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  Business   In Other News  03 Apr 2019  FASTag transactions to grow 150 per cent

FASTag transactions to grow 150 per cent

THE ASIAN AGE. | SANGEETHA G
Published : Apr 3, 2019, 1:30 am IST
Updated : Apr 3, 2019, 1:30 am IST

The value of these transactions had grown by 80 per cent in a year's time to Rs 5150 crore.

In 2017, the growth was mainly aided by the increase in the adoption of FASTags among vehicle owners.
 In 2017, the growth was mainly aided by the increase in the adoption of FASTags among vehicle owners.

Chennai: Growing adoption by newer users and multiple usages are expected to support FASTag transactions grow by 150 per cent in 2019 to touch 550 million.

NETC transactions in 400 plus toll plazas across national and state highways in 2018 had grown by over 110 per cent over the previous year to touch 221 million. The value of these transactions had grown by 80 per cent in a year's time to Rs 5150 crore.

In 2017, the growth was mainly aided by the increase in the adoption of FASTags among vehicle owners. At the beginning of 2018, the number of tags issued to vehicle owners stood at 0.9 million and the issuance steadily grew month after month in 2018 to touch 3.8 million tags at the end of the year. A major push in adoption came when the government mandated that all new four wheelers need to be fitted with FASTags, said Sunil Rongala, Vice President - Strategy, Products and Analytics, Worldline India.

"We expect that FASTag adoption will witness an equally strong growth in 2019. It can have a total user base of 8 million in the calendar year as newer customers are discovering the ease and convenience of making the toll payments electronically from their linked FASTag wallet accounts," he said.

According to him, the transaction volumes will grow faster in 2019 than last year. At a growth rate of 150 per cent, volumes can touch 550 million from 221 million at the end of 2018.

"The increased growth will also come from multiple usages of FASTags. In countries like Singapore such electronic tags are successfully used for multiple payments," he said.

Tags: fastag, netc transactions