New York City’s Taxi & Limousine Commission (TLC) unanimously passed rules in October requiring all licensed app-hail vehicles to transition to either carbon-neutral or wheelchair-accessible by 2030, when NYC’s new “Green Rides” program takes effect. The rule could affect about 80,000 vehicles and calls for yearly targets that companies like Uber and Lyft must meet to operate in NYC.
TLC also announced that it is lifting its cap on new for-hire vehicle (FHV) licenses for electric vehicles (EVs), to help speed up the transition.
The TLC’s first benchmark comes at the end of 2024, when at least 5% of app-hail fleet vehicles must either have a net-zero carbon footprint or provide wheelchair accessibility – a goal both Uber and Lyft have already met. The requirement increases to 15% by the end of 2025, and 25% by the end of 2026, before increasing 20% each year until the 100% mandate is reached in 2030.
“This gradual, measured transition… is designed to ensure that electric vehicles can join the fleet in tandem with the development of charging infrastructure and price-parity with gas-powered vehicles,” said TLC Commissioner David Do. “Simultaneously, it reinforces our commitment to accessibility.”
The TLC estimated that, if all app-hail cars were currently electric, it would spare the atmosphere around 600,000 metric tons of carbon dioxide annually.
Media outlet, AutoMarketplace, expressed concerns about the news:“[We have] essentially laid out arguments against a free for all TLC Plate policy due to several factors, including dilution of driver earnings, impact on taxi medallion valuations and congestion concerns.”
Though skeptical of the recent changes, AutoMarketplace offered advice to potential EV buyers: “Anyone who wants to apply for a new EV-only FHV license should do so IMMEDIATELY, and via a business entity (LLC). In addition, one should enter into a lease-to-own agreement with themselves. This has several financial benefits, but also protects your liability as a driver. This could increase insurance premiums, but another reason to attach your FHV license (TLC plate) to a corporate entity (and not your individual name) is the belief that the TLC could pull back on the program and reinstate a cap, if the number of applications skyrockets.”
Sources: amNY, AutoMarketplace
