Works on the new Kappara junction flyover, which will alleviate this heavily congested arterial road, will start early next year and will span two years.

In an effort to minimise traffic disruptions, some of the works will be carried out at night, as long as this does not cause too many inconveniences for residents.

Once the Kappara junction (right) has been completed, work will start to upgrade the traffic junction next to the Addolorata Cemetery, in Marsa.

The government will also be exploring ways to improve accessibility between Valletta’s city centre and the ferry service, possibly through tunnels and people movers (mass transit systems).

In the short term, a tidal system will be introduced during the rush hour in selected arterial roads to ease traffic flow in a number of lanes.

Measures will also be taken to regulate horses and trucks on the road.

The government will explore incentives for employers who provide transport to their workers or encourage them to use public transport.

The rolling out of a smart traffic management system, which alerts motorists about any delays or deviations, will move a step closer as contracts will be adjudicated.

Transport Malta will be inviting motorists to float their ideas during a public consultation process on how to address the traffic problem.

Next year, more funds will be allocated for road maintenance, with an increased budget of €13 million. Incentives have also been announced to promote eco-friendly modes of transport. A government grant of up to €250 on the purchase of bicycles and pedelecs has been announced, while a €150,000 fund will be made available to co-financing bicycle racks at work places.

A €30,000 fund has been allocated for the promotion of cycling by local councils.

Owners of hybrid and electric cars will be exempt from the controlled vehicular access fees when entering Valletta.

The licence fee for motorbikes up to 125cc will be reduced to €10 and there will be no registration tax on electric bikes.

On the other hand, vehicles that have clocked more than 160,000km will have to undergo the vehicle roadworthiness test each year.

Heavier fines will be introduced for those caught drink-driving or using a mobile phone while at the wheel. New regulations will be introduced to clamp down on the illegal circulation of foreign-registered vehicles.

Plans for two public-private partnership pilot projects, in conjunction with local councils, have been announced for the construction of car parks.

Next year, the final €9.7 million instalment of the car registration tax refund will be paid to those who purchased a new car between May 1, 2004, and December 31, 2008.

Scrappage schemes and vehicle grants*

• A €7,000 grant on the purchase of new electric vehicles and €4,000 if no vehicle is scrapped.

• €2,000 on a new electric quadricycle.

• €2,000 on hybrid passenger vehi-cles with emissions between 50 and 65g/km.

• €3,000 on plug-in hybrid electric cars with emissions between one and 50g/km.

• €900 on vehicles with emissions not exceeding 100g/km.

• €700 on vehicles with emissions between 101g/km and 130g/km.

*Vehicle must be at least 10 years old.