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Electric Vehicle Mandates to Impact Rideshare Industry in California

Published on Apr 6, 2021 at 1:47 pm in News.

The California Air Resources Board has proposed a regulation that would require all rideshare vehicles to be electric by 2030.

The regulation, referred to as the Clean Miles Standard, would cover all services under the transportation network companies, which includes companies like Uber and Lyft. Over the course of eight years, beginning in 2023, the proposal would increase the number of electric vehicles by instituting new yearly vehicle miles traveled percentages by electric vehicles. The new minimum in 2023 would be two percent, which would increase until 2030 to 90 percent.

The California Air Resources Board proposed this new regulation to help the state meet air quality and climate goals outlined under the 2018 SB 1014 law that instructed the Board to created continued greenhouse gas reductions by Transportation Network Companies.

In the proposal, as noted by the California Globe, it said, “to comply with this regulation, TNCs need to work with their drivers to enable ZEV adoption. While we do not know the exact strategies TNCs will use, nor how the TNC business models may evolve into the future, staff have taken a conservative approach in selecting annual targets by assuming that drivers would acquire ZEVs and that low-income drivers, particularly those who live in communities of concern, would acquire ZEVs. The TNCs are well-positioned to help state and local agencies meet air quality and climate goals through electrification. In fact, the two largest TNCs in California, Uber and Lyft, have already been at the forefront of experimenting with electrification through various pilot programs in the U.S. and globally.”

Both Uber and Lyft have plans to increase the usage of electric vehicles. According to one rideshare driver, Rodrigo Harrison, “Lyft said that they are going 100% electric a while ago and have been shown to be meeting goals to make that happens. Uber too. And smaller rideshare companies are working on similar goals, with any startup or future company wanting in on this are essentially being coerced, by private companies and demand, to do the same thing. Companies already had this in place without this regulation, and it’s going to take off once battery charging takes 5 minutes and their range goes way up.”

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