Uber ‘s global ride-hailing business will only use electric vehicles by 2040. In a recent announcement, the company also pledged to set aside $800 million through 2025 to help its drivers switch.
Uber is partnering with several organizations to help fasten the global transition to clean energy.
“The world is at a critical juncture and we all have a role to play. Uber is aiming high. We’ll seek to build the most efficient, decarbonised and multimodal platform in the world for on-demand mobility,” Uber CEO Dara Khosrowshahi said.
To reach its ambitious goal, Uber is taking a holistic approach to reducing emissions, starting with four key actions:
- Expanding Uber Green to make it easier for riders to choose to travel in hybrids or EVs.
- Committing $800 million in resources to help hundreds of thousands of drivers transition to EVs by 2025.
- Investing in our multimodal network to promote sustainable alternatives to personal cars.
- Being transparent and accountable to the public along the way.
Uber Green will start in 15 cities and reach 65 cities around the world by the end of 2020. To fasten the switch, Uber will offer incentives for drivers that use hybrid or electric vehicles to pick up passengers.
Customers will be on the losing side, to some extent. Green rides will cost a little bit more, but Uber will counter the surcharge with 3x Uber Rewards points for every trip taken.
The extra cost is seen as a requisite to help speed up the adoption of environmental friendly rides.
The first phase of Uber’s fully zero-emission future will start in the US, Canada, and Europe.
It has set an interim target and hopes that by 2030, all of its cars will be electric in these three regions.
Uber is, however, not the first ride-hailing company to commit to an EV transition. In June, Uber’s rival, Lyft, promised to have a zero-emission fleet by 2030. But Dara bets they’ll be “the first to make it happen.”