Does FASTag violate the right to free movement?
What is FASTag?
FASTag, introduced by the Union government and being operated by the National Highways Authority of India (NHAI), is an electronic toll collection system on national highways. Under the system, the vehicle owners are mandated to add money to their FASTag account (just like any e-wallet account), so that the toll collection on highways and expressways becomes seamless with minimum waiting time and less fuel wastage. As the vehicle passes the collection checkpoint, the toll amount is automatically debited from the vehicle owner’s digital FASTag account.
In a notification issued by the Union Ministry of Road Transport & Highways, it was mentioned that to be eligible for third-party car insurance, having FASTag has also become a requirement from April 1, 2021.
Does FASTag violate the right to free movement? Centre disagrees
Public interest litigation filed in the Bombay High Court states just that. However, the Centre in its response to the plea stated that making FASTag mandatory for all the vehicles passing through the national highways and expressway does in no way breaches the citizens right to free movement.
What did the Centre say?
- In its affidavit submitted in the Bombay High Court recently, the Centre stated that while FASTag chips were made mandatory for playing on national highways, the provision of separate lanes for those without the facility was also made available. Such people were, however, made to pay twice the toll amount
- The Centre also stated that FASTag was made compulsory in a staggered manner and was in the larger public interest
- The Centre added that all decisions regarding the FASTag were taken after proper studying of Central Motor Vehicles (CMV) Rules, sans any clause violation
- The Centre said that it also provided incentives, including a 10 to 25% cashback, to users between 2016 to 2020
- It also said that the penalty to the non-FASTag vehicle owners was as per the National Highway Fee (determination of rates and collection) Rules, 2008
- The Centre urged the Bombay High Court to dismiss the petition
In Conclusion
Having FASTag does make travelling on the highways and expressways seamless. The fuel that was initially wasted while waiting in the queue as each vehicle owner manually paid cash to the checkpoint attendant will be brought down and should be a cause for celebration as fuel prices skyrocket.
Moreover, now that having FASTag has become a requirement for availing car insurance, which is also a mandatory practice under the Motor Vehicle Act of 1988, it is advisable to get accustomed to the change.
Before you leave!
While we are on the topic of car insurance, given the multitude of insurance options before the vehicle owners, making a choice can be overwhelming. To minimise the confusion and choose the best plan, you can take the help of Finserv MARKETS and make an informed decision.