Satellite-Based Toll Collection System Deferred Amid Privacy Concerns

The government has decided to temporarily defer the rollout of the satellite-based toll collection system, citing concerns over data privacy and national security. Officials indicated that while the project remains a key element of India’s future transport infrastructure, its implementation has been put on hold until adequate safeguards are in place.

 

According to sources, the government is cautious about the use of foreign satellite technology for monitoring vehicle movement, as it could potentially compromise the real-time location data of citizens. Given the sensitivity of the issue, authorities have decided not to proceed with the system’s activation until a fully indigenous alternative is ready.

 

The Ministry of Road Transport and Highways had earlier planned to replace existing toll plazas with a Global Navigation Satellite System (GNSS)-based toll mechanism, which would have allowed for barrier-free, automatic toll deduction based on distance traveled. The system aimed to eliminate congestion at toll booths and enhance efficiency in revenue collection.

 

However, sources within the ministry stated that the government intends to rely exclusively on India’s indigenous satellite navigation system (NavIC) for such operations, rather than any foreign platform. Since NavIC’s integration into the toll framework is still under development, the rollout has been postponed for the time being.

 

Officials emphasized that the project has not been scrapped but merely deferred for a few months to address privacy and technical readiness. The system’s success depends on nationwide integration of NavIC-compatible devices, software calibration, and the establishment of secure data-sharing protocols.

 

India’s current FASTag system will continue to function as the primary toll collection method until the satellite-based system is fully operational. The National Highways Authority of India (NHAI) reaffirmed its long-term vision of achieving a completely barrier-free, multi-lane free-flow tolling system, where vehicles can travel seamlessly without stopping for toll payments.

 

The decision underscores the government’s commitment to balancing technological advancement with citizen privacy and national security — a priority in an increasingly data-driven transportation ecosystem.