FASTag is an electronic toll collection system run by the National Highway Authority of India (NHAI). FASTag device is specifically designed for vehicles that help you make digital cash transactions and enable you to pay toll-fare while the vehicle is in motion. RFID (Radio Frequency Identification) is the technology behind FASTag. RFID is widely used in industries like automobiles, pharmaceuticals, cattle rearing, etc.

As per research, the global RFID market is estimated to reach USD 10.7 billion by 2021 and USD 17.4 billion by 2026, at a 10.2% CAGR.

Understanding the Role of RFID Technology in FASTag System

RFID technology is the soul of the FASTag system. The RFID FASTag is stuck on the windscreen of the vehicles and allows drivers to pass through toll plazas without halting. A FASTag has an RFID chip that is activated when the beam strikes from the scanner. When a vehicle reaches within a certain radius, the scanner sends out the signals and reads the tag, i.e., identification code of the tag. Since a card is already charged with money, the FASTag payment gets deducted automatically. FASTag has now become mandatory; if you don’t have it yet, it’s time to buy a FASTag card. You can check out Kotak NETC FASTag for best deals.

The tag has a validity of five years, and after purchasing, you only need to recharge/top up the FASTag card as per your need. The entire procedure is done electronically under the National Electronic Toll Collection programme.

The RFID technology uses an Electronic Product Code (EPC) with which every vehicle can be identified uniquely. This code is different from the Vehicle Registration Number that every vehicle is allotted. The EPC code in RFID FASTag is a 13-digit number issued by GS1 India, a standard body that is responsible for ensuring each code is unique and is in sync with global standards.

RFID Tag uses a small electronic chip that is surrounded by an antenna. Unlike traditional barcodes, the RFID tagging system doesn’t need to be very close to the reader. You just have to be within a readable distance from the scanner.

RFID technology works much faster than barcodes. These tags are also long lasting and have more economical value due to low manufacturing costs.

Benefits of RFID Technology in FASTag

RFID technology in FASTag Card has made toll collection for India very easy. The following are a few benefits of the RFID tagging system :

  1. The tags don’t need line of sight to get scanned: Advanced technology in RFID enabled the scanner to use the radio waves to track the vehicle information, which smoothens the whole process.

  1. Scanners can read multiple RFID tags simultaneously: No more waiting in long queues for toll payment. With FASTag, the line clears up quickly as the scanner is quite advanced.

  1. Reduced human effort and error: Automating the whole process has reduced the chances of human errors and has lessened human efforts comparatively.

  1. RFID tag stores data in an encrypted form: Code is standardised to ensure data coded inside is not read differently at different levels.


RFID technology is a trending advancement. It has been very effective for vehicle tracking. Its ultra-modern real-time asset tracking with accuracy has made toll ticketing and collection much easier than the traditional way of doing it. If you’re looking to make a FASTag payment or buy FASTag, do check out Kotak Mahindra Bank website for exciting offers and vouchers.