Karnataka has collected Rs 11,112.31 crore in toll revenue through FASTag transactions over the last three financial years, reflecting the growing adoption of electronic toll collection across National Highways in the state, The Hindu reported on Monday.
According to data provided by the Ministry of Road Transport and Highways, the state collected Rs 3,049.09 crore in 2022-23. The amount rose to Rs 3,839.14 crore in 2023-24 and further increased to Rs 4,224.08 crore in 2024-25.
Replying to an unstarred question by MP G. C. Chandrashekhar in the Rajya Sabha on February 11, Union Minister for Road Transport and Highways Nitin Gadkari said that Electronic Toll Collection (ETC) now accounts for more than 98% of user fee collection across the country, including Karnataka. The figures indicate near-universal use of FASTag at toll plazas, significantly reducing cash transactions.
The Minister explained that FASTag payments are processed through a secure system involving the Toll Management System Software at toll plazas, the acquiring bank, the National Payments Corporation of India (NPCI) acting as the central clearing house, and the FASTag issuer bank. No transaction can be completed without the participation of all three stakeholders. Each toll deduction is communicated to the user and recorded in a central repository, ensuring transparency and accountability in toll operations.
To prevent toll evasion and revenue leakage, the National Highways Authority of India (NHAI) issued a Standard Operating Procedure (SOP) on January 25, 2024. The SOP mandates surprise inspections and regular monitoring to ensure all transactions are processed only through the Toll Management System Software.
On toll revisions, Minister Gadkari clarified that user fees are collected under the National Highways Fee (Determination of Rates and Collection) Rules, 2008. Rates at publicly funded toll plazas are revised annually based on changes in the Wholesale Price Index (WPI). In contrast, toll plazas operated by concessionaires revise rates in accordance with the terms specified in their concession agreements.
He said that toll charges may also increase if the tolling length under a plaza is expanded. Fees vary by vehicle category, with cars, jeeps and vans paying the lowest rates, while multi-axle heavy vehicles are charged higher fees in proportion to road usage, and the wear and tear they cause.
