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Govt to end toll plaza stops in 2026 with AI-based system to cut costs

by VARINDIA 2025-12-29

The government is set to roll out an advanced, AI-driven digital toll collection system across India by the end of 2026, a move aimed at eliminating waiting time at toll plazas and improving travel efficiency on national highways. Union Minister for Road Transport and Highways Nitin Gadkari shared this information in the Rajya Sabha on Wednesday.

The upcoming system will be based on Multi-Lane Free Flow (MLFF) tolling technology, which allows vehicles to pass through toll points at highway speeds without stopping. Unlike the existing FASTag mechanism, which still requires vehicles to slow down at toll booths, MLFF leverages artificial intelligence, satellite-based tracking and automatic number plate recognition to enable seamless toll collection.

AI-Powered Tolling to Replace FASTag

Explaining the benefits of the new system, Gadkari said the MLFF technology would eventually replace FASTag and significantly reduce congestion on highways. Vehicles will be able to cross toll plazas at speeds of up to 80 km per hour without stopping, making highway travel smoother and faster for commuters.

According to the minister, the transition to AI-based tolling is expected to deliver major economic benefits. The system could help save fuel worth around ₹1,500 crore annually while increasing toll revenue by nearly ₹6,000 crore. It is also expected to eliminate toll evasion and strengthen transparency in toll operations.

Focus on Transparency and National Highways

Gadkari emphasised that the government’s responsibility is limited to national highways and not state highways or urban roads. He pointed out that issues on state or city roads are often incorrectly attributed to national highways on social media platforms, creating confusion among the public.

Reiterating the government’s intent, the minister said the new toll collection mechanism would make the system more transparent and corruption-free. Reduced waiting time, lower fuel consumption and improved traffic flow are expected to significantly enhance the commuting experience on India’s highways.

Once fully implemented by 2026, the AI-based MLFF tolling system is expected to mark a major shift in India’s road infrastructure, bringing it closer to global standards in intelligent transportation and digital mobility.