Can Good Driving Really Remove Demerit Points? Understanding NSW’s Proposed Reward System

By Michelle
Driving information

What This Article Covers

This article explains what the proposed safe driver reward means, who it may apply to, why the government is considering the change, and how Sydney drivers can prepare if the bill is passed.

Can Good Driving Really Pay Off on NSW Roads?

It’s said that good behaviour costs nothing but brings priceless rewards. The NSW government is in the process of proving it as true. For years, drivers in NSW were penalised with fines, demerit points, and strict enforcement to reduce risky behaviour. But now, a new proposal could reward consistent good behaviour of drivers instead of only penalising them when things go wrong. The NSW government introduced a bill into Parliament earlier this month that would allow eligible drivers to have a demerit point removed after maintaining an offence-free record for 12 months. If passed, the reform could mark a new approach to encouraging safer driving habits across the state. 

While not yet law, these changes would impact all road users and have already sparked conversations across Sydney. For anyone navigating busy city roads or learning through a Sydney Driving School, understanding how this proposed system works and what it might mean for everyday drivers is becoming increasingly important.

What Is Being Proposed?

This bill, proposed by the NSW Government, aims to make rewarding safe driving behaviour a permanent record. In this bill, eligible unrestricted licence holders could have one demerit point removed from their record if they complete a full 12 months without committing any traffic offences.

The NSW government has been running a demerit points relief trial that rewards safe drivers. This new proposed bill builds on the previous trial, which the government says showed positive results. With this bill, the authorities want to establish a balance between penalties and positive incentives for the drivers. However, until the bill is debated and passed, the current demerit point system remains unchanged.

Who Could Qualify If the Bill Passes?

According to the new proposal, the reward would apply to unrestricted licence holders who:

  • Avoid committing any offence for 12 consecutive months

  • Remain within existing demerit point limits

However, this scheme does not include learners and provisional drivers. That’s because the graduated licensing system already applies stricter rules to newer drivers until they gain enough experience and develop safe habits. But even though L and P drivers won’t benefit directly, they must still focus on building strong driving habits early through a Safer Drivers Course with a reputed Sydney driving school

Why the Government Is Considering This Change

Sydney has heavy traffic, busy intersections, and changing infrastructure, all of which require drivers to be highly aware. Before this bill, most road safety strategies relied heavily on penalising drivers to change behaviour. While such law enforcement is important, transport authorities are now looking for ways to encourage safer choices through positive reinforcement. But now the proposal supporters argue that recognising and rewarding safe behaviour may motivate drivers to stay focused and avoid risky habits, rather than simply reacting to fines or penalties.

What It Could Mean for Sydney Drivers

If this new bill is passed, it would encourage drivers with clean records to continue being alert and patient on the road. Adapting habits like leaving more space between vehicles, staying within speed limits, and avoiding distractions may now bring you tangible benefits.

Even learner drivers enrolling in structured driver training and programs like the Safer Drivers Course should develop a safety-first mindset. While the proposal focuses on unrestricted drivers, this mindset would only benefit them in the future. 

Final Thoughts

Right now, the proposed safe driver reward is still just that — a proposal. But it signals a possible shift in how road safety is approached in NSW, where consistent, responsible driving could finally be recognised instead of only penalised. Whether the bill passes or not, one thing remains clear: building safe habits today is the best way to protect your licence and everyone around you on the road.

If you want to improve your driving skills, road awareness, and confidence, learning with a trusted Sydney Driving School can make a real difference. At Onroad Driving School, our experienced instructors focus on real-world driving skills, hazard perception, and safer driving techniques that go far beyond simply passing a test.

Ready to build safer habits that last? Book your next driving lesson with Onroad Driving School today and take the next step toward smarter, more confident driving across Sydney.

 

Frequently Asked Questions

Q1. Has the new demerit point reward been approved yet?

A: No. The NSW Government has introduced a bill into Parliament, but it has not yet passed into law.

Q2. What would the proposal allow if approved?

A: Eligible unrestricted drivers could have one demerit point removed after 12 months of offence-free driving.

Q3. Would learner and provisional drivers qualify?

A: Based on current details, the proposal applies only to unrestricted licence holders.

Q4. Do current demerit point rules still apply?

A: Yes. Until the bill is passed, all existing road rules, fines, and demerit point systems remain unchanged.

Q5. Why is NSW considering rewarding safe drivers?

A: The aim is to encourage long-term safe driving behaviour by balancing penalties with positive incentives.

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