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WHY TESLAS ARE SUDDENLY DOMINATING NYC UBERS AND LYFTS



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By
Stephen Nessen

Published May 10, 2024

Modified May 10, 2024

60 comments

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Photo by Leonardo Munoz/VIEWpress via Getty

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By
Stephen Nessen

Published May 10, 2024

Modified May 10, 2024

60 comments

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This column originally appeared in On The Way, a weekly newsletter covering
everything you need to know about NYC-area transportation.

Sign up to get the full version, which includes answers to reader questions,
trivia, service changes and more, in your inbox every Thursday.

If you’ve ordered an Uber or Lyft in New York City recently, chances are you
were picked up by a Tesla.

That’s because last year, for less than a month, Mayor Eric Adams lifted a cap
established by former Mayor Bill de Blasio on new for-hire vehicle licenses. But
there was a catch: They could only be issued to electric vehicles. Much to the
yellow taxi lobby's chagrin, it resulted in more than 8,000 additional cars
driving for Uber and Lyft on the streets.

Now, there are around 10,000 electric for-hire vehicles and taxi cabs allowed to
do business on city streets. Of those EVs, about 80% are Teslas, city data
shows. Many of the new battery-loving taxi drivers even paid extra for
personalized license plates nodding to their source of power: E1ECTR1C, SP4RK,
PWRBANK, EL3CTRC, NOPGAS, NOGAS2, GASOVER, GASYUCK and BYEGAS.

Still, they're just a fraction of the for-hire vehicles on the streets. Data
shows that roughly 83,000 cars were registered to work for companies like Uber
and Lyft in New York City as of February, up from about 78,000 in August 2018,
when de Blasio first capped new licenses. The surge in electric for-hire
vehicles is largely driving that increase.



The New York Taxi Workers Alliance, which represents yellow cab drivers,
immediately filed a lawsuit last year to block the city Taxi and Limousine
Commission from lifting the cap. Even before the pandemic, yellow cabs’ revenue
dropped by 30% from 2012 to 2019, and the value of medallions fell by 80%,
according to the New York Taxi Workers Alliance. The advocacy group blames taxi
industry's sorry state on the flood of for-hire vehicles like Uber, which
arrived in 2011.

In response to the suit, a judge issued an injunction pausing the issuance of
new for-hire vehicle licenses. But before the judge ruled, there was a 26-day
window in the fall when drivers were free to apply for a license. Many seized
the opportunity.

The injunction remains in effect. More filings are due in the case at the end of
the month.

The TLC reports 91% of the licenses issued during that window went to individual
drivers, rather than private companies that rent TLC-approved vehicles to
drivers.

“We're giving opportunity to many of these drivers so that they don't have to
pay a big fleet,” TLC Commissioner David Do said in an interview. “They don't
have to pay a leasing company. They don't have to pay anyone else but
themselves, and they own their own license plate, their own license, and their
own small business at the end of the day.”

On the first floor of a parking garage on 42nd Street near Times Square is
Gravity, which claims to be New York City's fastest charging hub. Taxi drivers
trickle in and out, juicing up their electric vehicles. Depending on the type of
car and amount of battery left, the general manager there said it can take up to
30 minutes to charge a Tesla, and over two hours for a Toyota.



Abdulai Barrie, 56, bought his electric Toyota when licenses opened in November.
He said that although he now earns slightly more money since he isn’t renting a
car by the week, there are other headaches that come with driving an electric
car in a city without enough charging infrastructure.

“The problem is TLC put us in a trap where we have to strain to find these
chargers,” Barrie said. “Imagine somebody lives in the Bronx. You have to come
all the way to Manhattan to charge your car.”

One website identifies 18 charging stations in the Bronx. And federal officials
have secured $15 million to build a 22-car charging hub in Hunts Point. The city
Department of Transportation is also planning to build 13 charging hubs at
municipal parking garages around the city.

At the Gravity charging hub, Sher Sherpa, 45, stopped in to recharge his Tesla’s
battery. He’s had the vehicle since 2021 and would not recommend for-hire
drivers make the jump to a Tesla. He said minor repairs can take weeks.

“If something [is] happening, they keep my car a month,” he said. Without his
car, he added, he can’t work.

Sherpa said that after the TLC issued the new licenses, his daily income tanked
from $600 to $300.



His experience is fodder for Bhairavi Desai, president of the New York Taxi
Workers Alliance, which sued the TLC.

“When there are too many cars, each individual driver loses trips and the net
gain for the environment is undermined. Nobody wins, except the Teslas of the
world, and the TLC that would have made a nice sum from license fees,” Desai
said. “With one reckless move, the TLC undermined life-saving standards and
we’re back to the race to the bottom where no driver wins.”

Correction: This story has been revised to correct the total number of days last
year that the city issued licenses for electric for-hire vehicles.

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THIS WEEK IN NEW YORK CITY TRANSIT NEWS

Listen here:




 * New Jersey Gov. Phil Murphy told WNYC on Wednesday night that he’s confident
   Garden State lawmakers will approve his plan to revive a 2.5% corporate tax
   surcharge on wealthy firms as a recurring funding source for cash-strapped NJ
   Transit. Read more.
 * A stretch of I-95 in southwest Connecticut was back up and running on Sunday,
   less than four days after an oil tanker caught fire and forced it to close.
   Read more.
 * Migrants say they believe they’re being singled out by transit police and
   given fare evasion tickets while others hop subway turnstiles with impunity.
   The NYPD denies this. (Hell Gate)
 * The Department of Transportation now says construction on the
   triple-cantilevered part of the Brooklyn-Queens Expressway in Brooklyn
   Heights won’t start until 2028 — two years after the point at which former
   Mayor Bill de Blasio previously said the roadway could become unsafe. (AM New
   York)
 * A federal judge has given city officials two weeks to devise a plan to make
   half of the city's yellow cabs wheelchair accessible — something that was
   supposed to be accomplished by 2020 under the terms of a past settlement.
   (The City)
 * Transportation officials said they’re planning to install 500 secure bike
   parking huts on city streets by the end of 2029. (Streetsblog)
 * Is running one way you get around in New York City? We want to hear from you!
   Take this quick survey. We’ll use the results for an upcoming Gothamist
   story!



CURIOUS COMMUTER

Question from Shelby Herman in Queens
Why doesn't the M line connect, like a full circle?



Answer

The M train runs from Forest Hills in Queens, into Manhattan, through Brooklyn
and back to Middle Village in Queens.

It could be possible to make the line a loop through a proposal by the group
Queenslink, which promotes restoring rail service on the defunct elevated LIRR
Rockaway Beach Branch, which runs 3.5 miles from Rego Park to Howard Beach. The
line closed in 1962 — and advocates want to bring transit service back to the
line in order to fill in a transit desert in Queens. Mayor Eric Adams has
instead supported a proposal to turn the line into a High Line-style urban park.




Tagged

new york city
transportation
On The Way

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Stephen Nessen
Twitter

Stephen Nessen covers transportation. Since 2008 he has reported on everything
from Occupy Wall Street, the rebuilding of the World Trade Center site,
Hurricane Sandy, to Trump’s campaign for president. His transportation reporting
has taken him everywhere from the MTA’s secret Rail Control Center to the
gleaming subways of Seoul. Got a tip? Email snessen@wnyc.org.

Read more

Gothamist is funded by sponsors and member donations

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