This discussion got interesting, with a touch of paranoia. I'd like to learn more about that city tweaking stop lights to waste gas. ;D ;D
Self driving vehicles will be safer than human drivers, but that is not very difficult.
Traffic jams are generally caused and/or made worse by humans poorly managing speed... by driving slowly in heavy traffic, you can often average a higher speed than the hurry up and stop pattern we humans lapse into. This seems obvious for self driving cars to coordinate speeds to reduce congestion. There will likely also be pay to cruise where commuters can pay extra for faster transit in congested zones.
I suspect there will be redundant GPS or location references. A vehicle can literally learn the way home from driving it every day... GPS will be useful for visiting new locations. Cell towers can also be triangulated from, at least in populated areas with multiple tower reception. (In my crystal ball, roads will be energized to power EVs without requiring heavy batteries, and location ID can be built into that power distribution.)
Sensors are still in development with combinations of visual, IR, radar, etc. The high profile fatal tesla self-driving crash was caused by optics that misidentified a tractor trailer as open sky. Radar would not make that mistake, but look for more RF interference (possibly).
I got a fedex package delivered last week after the (new) driver called my home phone number, because her computer had her looking for my house miles away from where I live.
The computers are only as smart as the data they are given.
JR
PS: Science fiction has raised and investigated many of these fears about smart machines... Coincidentally I am currently reading I Robot, written in 1950 and it is amusing the predictions they make about technology for dates in what was the distant future from 1950, but now past history .