Jakarta. The Indonesian government plans to trial an automated toll billing system for motorists in Bali and is approaching a Hungarian company to develop the technology, officials said on Wednesday.

The electronic toll collection, which requires radio transponders or satellite-based tolling solutions, will be eventually introduced in all toll roads across the country, said Public Works and Housing Minister Basuki Hadimuljono.

"In the past, we used cash to pay the toll until we replaced it with cards,” Basuki said in Jakarta. "Now, we are transitioning from cards to a wireless system.”

The new system will be introduced in the Bali toll road later this year but gate barriers will still be used during the trial, Basuki said.

His deputy, Triono Junoasmono, said the ministry is negotiating with a Hungarian company to provide the system. However, Triono declined to name the company.

The electronic toll collection system aims to reduce traffic delays that typically occur during manual toll payment using cash or cards. It also increases efficiency by replacing manned toll booths.

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