India will roll out a nationwide barrier-free MLFF tolling system by February-March 2027, Gadkari said.
The system will eliminate toll plaza stoppages, cut operating costs and save ₹6,000-7,000 crore annually.
FASTag has reduced waiting times, while digital tolling is estimated to save ₹5,250 crore in fuel costs.
Barrier-free Tolling To Cover India By March 2027, Says Nitin Gadkari
India is set to introduce barrier-free MLFF tolling nationwide by February-March 2027, aiming to eliminate stoppages, reduce costs and improve travel efficiency
Summary
India is headed towards a fully digital, barrier-free toll collection system that should be in place nationwide by February-March 2027, Union road transport and highways minister Nitin Gadkari said on Friday. T
The system will use the Multi-Lane Free Flow (MLFF) model. MLFF is a barrier-free electronic tolling setup that uses overhead gantries to identify vehicles and levy charges as they pass at normal speed, with no need to stop or slow down.
Speaking at the Global Fintech Fest in Mumbai, Gadkari said the government wants to eliminate stoppages at toll points.
“In one year, we want to get all our tolls free on the MLFF model. I directed officials to complete it by December 2026. I believe 60% to 70% of the work will be completed by the end of the year. By February-March, a barrier-free toll plaza system will be implemented across the country,” Gadkari said at the Global Fintech Fest in Mumbai.
Cost Savings Ahead
The change also has a cost angle. Gadkari, who inaugurated the country’s first barrier-free tolling system at the Mundka-Bakkarwala Toll Plaza on Delhi’s Urban Extension Road-II in May, said the model would mean no toll plaza on the road and no need for vehicles to stop.
“It also means reducing fuel consumption and the operation and maintenance costs of toll plazas,” Gadkari said. He added that the operating cost of toll plazas is between 12% and 15% and is expected to drop to 2% to 4% once the barrier-free tolling model is rolled out nationwide.
“This will help save ₹ 6,000 crore to ₹ 7,000 crore annually,” Gadkari said.
FASTag Gains
FASTag has already changed the system. Gadkari said the electronic toll collection system has significantly cut waiting times and removed the need for cash payments and change at toll plazas. He added that the next step is to ensure vehicles do not have to stop at toll plazas at all.
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“Earlier, the waiting time was 12 minutes, which used to stretch to 30 minutes at some places,” Gadkari said. He added that software has been developed to understand the waiting time at every toll plaza.
“There has been an improvement of 80% to 90%, but I want it to improve further so that no one has to wait at toll plazas,” Gadkari said. He said annual savings from reduced toll-plaza waiting times amount to about 71 crore hours and 56 crore litres of fuel, translating into fuel savings worth roughly ₹ 5,250 crore.
“The economic value of the time saved by commuters is estimated at ₹ 68,500 crore annually,” Gadkari said. “This is such a big benefit for the people.”
Govt Revenue Impact
The gains also extend to government revenue. Gadkari said broader FASTag adoption and the move toward digital tolling have generated an estimated benefit of ₹ 20,000 crore to ₹ 25,000 crore annually for the government.
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“If you compare the system before and after FASTag, the benefit to our department alone comes to around ₹ 20,000 crore to ₹ 25,000 crore per year,” Gadkari said.
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