Will Delhi implement congestion tax via FASTag? Here's what you need to know

Delhi may soon introduce a congestion tax for vehicles entering the city, with collection facilitated through FASTag technology. The Delhi government is considering this measure to address the rising number of vehicles, especially during peak hours.

The proposed congestion tax would be enforced at 13 major border points, specifically targeting peak hours from 8 to 10 a.m. and 5:30 to 7:30 p.m. To prevent long delays at toll booths, the tax will be collected electronically using FASTag, supplemented by RFID readers and number plate recognition (NPR) cameras. This system will enable vehicles to pass through without stopping, ensuring a smooth flow of traffic.

According to a report by TOI, the revenue generated from the congestion tax would be allocated towards enhancing public transportation and road infrastructure in Delhi. The primary aim is to discourage people from driving into the city, encouraging the use of public transport, and thereby reducing road congestion.

Congestion taxes have been effective in cities such as London, Singapore, and Stockholm, where they have helped manage traffic. Delhi's initiative raises the question of whether other heavily congested Indian cities like Mumbai and Bangalore might consider adopting similar measures.