Uber Accelerates Green Initiatives In India with Electric Vehicle Expansion

Uber Technologies (UBER.N) is increasing its efforts to become green in India by introducing more electric vehicles, partnering with fleet operators, expanding financing options, and providing users the choice to lease electric vehicles while booking their journey.

As part of the Uber Green launch in June, the company announced on Wednesday that it will add 25,000 electric cars to its platform in conjunction with fleet suppliers such as Lithium, Everest, and Moove.

Furthermore, it will roll out 10,000 electric two-wheelers in Delhi by 2024 in collaboration with Zypp Electric, another EV start-up.

It has also partnered with microlender SIDBI to give 10 billion rupees ($122.3 million) in funding to acquire clean automobiles and create charging stations with partners.

The move comes as a new challenger, BluSmart, an electric mobility start-up backed by BP's (BP.L) venture fund, challenges Uber and SoftBank-backed Ola's dominance with bets on an all-electric taxi fleet and an aggressive campaign to entice unhappy passengers and drivers away from the incumbents.

"India's huge scale and electrification momentum makes the country a priority for Uber as we seek to meet our commitment to electrify every ride on our platform by 2040," said Andrew Macdonald, the senior vice president for mobility and business operations at Uber.

In addition, Uber is bringing its global mobility deal with BP Pulse to India in collaboration with Jio-bp. While allowing Uber drivers to use their charging networks, the cooperation will also aid in the development of new charging infrastructure.

Uber's plans for a green fleet underscore the company's goal of becoming carbon neutral by 2040. According to a corporate job posting on LinkedIn, Uber is aiming for more than 1 million EVs in India and South Asia, calling them "a key piece" in its regional expansion strategy.

Earlier this year, it announced intentions to offer EVs for ride-sharing in India, its first step towards adopting clean cars as part of the Indian government's goal for greater electrification of public transportation and shared mobility.