The implementation of FASTags is essentially aimed at reducing travel time and making the toll collection process digital and more efficient. If a vehicle is not equipped with a FASTag, vehicle users will have to pay twice the regular toll at toll booths, as mandated by the Government of India.
Of course, FASTags will benefit all vehicle segments but it is the commercial vehicles that travel thousands of kilometres crossing different states and multiple toll plazas will be the real beneficiaries, in terms of saving money and time. With this, commercial vehicle operators and logistics providers will be able to save fuel expenses and labour wage as well, which would help them offer services at a competitive rate.
FASTags are bank-neutral; no bank is pre-assigned to the RFIDs at the time of purchase. Customers can self-activate their FASTags. In order to do so, customers have to download the My FASTag app and self-activate the FASTag by entering the details in the app, where one can link it with their existing bank account. The customer can also activate FASTags at a certified bank branch.
FASTags are being issued by 22 certified banks in India via various channels like Point-of-Sale (POS) at National Highway toll plazas and select bank branches. Apart from them, FASTags are also available on Amazon.
The certified banks issuing FASTags can charge a maximum of Rs 100 for each tag, as mandated by National Payments Corporation of India (NPCI). However, with different banks offering different offers and discounts, the charges may vary from bank to bank. The total cost will include tag issuance fees, refundable security deposit and first recharge amount.