India to Go Cashless at National Highway Tolls: FASTag and UPI Only from April 1st

The National Highways Authority of India (NHAI) is planning to stop cash payments at all National Highway toll plazas across India from April 1, 2026. After this change, people will only be able to pay toll using FASTag or UPI (Unified Payments Interface). The goal is to make toll collection fully digital, faster, and more efficient so that vehicles can pass through toll plazas smoothly without long waiting times.

Over the last few years, FASTag has already become very common, with more than 98% of vehicles using it for toll payments. Currently, FASTag uses RFID technology, which allows automatic deduction of toll with contactless movement across the toll. Along with FASTag, UPI payments are also available at toll plazas, giving drivers another quick and convenient digital payment option.

At present, if a vehicle reaches a toll plaza without a working FASTag and pays in cash, they have to pay double the toll amount. If they choose to pay through UPI instead of FASTag, they are charged only 1.25 times the toll fee. These rules were introduced to encourage people to shift from cash to digital payments.

Studies at toll plazas have shown that cash-based payments cause traffic jams, longer waiting times, and sometimes disputes over payments. By moving completely to digital payments, NHAI expects to improve traffic flow, reduce congestion, and provide a better travel experience for people using highways and expressways. This change will affect more than 1,150 toll plazas across India.

This move is part of NHAI’s objective to create a modern, technology-driven highway system that offers faster, smoother, and more reliabletravel for everyone.