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Uber commits $800m to electrify taxi fleet

Uber commits $800m to electrify taxi fleet

All cars on Uber platform will be electric vehicles by 2040

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Uber will spend $800m to help its drivers acquire electric vehicles by 2025 as the ride-hailing firm moves to address climate change.

The company has also committed to electrifying all the cars on its platform globally by 2040, and by 2030 in the US, Canadian and European cities.

“It’s our responsibility as the largest mobility platform in the world to more aggressively tackle the challenge of climate change,” CEO Dara Khosrowshahi said in a blog post on Tuesday.

“While we’re not the first to set ambitious goals in transitioning to [electric vehicles], we intend to be the first to make it happen,” he added.

Towards that goal, Uber is launching ‘Uber Green’ in 15 U.S. and Canadian cities where customers willing to spend an extra dollar can request an electric or hybrid vehicle. By the end of the year, Uber Green will be available in over 65 cities around the world. Riders will earn three times the Uber Rewards points by choosing the green option other than a traditional cab, the company said.

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Drivers can also cash in on the green revolution, earning an extra 50 cents per trip in the U.S. and Canada for every Uber Green trip completed to be paid out by riders. Drivers using EVs will also get another dollar from Uber, amounting to $1.50 more per trip for each EV ride completed.

Uber is also partnering with car manufactures such as GM and Renault – Nissan to offer discounts on electric vehicles to Uber drivers. Working with Avis, Uber is planning to offer more electric vehicles for rental to U.S. drivers.

The company also plans tighter integration of its network with micromobility options such as bikes and scooters while expanding its shared-ride programs post-Covid.

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