Ride-hailing service Uber has launched a range of electric vehicles for use on its platform as part of a global push to be fully electric in the coming 15 years.
The company also aims to entice more drivers to its platform by reducing the cost to acquire and operate vehicles.
Until now, the group’s South African unit has been unable to make a firm commitment to reducing the number of traditional vehicles in its operations due to the government’s slow progress in implementing policies that would help to increase the use of electric vehicles (EVs).
Yet, Uber continues to create products and offerings in pursuit of its EV ambitions.
In November 2023, Uber launched a refreshed package delivery service that uses electric scooters.
This week, the company announced the launch of Uber Go Electric, its first fully electric product in South Africa, operated through fleet partner Valternative.
The company said the move was intended to improve the economics of earning by removing one of the biggest pressures on drivers: fuel costs.
“With lower operating expenses, fewer mechanical issues and more predictable running costs, it is expected that drivers can retain a greater share of their income and plan their work with greater confidence,” said Uber.
The group is also appealing to consumers through the benefit of quieter, more comfortable rides at an affordable price point.
Uber Go Electric is likely to compete directly with Bolt’s low-cost offering that uses the cheap Bajaj Qute vehicles. Bolt has used the vehicle to offer cheaper rides for consumers while keeping acquisition and running costs low, due to its small size and fuel economy.
According to vehicle selling website Autotrader SA, the Bajaj Qute costs just less than R105,000.
Business Day understands that Valternative’s vehicles cost less than R200,000, while Uber is offering weekly rentals at R4,000.
“Electric mobility becomes meaningful when it’s accessible,” said Mohamed Jeewa, CEO of Valternative.
“By managing charging, servicing and fleet operations, we ensure drivers can adopt electric vehicles without carrying upfront risk. We also remove the friction of daily cash flow that is required by providing an all-inclusive ecosystem. It is our intention that all of this leads to riders and drivers being able to increase their net earnings.”
Uber said cities would gain from reduced emissions and congestion as electric mobility became more commonplace.
The company has an ambitious goal of having all rides on its platform be undertaken in EVs by 2040, in line with several countries and organisations that have made similar pledges to reduce carbon emissions.
But for now, the world’s largest ride-hailing platform has not set a firm target on achieving the same in South Africa, due to its lacklustre EV market.
The company has also expanded its Uber Moto offering.
Under Deepesh Thomas, recently appointed Uber GM for Sub-Saharan Africa, the company launched a transport option at the start of 2025, offering rides on motorcycles in the hope of attracting more users to its transport marketplace.
“We’re building mobility that reflects the realities of South Africans,” said Thomas.
“Uber Moto has shown us just how powerful, affordable, and reliable movement can be in opening doors for people — from daily commuters to parents, shift workers and students.”
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