As early as November, Uber drivers with 4.7 ratings or
higher will be eligible to rent a Tesla Model 3 from Hertz in Los Angeles, San
Francisco, San Diego and Washington DC through an expanded car rental
partnership with the ride-hailing company. Hertz will power the partnership
with 50,000 electric vehicles by 2023.
The news comes on the heels of Hertz's Monday announcement
that the company would purchase 100,000 Tesla Model 3s to add to its fleet
through 2023. As the financially embattled car rental giant emerges from
bankruptcy, the move positions Hertz as a leader in electric vehicle rental for
consumers and corporate partners as it looks to rebuild its fleet after selling
off cars during the pandemic.
The partnership boosts Uber as well, as consumers and
corporate customers look to source more ecological transportation options. Uber
now claims the largest expansion of electric vehicles on a mobility platform in
North America and one of the largest globally. The deal also pushes Uber toward
its zero-emissions goal.
Initially, top-rated Uber drivers will be able to access
Tesla vehicles for $334 weekly, but Hertz is looking to lower that cost for
drivers over time. Availability of charging stations will be key for driver
uptake of the option and could dictate in what markets the programme can be
viable.
At launch, the Tesla option for Uber drivers and regular
renters will be available only in three California markets – Los Angeles, San
Diego and San Francisco – and Washington DC. To that end, Hertz will contribute
to charging infrastructure by installing 3,000 charging stations across the US
and Europe. Hertz expects to have charging infrastructure available in 100
markets by the end of 2023.
Hertz interim CEO Mark Fields in a statement called the partnership
a "major step forward in Hertz becoming an essential component of the
modern mobility ecosystem and executing on our commitment to being an
environmentally forward company”.
Uber CEO Dara Khosrowshahi in a statement said:
"Climate change is an urgent global challenge we must all tackle together,
and now is the time to drive a green recovery from the pandemic."
Hertz and Uber have had a car rental partnership since 2016;
the Tesla rollout is an investment in and expansion of that partnership.