FASTags to be made available from petrol stations

A preliminary agreement has been signed for the sale of FASTags through petrol pumps of leading oil marketing companies such as Indian Oil, Bharat Petroleum, Hindustan Petroleum

January 7, 2019

The rechargeable tag, which when put on a vehicle’s windshield, allows automatic deduction of toll charges while passing through a toll plaza without stopping for cash transaction

Two FASTag mobile apps were also launched - My FASTag Customer App for real-time recharge of FASTag through UPI, and FASTag Point of Sales App for managing distribution partners

Besides cutting fuel cost, electronic toll collection on national highways across India can help save over US$12.2 billion annually, as per Transport Corporation of India and IIM Calcutta

National Electronic Toll Collection (NETC) programme proposes to include all state toll plazas under one umbrella, bringing over 500 state and municipal toll plazas under FASTag programme

A preliminary agreement was signed between the Indian Highways Management Co Ltd (IHMCL) and the country’s leading oil marketing companies on January 7 to allow sale of FASTags through petrol pumps. As a result, Retailers such as Indian Oil Corp Ltd, Hindustan Petroleum Corp Ltd, Bharat Petroleum Corp Ltd will help expand the FASTag programme’s distribution network which is presently active with selected bank branches. FASTag is a rechargeable tag, which when put on a vehicle’s windshield, allows automatic deduction of toll charges while passing through a toll plaza without stopping for cash transaction.

This bank-neutral FASTag can be linked to customers’ choice of bank accounts and uses Radio-frequency Identification (RFID) technology. IHMCL’s agreement with oil retailers will considerably increase FASTags spread across the country from over 400 toll plazas currently. Two FASTag mobile applications were also launched on the occasion. The My FASTag Customer App will offer real-time recharge of FASTag through UPI, by linking IHMCL FASTag with customer’s bank account and without the need of installing multiple banks applications. Additionally, wallet services have also been proposed for the near future.

A second application, the FASTag Point of Sales App, will allow users to create and manage distribution partners, as well as sales via petrol pumps. Union Minister for Road Transport & Highways, Shri Nitin Gadkari, said that the FASTag may also work for purchasing fuel at petrol pumps in future. The emphasis on FASTags come as part of the Indian Government’s ‘Digital India’ initiative. Besides cutting fuel cost, electronic toll collection on national highways across India can help save over US$12.2 billion annually, as per a joint study by the Transport Corporation of India and the Indian Institute of Management, Calcutta.

Under the National Electronic Toll Collection (NETC) programme, it is proposed to include all state toll plazas under one umbrella. NETC envisages bringing more than 500 state and municipal toll plazas within the ambit of FASTag programme, for this IHMCL is offering 50 per cent of capex cost for ETC infrastructure, and waiver on management fees.

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