The Reserve Bank of India (RBI) has given its in-principle nod for exempting people buying FASTag from the Know Your Customer norm, union road transport and highways minister Nitin Gadkari said on Tuesday (December 17).
"I met RBI governor recently at my residence. He has given an in-principle nod. Clearance will come soon," Gadkari said.
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The move is aimed at making FASTag disbursement more widespread and easier. As of now, people need to provide details of the vehicle, registration certificate, individual identification proof and other details to obtain a FASTag.
The government rolled out FASTag-based electronic toll collection mechanism from December 15 across all toll plazas of NHAI.
However, as against the earlier plan of mandatory roll-out across all lanes of all toll plazas, the ministry has mandated the use of FASTag across at least 75 percent lanes of toll plazas and has restricted use of cash mode of payment to a maximum of 25 percent lanes of toll plazas.
"We have been facing some teething issues in FASTag implementation. We are trying to rectify issues as soon as possible," Gadkari said.
The use of FASTags is expected to reduce revenue leakages and increase toll income. The huge amount of data collected by National Highways Authority of India (NHAI) via FASTag must also be put to broader use to improve transportation in the country, minister of state for road transport General (Retired) VK Singh said.
First Published: Dec 17, 2019 10:37 PM IST
