Cash Payments to Be Discontinued at Toll Plazas from April 1, 2026: NHAI Proposes Major Digital Shift

National Desk: A major change in the toll payment system has been proposed for commuters traveling on national highways. The National Highways Authority of India (NHAI) has prepared a proposal to completely eliminate cash payments at toll plazas across the country starting April 1, 2026. If implemented, toll fees will be accepted only through digital modes—primarily FASTag and UPI.

According to the authority, this move aims to further strengthen the Electronic Toll Collection (ETC) system. Digital payments are expected to improve vehicle movement at toll plazas, reduce long queues, and ensure greater transparency in transactions. Over the past few years, FASTag adoption has surpassed 98 percent of vehicles, enabling seamless, non-stop toll payments.

In addition to FASTag, several toll plazas have begun offering payment facilities through UPI, providing travelers with a quick and convenient digital alternative. Under current rules, if a vehicle arrives at a toll plaza without a valid FASTag and opts for cash payment, double the prescribed toll fee is charged. In cases where payment is made via UPI without FASTag, 1.25 times the toll amount is collected. These provisions are designed to discourage cash transactions and promote digital payments.

Currently, more than 1,150 toll plazas are operational across the country. If the proposal is implemented, digital payment systems will become mandatory at all locations. NHAI’s objective is to establish a fully cashless and automated tolling system that not only saves time but also minimizes potential irregularities. Although the proposal is still under consideration, an official announcement is expected soon.