California Offers EV Incentives of Up to $20,300 for Rideshare Drivers

California has opened a new statewide incentive program designed to cut transportation emissions by helping frequent rideshare drivers switch from gasoline to electric vehicles. 

The new Rideshare Incentives for Driving Electric (RIDE) program is overseen by the California Public Utilities Commission (CPUC) and administered by the nonprofit Center for Sustainable Energy (CSE). 

Drivers can apply starting Nov. 2.

For rideshare drivers, switching to an electric vehicle can lower fueling and maintenance costs, reducing ongoing expenses.

For all Californians, helping make it more affordable for high-volume rideshare drivers to go electric reduces air pollution from cars.

Affordability for drivers 

RIDE provides financial assistance to eligible low- and moderate-income, very high-volume rideshare drivers for the transportation network companies Uber, Lyft and HopSkipDrive. Eligible drivers must have a household income at or below 400% of the federal poverty level or enrollment in a qualifying income-qualifying program. They must have completed at least 4,500 passenger trips across rideshare platforms within the past 12 months to qualify.

Eligible drivers may receive:

• Up to $20,300 for buying or leasing a new zero-emission vehicle.
• Up to $14,200 for buying or leasing a used zero-emission vehicle. 

Qualifying vehicles include battery electric and hydrogen fuel cell electric vehicles that meet program requirements. 

Additionally, incentive recipients automatically qualify for up to $1,170 annually to help offset charging costs. Charging support can continue for up to four years if the driver maintains eligibility.

California rideshare drivers may also qualify for additional local, utility and other EV incentive programs. CSE has developed an online RIDE Incentive finder at RIDEca.org/incentives.

“Rideshare drivers depend on their vehicles to earn a living, and the cost of going electric can be a major hurdle,” said CPUC Commissioner Christine Harada. “RIDE helps eligible drivers afford an electric vehicle and pay for charging, making cleaner transportation more affordable for drivers and helping improve air quality for everyone.”

Cleaner air for everyone 

Passenger cars and other light-duty vehicles account for nearly 28% of California’s greenhouse gas emissions and contribute significantly to smog and air pollution.

The California Air Resources Board estimates that a full-time transportation network company driver averages about 40,000 miles a year for work, compared with roughly 13,000–15,000 miles for a typical personal vehicle in California. 

For California communities, electrifying these heavily used vehicles can reduce emissions by replacing more gasoline-powered miles with zero-emission travel.

How is RIDE funded?

RIDE is funded through a per-trip regulatory fee paid by rideshare customers and collected by transportation network companies under California’s Clean Miles Standard program. Under the program, transportation network companies must increase the miles traveled by their drivers in zero-emission vehicles to meet reduced greenhouse gas emissions from rideshare trips.

CSE’s role in RIDE

As RIDE administrators, CSE manages application processing, incentive payments, driver support and program outreach.

“RIDE is designed to get the greatest emissions benefit from every incentive dollar by focusing on vehicles that spend much of the day on California roads,” said Scott Shepard, CSE senior transportation director. “For a rideshare driver filling up several times a week, high gas prices can quickly cut into earnings. RIDE can make the switch to an EV more affordable and help drivers keep more of what they earn.”

CSE is also a consultant and subcontractor for Massachusetts’ Ride Clean Mass program that offered the nation’s first statewide EV incentives for rideshare drivers. The program provides several types of ride-hailing and taxi drivers up to $17,500 for a new EV or $12,500 for a used EV. CSE is responsible for application verification, general program support, data collection, program reporting and survey implementation.

Find out more about RIDE

To learn more about the program, review requirements and apply, drivers can visit RIDEca.org.