Commercial, Sourcing Renewables - May 26, 2021
California Mandates 90% of Uber and Lyft Rides to be in EVs by 2030
Nearly all Uber and Lyft rides in California will need to take place in electric vehicles by 2030 under a new mandate adopted by the state’s clean air regulator.
The California Air Resources Board (CARB) unanimously voted to mandate that electric vehicles account for 90% of ride-hailing platform vehicle miles traveled before that deadline, Reuters reported.
Both Uber and Lyft already announced plans last year to fully convert their U.S. fleets to EVs by 2030, but in response to the mandate, the platforms called for more government subsidies to help low-income drivers with the transition and to increase charging infrastructure for this goal to be met. It is estimated that the total cost of the transition could reach $1.73 billion.
Automakers like General Motors and Alphabet Inc’s Waymo submitted comments on the mandate. Many believe government action like this will help increase EV sales, but there are still those who worry about who will bear the financial burden of the transition. Uber previously committed to investing $800 million through 2025 to help drivers with the transition, but further government intervention could be needed to ensure production meets demand.