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Thousands of Trucks stranded across India as FASTag issues cause major disruptions in freight movement
India’s road freight sector, the backbone of its economy, is grappling with a severe disruption caused by widespread technical issues with the FASTag toll collection system.
Dr.G.R.Balakrishnan Sep 27 2024 Logistics News (Roadways & Railways)

Thousands of Trucks stranded across India as FASTag issues cause major disruptions in freight movement

 Thousands of trucks are reportedly stranded at toll plazas across the country, significantly delaying the movement of essential goods. The All India Transporters Welfare Association (AITWA) has escalated complaints regarding these FASTag malfunctions to the Ministry of Road Transport and Highways (MoRTH), the National Highways Authority of India (NHAI), and the National Payments Corporation of India (NPCI).

FASTag, India’s electronic toll collection system, was introduced to streamline toll payments and reduce congestion at toll plazas, benefiting both private vehicle owners and the commercial trucking sector. However, the system’s malfunction, where valid FASTags are getting blocked and replaced by random tags from unknown banks, is leading to unprecedented chaos in road transportation. Several truck operators have reported being stuck at toll plazas for hours and being unable to pass through because of blocked or unrecognized FASTags. This has created a bottleneck in the transportation of goods, as the freight industry heavily relies on smooth and uninterrupted movement along national highways. AITWA has stated that the problem has affected trucks carrying all kinds of cargo, from essential goods like food and medicines to industrial materials.

The situation is particularly severe for perishable goods, as delays at toll plazas can cause significant financial losses for suppliers and logistics companies alike. Trucking operators are concerned about the escalating delays, fuel wastage, and loss of revenue due to stalled operations.

Multiple factors may be at play: 1. Database Errors: A possible miscommunication between the banks and NHAI’s central database could be causing older FASTags to remain active or replaced by another bank’s tag. 2. KYC Non-Compliance: Banks have strict KYC (Know Your Customer) compliance requirements, and some FASTags may be getting deactivated due to incomplete documentation. However, truck operators claim that even fully compliant FASTags are being blocked. 3. System Glitches: The integration between various financial institutions and the national toll system may be facing synchronization issues, resulting in these widespread disruptions. The appearance of random bank FASTags in place of active tags has raised concerns about potential technical faults in the system.

The disruption in toll payments is more than just a nuisance for truck drivers; it is threatening the broader efficiency of India’s supply chain.

On the other hand, many individual users have reported their active FASTags being unexpectedly blocked. On further investigation, they found that another FASTag, issued by a different bank, was active for their vehicle. This random tag, which the user did not apply for, would begin functioning without the user’s knowledge or consent, prompting questions about how such an error could occur.

The Ministry of Road Transport and Highways (MoRTH) and NHAI, in coordination with banks, have advised users to monitor their FASTag transactions and report any discrepancies immediately. To avoid future issues, users should ensure their KYC documents are up to date and verify that any previous FASTags have been properly deactivated. Banks are also required to provide support to users experiencing such problems, and those who notice unauthorized tags should contact both their bank and the FASTag helpline.