India to introduce barrier-free tolling using FASTag, AI cameras by December: Nitin Gadkari

New Delhi: Seamless, barrier-free tolling on several national highways across the country will be implemented by December, road transport and highways minister Nitin Gadkari said on Friday.

Addressing the second edition of Logistics Shakti Summit & Awards 2026, Gadkari said India will have to develop good infrastructure to reduce logistics cost.

"We plan to put up several seamless barrier-free tolling systems on several national highways across the country by December," Gadkari said.


This new system facilitates barrier-free tolling using integrated technologies, including Automatic Number Plate Recognition (ANPR) with AI analytics and RFID-based Electronic Toll Collection (FASTag).

Under this, vehicles will be charged based on their identification through high-performance ANPR cameras and FASTag readers, without needing to stop at toll plazas.

In case of non-compliance, e-notices will be served to violators, non-payment of which may result in suspension of FASTag and other VAHAN-related penalties.

Gadkari noted that if India wants to become a global power, the country will have to reduce logistics cost to single digits.

He said a recent report prepared by IIT Chennai, IIT Kanpur, and IIM Bangalore has revealed that India's construction of expressways and economic corridors has helped reduce the country's logistics cost to 10 per cent from 16 per cent earlier.

The Road Transport and Highways Minister said logistics cost is 12 per cent in the US, 12 per cent in European countries and 8-10 per cent in China.

Referring to the West Asia crisis, Gadkari said India relies on imports to meet 87 per cent of its oil requirement.

"We import fossil fuels worth Rs 22 lakh crore, which is also causing pollution... so we need to work on increasing production of alternative fuel and bio-fuel," he said.

Noting that green hydrogen is the fuel of the future, Gadkari said there is a need to reduce the cost of running a hydrogen fuel station to make it financially viable.

He said India is the fastest-growing major economy and it is a dream of Prime Minister Narendra Modi to make the country a USD 5-trillion economy.