Starting April 10th, 2026, the new highway toll rules are set to change how you drive on India’s national highways and expressways.
The Union Ministry of Road Transport and Highways issued an official notification on April 2, 2026, announcing a major overhaul in toll payment rules that apply across the country.
The biggest change? Cash payments at toll plazas will be completely stopped. The option to show ID cards for toll exemptions will also no longer be valid.
Going forward, every driver will need to use either an active FASTag or a UPI-based payment method before entering a highway.
Here’s an easy breakdown of what the FASTag new rules 2026 mean for you.
What are the New Highway Toll Rules From April 2026?
The new rules are straightforward but significant:
Cash payments are completely banned at all national highway toll plazas.
FASTag and UPI are the only accepted modes of toll payment.
ID card exemptions at toll booths have been discontinued
Rules apply across all NH and expressway toll plazas nationwide.
What Does the Official Notification Say?
According to the notification dated April 2, 2026, drivers can still use UPI to make payments without a valid FASTag, but the fee will be 1.25 times the standard toll.
According to Rule 14 of the NH Fee Rules, a vehicle may be refused entry or removed from the NH section if the driver refuses to pay, even through UPI.
The highway authority may also send out electronic notices for unpaid tolls. Failure to pay the outstanding balance will result in a penalty of double the toll.
End of ID Card Exemptions: What It Means
Many eligible individuals have flashed their identity cards at toll booths to avail fee exemptions for years, even while travelling in personal vehicles. This practice has now been officially stopped.
The ministry has held discussions with concerned government departments and offices to issue "Exempted FASTags" for vehicles that genuinely qualify under the law.
Additionally, the exemption is not attached to the individual anymore, but rather to the vehicle or office.
If eligible, you can get an Exempted FASTag through the official IHMCL/NHAI portal.
FASTag Annual Pass 2026: Most Suitable Option for Regular Highway Users
The FASTag Annual Pass is a practical and cost-saving alternative for frequent highway travellers, priced at Rs 3,075. The pass offers:
A total of 200 toll plaza crossings on countrywide national highways and expressways
1 year validity from the date of activation
Activates within 2 hours of payment and FASTag verification
Can be availed through the Rajmargyatra app or the NHAI website
The annual pass price has a 2.5% increase in comparison with the Wholesale Price Index, which was Rs 3,000 previously.
Why These Rules Are a Step in the Right Direction
The days-old issues of congestion, delays, and lack of transparency at toll booths are resolved by shifting to cashless toll collection. Key advantages include:
Digital transactions are near-instant, significantly cutting queue times
Every transaction is digitally recorded, reducing the scope for errors or misuse
Uniform cashless operations ensure consistent toll collection
Removing cash counters and ID card shortcuts closes long-exploited gaps in the toll collection system, ensuring every vehicle pays its due
In support of this, NHAI is also implementing multi-lane free-flow (MLFF) tolling, a barrier-free system where vehicles are automatically logged as they pass by cameras and RFID readers.
You will receive e-notices if your vehicle does not have a valid FASTag. This represents the next phase of India's Digital Highway initiative.
How to Prepare Before Your Next Highway Trip
Ensure your FASTag is active and linked to a valid bank account
Maintain a sufficient FASTag balance before entering national highways
Keep a UPI app ready as a backup payment option
Apply for an Exempted FASTag if your vehicle qualifies