A few months ago, Nitin Gadkari, Union Minister of Road Transport and Highways (MoRTH) of India, announced the introduction of the Fastag annual pass which is slated to come into effect tomorrow, i.e., 15 August 2025. The Fastag annual pass is a prepaid toll payment plan introduced by the Government of India
It has been specifically developed for non-commercial, private vehicles like cars, jeeps, vans, etc. Priced at Rs 3,000, the Fastag annual pass is set to benefit frequent commuters on national highways. Ahead of its launch, let us revisit all key highlights from this new provision and how it’s going to impact commuters as well as toll operators.
Fastag Annual Pass: Validity & Coverage
As mentioned in previous reports, this Fastag annual pass is applicable for commutes up to 200 toll crossings or one full year, whichever comes first. This translated to only Rs 15 per toll crossing. For reference, most toll plazas in India charge at least Rs 70, with some charging north of Rs 200.Â
As per the National Highway Authority of India (NHAI) official website, the FASTag Annual Pass is valid only on national highways and expressways. On state highways and expressways, toll booths will remain under the jurisdiction of respective governments or local bodies where regular fares will be applicable.
Fastag Annual Pass: Purchase & Renewal
Private vehicle owners can purchase or renew the Fastag annual pass through the NHAI website or via the Rajmargyatra app, available on the Google Play Store and Apple App Store. Activation will take place only after verifying the vehicle’s eligibility and the linked FASTag.
A new FASTag is not required, as the annual pass can be enabled on the existing one. Owners must also follow the guidelines issued by the Ministry of Road Transport and Highways (MoRTH), which include properly affixing the FASTag to the vehicle’s windshield and linking it to a valid Vehicle Registration Number (VRN). Keep in mind, a FASTag is non-transferable and is valid only for the vehicle on which it is affixed and registered. Using it on any unregistered vehicle will result in deactivation.
Fastag Annual Pass: Computation of single trips
For point-based tolls, each crossing is counted as a single trip, meaning a round trip will be calculated as two. In the case of closed tolling plazas, a combination of one entry and one exit will be treated as a single journey.
The implementation of the Fastag annual pass is aimed to reduce congestion, enhance convenience for travelers and improve operational efficiency, he said. For frequent travelers covering over 2,500 to 3,000 km on toll roads each year, the pass provides substantial cost savings. The average daily toll collection via FASTag at national highway fee plazas is under Rs 200 crore. While private cars make up 53% of total traffic, they contribute only 21% of the total revenue.
