 The SmartTAG on board unit which is priced at RM100 per unit with compulsory purchase of Touch n Go reload amount of RM100, is heavily subsidised by the highway concessions to pay royalty to EFKON for each SmartTAG assembled by IRAT.Further, it was speculated that SmartTAG infra-red technology will not be able to handle the requirement for Multi Lane Free Flow (MLFF).It is expected that the microwave 5.8 GHz transponder systems which are undergoing testing under instruction by Malaysian Highway Authority (MHA) to TERAS will be the replacement of SmartTAG.