Lyft is relaunching a feature that allows riders to order an electric or hybrid car for their next truck. The service, Lyft Green, will initially only be available to business travelers in select cities when it launches on April 17.
Lyft originally launched Lyft Green in 2019 in Seattle, with plans to expand to other cities, but it backed off in 2021. A spokesperson told TechCrunch that the service was “initially a little ahead of its time” and that Lyft didn’t see much demand. Riders are now more exposed to electric vehicles and more excited about them, the company said, so the expansion is Lyft’s first step toward bringing the option broadly back into the marketplace.
The relaunch comes a week after Uber expanded its Comfort Electric option, which allows riders to choose a luxury electric car like a Tesla or Audi, to 14 new cities. The Comfort Electric is currently available in 40 cities, and Uber also has a more budget-friendly version called Uber Green, where riders can order a hybrid or less flashy EV.
Lyft Green is in line with the ride-hailing company’s goal to have 100% electric cars on its platform by 2030, a goal imposed in part by California’s 2021 ruling that rides must be in electric vehicles by the same year. Lyft will have to make some aggressive changes if it intends to achieve this goal. While hybrid cars have grown in popularity among Lyft drivers, electric cars have remained somewhat stagnant. In 2021, the share of electric vehicle miles traveled was just 0.56%, according to Lyft’s 2022 ESG report.
Lyft Green wasn’t popular enough in 2019 to be a hit, the spokesperson said, but it’s possible there just weren’t enough EVs on the platform to make it a viable service. For comparison, 4.1% of Uber trip miles were completed with electric vehicles in the United States and Canada.
Last December, Lyft introduced options to help drivers switch to EVs, including discounts on shipping and an expansion of EV inventory for the company’s so-called Express Drive rental program. The company has also offered California drivers an extra $150 per week if they make 50 trips in their personal electric vehicles through the end of 2024.
A Lyft spokesperson said a Lyft Green ride costs $1 more than a standard ride, and that dollar is split between the driver and Lyft.
To get drivers to switch to electric vehicles, Uber is offering drivers $1 for each trip completed with an electric vehicle, up to a maximum of $4,000, and is working with rental companies to give their drivers discounts on electric vehicles.
As Lyft works to get more drivers on its platform that drive electric vehicles, it will try the Lyft Green program initially with business travelers, who will need to sign up for a Lyft business profile using their work email. This is Lyft’s second business-focused initiative this year. In January, the company launched a new reporting tool to help companies track their emissions using the platform.
Lyft Green is currently available in Portland and will expand to 14 markets, including San Francisco, Seattle, Los Angeles, Silicon Valley, Boston, New York, Chicago, San Diego, Washington, D.C., Austin, Denver, Orange County, Sacramento and Phoenix. As the company improves service, it expects to open the service beyond just business travelers.
Lyft recently announced a new CEO, David Risher, who will take over on April 17, the same day Lyft Green launches. Lyft co-founders Logan Green and John Zimmer have both stepped down from their positions as CEO and President, respectively. Risher’s plan for Lyft is to focus on its core ride-hailing services business in a bid to win back more market share from Uber.