Ride-hailing fees can drive electric car use, says new report

Ride-hailing fees can drive electric car use, says new report


A new report released by the International Council on Clean Transportation (ICCT) claims that taxes and fees could be the solution to nudging ride-hailing companies and their drivers towards electric vehicles.

While dozens of US and European cities already operate some form of taxation on ride-hailing firms such as Uber and Lyft, the need for a more strategic approach to boost fully electric car use is urged in the report.

Key findings included:

  • Only 1 percent of vehicles used globally for ride-hailing are fully electric.
  • Fees could be used to support home charging installation for ride-hailing drivers and fund the deployment of fast charging in optimal urban locations–5 to 8 percent of fees collected from ride-hailing would be sufficient to create a self-sustaining charging infrastructure programme.
  • If charges were indexed to vehicle exhaust emissions, an average per-trip fee of between US$0.58 to US$1.12 would be enough for electric vehicles to be economically superior to hybrid vehicles (based on US operating costs).
  • By applying higher fees for polluting combustion vehicles, the total operating costs of electric vehicles could achieve parity with conventional vehicles within ride-hailing apps in 2020.

Continue reading this story on cities-today.com

Photo: RedBoy [Matt]


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