India to implement GPS-based toll collection system 

India to implement GPS-based toll collection system 

Part of: GS Prelims and GS – II – Policies and interventions & GS-III – Infrastructure

In news

• According to Ministry of Road Transport and Highways, India will implement a GPS-based toll collection system and remove all toll booths within a year.

GPS-based toll collection system

• Toll collection will happen via GPS. 
• The money will be collected based on GPS imaging of vehicles.
• 93% of the vehicles were paying toll using FASTag but the remaining 7% had still not adopted it despite paying double the toll.

Vehicle Scrapping Policy

• The policy was first announced in the Union Budget for 2021-22. 
• The automobile industry in India will see a jump in turnover to ₹10 lakh crore from ₹4.5 lakh crore.
• The new policy provides for fitness tests after the completion of 20 years in the case of privately owned vehicles and 15 years in the case of commercial vehicles.
• Any vehicle that fails the fitness test or does not manage renewal of its registration certificate may be declared as an End of Life Vehicle.
• The policy will kick in for government vehicles from April 1, 2022. 
• Mandatory fitness testing for heavy commercial vehicles will start from April 1, 2023. 
• For all other categories of vehicles, including personal vehicles, it will start in phases from June 1, 2024.