Economic and environmental benefits of FASTag

Team Ackodrive6, Jun, 2022

Here’s a question for you, “Who likes to wait in long queues at toll plazas while driving on highways?!” The answer is, “No one!” Waiting for your turn at toll booths takes the fun out of your driving experience.

Economic and Environmental Benefits of FASTag

Thankfully, the National Highways Authority of India (NHAI) has equipped toll plazas with a FASTag payment system for electronic toll collection. FASTags are now mandatory by law for all four-wheelers to cross NHAI toll booths. This electronic toll payment allows the traffic to move faster, which saves fuel and reduces carbon emissions.

How does a FASTag work?

A FASTag is a tag you can stick on the windshield of your vehicle. It employs the RFID or Radio Frequency Identification technology to electronically deduct payments from a user’s digital FASTag wallet. 

You can buy your FASTag wallet online via one of the issuer banks or get it for free from ACKO Drive. Then, not only can you automatically pay your toll payments but monitor your toll booth expenses online as well.

Benefits of a FASTag

Apart from being mandated by the government, there are other reasons why you should use a FASTag. 

Economic advantages of a FASTag

With a FASTag, you don’t need to stop at toll booths for cash payments. This results in various economic benefits, as mentioned below.

Fuel efficiency

With FASTag payments, you don’t have to start and stop your car frequently at a toll plaza, which increases fuel efficiency. The improved fuel efficiency also helps to maintain the engine’s health. 

Moreover, drivers don’t need to drive fast to cover for the time consumed at toll booths’ long queues. It helps to save money on fuel and vehicle maintenance in the long run.

Cheaper transportation

As fuel efficiency improves, it reduces the cost of transporting goods through highways. Smooth moving traffic helps with the on-time delivery of goods, which also keeps the transportation cost in check.

Tracking toll expenses

FASTag allows you to monitor the expenses at toll booths digitally. You can decide how much money you want to recharge in your FASTag wallet. Plus, you get SMS notification on your registered mobile number after every toll payment deduction. 

Also, read: How to Check FASTag Balance

Environmental advantages of a FASTag

Apart from convenience and economic benefits, FASTags also help to keep environmental pollution in check in the following ways.

Lower carbon emissions

FASTag payment eliminates the possibility of long traffic jams at toll booths, and in turn, it saves a lot of fuel for all vehicle drivers. It also results in reduced carbon emissions. The government expects to decrease India’s carbon footprint by approximately 35% by 2030 using the FASTag toll payment system. 

  • Paperless payments

Apart from decreasing carbon emissions, FASTags also benefit the environment by enabling paperless toll payments. Excessive use of paper leads to deforestation, which negatively impacts rainfall, soil conditions, and global warming. Using the electronic payment system lowers the expense of papers used to create cash and toll payment receipts. 

  • Reduced noise pollution

No one likes to hear noise or honking in traffic jams at toll plazas. FASTag’s swift payment approach reduces noise pollution by seamlessly flowing traffic across the booths.

How to get a FASTag online at ACKO Drive?

You can buy FASTag online at ACKO Drive for free following the simple steps mentioned below.

  • Step 1: Visit the ACKO Drive website/app and click on the ‘Buy FASTag’ under the option called ‘Products’ on the home screen.

  • Step 2: Enter your vehicle’s registration number, and click on ‘Get FASTag’.

  • Step 3: Enter your personal details and complete the KYC.

  • Step 4: Pay the minimal or preferred amount, which will be added to your FASTag wallet. 

ACKO Drive will deliver your FASTag within 5 working days free of cost.

Frequently asked questions

Below are commonly asked questions answered about FASTag.

What are the different ways to buy a FASTag?


You can opt for online or offline methods to purchase a FASTag. There are multiple FASTag sale points at NHAI toll plazas, certain petrol stations, etc. 

On the other hand, you can go online to purchase a FASTag from an issuer bank’s portal or other authorised platforms. ACKO Drive offers a hassle-free approach to buy a FASTag for free and get it delivered to your doorstep within 5 working days.

How can I use a FASTag?


Once you purchase a FASTag, it comes assigned to a single registration number. You are supposed to install the tag on your vehicle. Make sure the location where you attach the tag is easy for the RFID reader to detect at toll plazas. 

After installing the tag, you need to make sure that your FASTag wallet has enough balance for the payments required on your journey through highways. You can check your balance or recharge your FASTag online via the issuer bank or any other authorised payment portal.

Is a FASTag mandatory to cross toll plazas?


Yes, the Government of India has mandated the installation of FASTag for four-wheelers since February 16, 2021. A FASTag is now also mandatory to apply and obtain Third-party Vehicle Insurance.

What happens if I try to go across a toll booth without a FASTag?


In case you choose to cross toll plazas without a FASTag, you will have to pay double the regular toll amount. The same condition applies if your FASTag gets damaged and undetectable by the RFID reader.

How can I recharge my FASTag online?


Recharging a FASTag is pretty easy with multiple online options available such as UPI, net banking, digital payment portals, etc. ACKO Drive FASTag customers can visit the website/app to recharge their FASTag using the following steps.

  • Step 1: Access your ACKO Drive account using the registered mobile number.

  • Step 2: Select ‘My Account’, then click on ‘View’.

  • Step 3: Select an amount you want to recharge your wallet with.

  • Step 4: Click on ‘Recharge Now’ and follow the payment instructions.

What are the minimum and maximum recharge amounts for FASTag?


The minimum and maximum recharge amounts for FASTag are Rs. 100 and Rs. 1,00,000. You can choose any recharge amount between this range.

What is the validity of a FASTag?


A FASTag stays valid for 5 years from the date you purchase it. You can keep on recharging the wallet to use it for automated payments at toll booths on NHAI highways. If your FASTag gets damaged somehow, you can apply for a replacement from the issuer bank.

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