Heads-Up, Your Lyft and Uber Rides Are About to Be More Expensive
The rideshare platforms are responding to a spike in gas prices.
As a New Yorker, I'm largely unaware of the pitfalls of car ownership. I'm too busy complaining about public transportation. But, now, even city folks are facing the effects of climbing gas prices.
Lyft and Uber have announced plans to add a small surcharge to help drivers with outrageous fuel costs in the US. According to AAA, prices hit $4.325 a gallon last week, topping the previous record of $4.11 from July 2008.
"While earnings on our platform remain elevated compared to historical trends, the recent spike in gas prices has affected rideshare and delivery drivers," Uber's head of driver operations for the US and Canada, Liza Winship, said in a blog post. "To help reduce the burden, we are rolling out a temporary fuel surcharge."
While Lyft has yet to announce an exact fee, on Friday, Uber said that it will charge an extra $0.45 to $0.55 per trip while Uber Eats deliveries will also incur a $0.35 to $0.45 charge for at least two months.
"We've been closely monitoring rising gas prices and their impact on our driver community," Lyft spokesperson CJ Macklin said in a statement, according to The Verge. "Driver earnings overall remain elevated compared to last year, but given the rapid rise in gas prices we'll be asking riders to pay a temporary fuel surcharge, all of which will go to drivers. We'll share more details shortly."
The rise in gas prices comes in response to the Russian invasion of Ukraine, which spurred President Joe Biden to ban all imports of Russian oil, gas, and energy as a hit to "Putin's war machine," NBC reports.
For its part, Uber is also encouraging drivers to use electric cars instead, which can allow them up to $4,000 more a year in profits.