IN order to limit the number of cars on its roads, the government of Malta is offering motorists $29,000 to surrender their driver’s licences for a period of five years, the country’s media reported.

Malta, Europe’s smallest country, has one of the highest vehicle densities on the continent and traffic congestion is a constant issue.

To mitigate this problem, authorities in the country came up with an ingenious programme entitled “Driving License Surrender Scheme,” which is designed to incentivise motorists to surrender their driver’s licences for a period up to five years.

According to Malta’s Transport Minister, Chris Bonett, one of the main goals of the Driving Licence Surrender Scheme is to create a “mobility shock,” especially among young people, before car use becomes too ingrained a habit.

Through this innovative programme, Malta is offering young drivers $29,000 to voluntarily hand over their driver’s licenses and refrain from driving for five years.

Payments are made in yearly instalments of $6,000 and beneficiaries are obligated to return the received amounts on a pro-rata basis if they change their mind before the agreed five years have passed

To be eligible for the Driving License Surrender Scheme, drivers must be 30 years old or under, residents of Malta for at least seven years, have a driver’s licence for at least 12 months, and not have had their licences suspended or revoked.

Malta has allocated an annual budget of €5 million to this scheme, limiting the number of beneficiaries to 1,000 people per year.

Initial feedback suggested a very high interest in the programme, which suggests that for many young drivers, the financial incentive is more important than driving a vehicle. (Sunday Tribune)