KEY POINTS

  • Uber also said it will spend $800 million to help drivers make the switch to electric cars
  • Uber had been criticized by environmentalists and climate change activists for adding to pollution
  • Uber's commitment to use electric vehicles in Europe will save about 500,000 tons of carbon dioxide emissions

Ride-hailing firm Uber Technologies (UBER) has vowed to run an entirely green fleet of electric vehicles by the year 2040. In the U.S., Canada and Europe that timetable is set for 2030.

Uber also said it will spend $800 million to help drivers make the switch to electric cars, while forming partnerships with manufacturers to guarantee discounts.

Currently, riders in 15 U.S. and Canadian cities have the option to request an electric or hybrid vehicle for an extra $1. That choice will be available in more than 65 cities around the world by the end of this year.

"It's our responsibility as the largest mobility platform in the world to more aggressively tackle the challenge of climate change," Uber Chief Executive Dara Khosrowshahi wrote in a blog post on Tuesday. "While we're not the first to set ambitious goals in transitioning to [electric vehicles], we intend to be the first to make it happen."

Uber has been criticized by environmentalists and climate change activists for adding to pollution. But with this measure, the company is receiving praise.

“We applaud Uber’s bold commitment to reduce carbon emissions globally alongside its aim to partner locally,” said Christiana Figueres, founding partner of Global Optimism. “When [transport] demand is forecasted to increase exponentially at the same time that emissions have to be reduced dramatically, innovation from corporations like Uber becomes critical to decarbonizing the transport sector. We hope other companies will follow suit.”

"Uber's commitment to rapidly electrify its fleet in major European cities is good news," said William Todts, executive director of the Brussels-based campaign group Transport & Environment (T&E). "Now it's time for Europe's city mayors to show leadership. We need all big cities in Europe to introduce zero-emission zones, new pop-up bike lanes and cycle-only corridors, while also providing easy access to charging at home, at work and wherever people park."

Uber's commitment to use electric vehicles in Europe will save about 500,000 tons of carbon dioxide emissions – the equivalent to removing the emissions of 275,000 privately owned cars from the roads, T&E also stated, adding that transportation accounts for more than 27% of the European Union’s total greenhouse gas emissions.

“Cars in the [EU] emit 45% of all transport carbon emissions,” T&E stated. “To meet the EU's legally binding target of net-zero emissions by 2050, the bloc will need at least 40% of new cars to be emissions-free in 2030, and will need to sell the last combustion engine car by 2035 at the very latest.”