Uber has partnered with rental car company Hertz to offer Tesla vehicles as rental options for its drivers from November. The announcement follows news about Hertz's plans to induct tens of thousands of Teslas into its rental fleet to bolster its limited inventory of electric cars. As part of its plans, Hertz this week placed orders for 100,000 Tesla Model 3s by the end of 2022.
The Tesla fleet would reportedly cost Hertz a whopping $4.2 billion, and while that is likely to make Tesla rentals easier, reports suggest that it might be pretty expensive to rent one. What's more, the massive order might not be filled right away as it amounts to around one-tenth of Tesla's yearly output, which means Tesla rentals on Hertz are unlikely to get more accessible in the immediate future.
Uber on Wednesday announced that Hertz will make 50,000 Tesla vehicles in its fleet available to Uber drivers for rent by 2023. According to the company, this is the "largest expansion of electric vehicles (EVs) on a mobility platform in North America" and is a significant step towards its zero-emission goal that it announced last year. The agreement between Uber and Hertz expands their existing partnership that has been in place since 2016. As part of the deal, the ride-hailing company offers discounts on car rentals to drivers who don’t own their own vehicle, but this is the first time they will be offered one specific vehicle from one particular company.
Uber Drivers Can Start Renting Teslas From November 1
Uber drivers will be able to rent Teslas starting November 1 in a handful of major metropolitan areas across the US, including Los Angeles, San Francisco, San Diego and Washington D.C. According to Uber's press release, drivers operating out of these cities can rent a Tesla Model 3 from Hertz for $334 a week, including maintenance and insurance. The rate will fall to $299 per week or lower once the program gets underway. Uber further said that it plans to expand the program nationwide "in the following weeks," but there's no exact ETA for that yet.
As for the nitty-gritty of the Tesla rental program, Uber says that drivers must have completed at least 150 trips and have a rating of at least 4.7 to be able to rent the EVs during the initial launch period, suggesting that the requirements may be lowered in the future. Drivers who rent Tesla vehicles through Hertz will also be eligible for Uber's $1 bonus per trip as part of the company's 'Green Future Program.' They will also have access to Tesla's Supercharger network for charging their vehicles and will be able to claim Uber's exclusive discounts at EVgo charging stations.
Source: Uber