Complete KYC for FASTag by January 31 or do face deactivation.

The National Highways Authority of India (NHAI) has taken an important step towards increasing the efficiency of the electronic toll collection (ETC) system with the introduction of ‘One Vehicle, One’ scheme. fastag‘ Initiative.

With this initiative, NHAI is urging FASTag users to complete the Know Your Customer (KYC) process for their latest FASTags, in line with the guidelines prescribed by the Reserve Bank of India (RBI).

Fastags with valid balance but incomplete KYC will face deactivation or blacklisting by banks after January 31, 2024, according to a press release from the Ministry of Road Transport and Highways, TOI reported.

To prevent any inconvenience, users are strongly advised to ensure completion of KYC for their latest FASTag and follow the one vehicle, one FASTag principle. They should also surrender any Fastag issued earlier through their respective banks.

The move aims to curb wrong practices like using the same FASTag for multiple vehicles or linking multiple FASTags with a particular vehicle, thereby ensuring smooth traffic flow at toll plazas. The move could lead to a more accountable and streamlined toll collection system.

Effective January 31, 2024, only the latest FASTag account will remain active, previous tags will be deactivated or blacklisted.

NHAI has implemented this initiative in response to recent reports highlighting malpractices such as multiple FASTags being issued for the same vehicle in violation of RBI orders and FASTags being distributed without proper KYC. Instances of FASTags being deliberately not pasted on the windscreen of the vehicle have also been noted, causing unnecessary delays at toll plazas and causing inconvenience to fellow National Highway users.

The Ministry of Road Transport and Highways has announced that with a penetration rate of almost 98 percent and more than 8 crore users, FASTag has revolutionized the electronic toll collection system in India. The introduction of the One Vehicle, One Fastag initiative is expected to further improve the efficiency of toll operations.

India has recently informed the World Bank about significant progress in reducing waiting times at toll plazas and accelerating export release times at land ports. The introduction of FASTag has played a significant role, reducing the average waiting time at toll plazas from 714 seconds to 47 seconds.