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19 December 2012

Dubai is paying people not to break the law

Drivers offered prizes for good behaviour.

By New Statesman

It’s hardly common practice for authorities to offer prize money for staying within the limits of the law – but this is exactly what’s happening in Dubai.

Drivers who go 12 months without a traffic violation will now become eligible for prizes – including cars. There are about one million driving licences registered in Dubai, and only 500 prizes, and therefore, as the head of Dubai Police traffic department Maj Gen Al Zaffin told The National, “there might need to be a selection process based on the number of people who will be eligible”. Might. But as atrocious as driving in Dubai might currently be, there are high hopes for the scheme:

“[W]e are hoping it will reduce accidents by 10 to 20 per cent in the long run,” he said.

It’s an odd, nudge-policy-like thing for Dubai authorities to do – but a quick scout for relevant studies throws up some evidence that supports the idea.

One study in the US found that speeding was virtually eliminated amongst drivers who were offered $25  a week not to exceed a speed limit.

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Here’s a summary, via stuff.co.nz:

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The study placed a GPS tracker in eight cars and loaned to 50 different drivers for a week. A control group of 10 drove the cars as they did every day and their speed was monitored.

Another 20 were warned every time they exceeded the speed limit.

The final 20 drivers were also warned when they exceeded the speed limit but additionally told they would get a $25 reward at the end of the week if they didn’t exceed the speed limit. They lost three cents for travelling between 3-8 miles per hour (5-13kmh) over the limit and six cents for infringements above that level, the npr.org website reports. Any speeding tickets they accrued stood as an additional penalty.

Each time the driver completed a trip, they were given a report showing any penalties they had accrued.

According to the researchers, the very clear (if small) penalties and rewards system made motorists determined to “win the game” – watching their driving far more carefully.

Insurance companies already operate a rewards system for careful drivers – but this is the first time a goverment has. It will be interesting to see if it works.