New Vehicles To Come Equipped With Digital Identity Tags For Toll Payments

In a bid to facilitate smooth movement at check posts and toll plazas, the government has asked carmakers to equip all new vehicles, including cars, with a digital identity tag. With the hope to enable seamless electronic payment at toll plazas and ensure seamless movement at check posts.

Shaktikanta Das, Economic Affairs Secretary, said, “So, as far as toll plazas are concerned, the Ministry of Road, Transport and Highways is advising vehicle manufacturers that in all new vehicles, the manufacturers must provide Radio-Frequency Identification (RFID) facility.”

He went on to explain that the Electronics Product Code Global Incorporated (EPCG)-compliant RFID facility in all new vehicles will ensure payment of toll digitally and also substantially bring down the waiting time, thus allowing vehicles to move seamlessly. Das added, “This will improve the functioning of toll plaza, digital payments.”

RFID tags will work to ensure that vehicles will be able to pass toll tax booths without stopping for payment. The toll amount will be deducted from the RFID card, which could be recharged for future use.

In view of the cash crunch, due to the demonetisation move, the government has exempted all national highways from payment of toll till 24 November, 2016.