Government approves ‘GPS-based Toll Collection System’

The Union Minister of Transport, Nitin Gadkari, have announced on December 17, 2020 that Government has cleared a Global Positioning System (GPS) based technology to collect toll tax. This ‘GPS-Based Toll Collection System’ will ensure the seamless movement of vehicles across the toll booths in India. ‘


  • The Union Minister said that the GPS-based toll collection system will male India ‘toll booth free’ within next two years.
  • The was announced by the Minister while addressing the ASSOCHAM Foundation Week Programme.
  • The minister also shared his perspective on the theme of the programme, that is ‘National Infrastructure Pipeline critical for economic revival across sectors.’
  • The Minister also hopes that the toll collections will reach Rs 34,000 crore by March 2021.
  • He further highlighted that, the GPS technology for toll collection would result in the toll income of Rs 1,34,000 crores in next five years.
  • Nitin Gadkari also said that the industrial development will help in employment generation and eradicating the poverty in India.
  • He also said, the industry in India is centralised in urban areas. Such decentralisation of industry will boost the growth rate as growing urbanisation results into several problems across the cities like Delhi, Mumbai, Chennai and Kolkata.
  • The Minister also highlighted the need to promote the public-private investment in infrastructure development.
  • He also assured Government’s support in projects which are not economically viable.

GPS-based toll collection system

Under the new toll collection system, the toll amount will be deducted directly from the bank account of the person. The toll will be deducted on the basis of the movement of vehicles. The Government decided to come up with the new system, since all the new commercial vehicles are now coming with vehicle tracking systems.

Current Affairs