How some Uber drivers can save up to $3500 each year

Uber has announced a significant change that will affect thousands of rideshare drivers across Australia.

Uber drivers with electric cars will have their service fees slashed — saving up to $3500 a year — as part of a new incentive to get more Australians to buy up the environmentally friendly vehicles.

The rideshare company announced on Wednesday it would invest $26 million into the nation’s electric-vehicle market as part of its global commitment to become a zero-emissions mobility platform by 2040.

As part of the initiative, drivers using eligible battery electric vehicles will have their service fees cut by 50 per cent from July 1 until June 30, 2025.

But drivers will need to get in quick as the service fee reductions are limited to the first 2500 participants.

Uber will halve service fees for drivers with electric cars as part of a $26 million investment into Australia's electrical vehicle market over the next three years. Picture: NCA NewsWire / David Geraghty

Australia’s electric vehicle (EV) market lags behind other countries with a representation of only 0.7 per cent out of the millions of cars sold in the nation each year.

After Uber conducted a 12 month trial of reduced service fees for participating drivers, more than 378,000 EV trips were completed while drivers saved about $5500 in service fees and fuel.

About 502 tonnes of CO2 — the equivalent of planting 16,000 trees — were saved during that trial.

The company aims to have all their drivers in electric cars by 2040. Picture: NCA NewsWire / Sarah Matray

Uber Australia general manager Dom Taylor said the investment provided incentives for drivers switch to electric vehicles.

“The number of driver partners using EVs on the platform has almost quadrupled, with five times as many EV trips being taken now than before we began the initiative,” he said.

“We know this approach is producing results and we also know that driver partners want the program extended. We want to do our bit — we’ve listened to them and have extended this initiative for another three years.”

“We want to work with governments, vehicle manufacturers and key stakeholders in the industry to accelerate the rate of EV adoption across Australia so that together we can create a more sustainable transport future.”

Uber’s Dom Taylor said the investment provided incentives for drivers switch to electric vehicles. Picture: NCA NewsWire / David Geraghty

Electric Vehicle Council chief Behyad Jafari said Uber’s incentive would help drivers go electric and provide riders an opportunity to experience new sustainable innovation.

“Australians understand that electric vehicles help clean the air, cut carbon emissions, and reduce our dependence on imported oil, meaning they are keen to see more on our roads,” he said.

“What we know is the best way to support people going electric is to take a ride in or drive one. Once you experience the performance of an electric car, there’s no going back.”