Fastag bid a low hit

FASTag is an electronic toll collection in India, operated by National Highway Authority of India (NHAI). It employs Radio Frequency Identification (RFID) technology for making toll payments directly from the prepaid or savings account linked to it or directly toll owner. The system was initially set-up for the Golden Quadrilateral between Ahmedabad and Mumbai in 2014, and now it extends to whole of India and is made mandatory on 1st January, 2021 to be on every toll-plaza.

Mobility restrictions has caused many industries and places to suffer, another story of suffering comes from FASTag, as it sees a 10% dip in April through month on month collection on National Highways due to spread of Covid-19. The toll collection was made electronic, for faster way of transfer and to avoid physical communication. Around 95% of the total toll collection of NHAI is through Fastag which now has more than three crore users. According to a brokerage firm, toll collection in April fell to Rs. 2780 crore as it saw a 15% downfall in month on month in transactions. The vice president of Yes securities, Mr. Alok Deora said – “due to lockdown and partial lockdown the toll booths are suffering major impact as mobility is highly low”. He also said that user fee collection are supposed to move back to normal after situations settles and mobility get normal again

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