Technology

Lyft’s new fuel surcharge to be added to rider fees starting next week

AP.

Lyft announced Wednesday that it will add a $0.55 fuel surcharge to the price of each ride starting next week in an effort to help its drivers offset rising fuel costs.

The company told The Hill in an email that the full amount will go directly to drivers. 

In a Wednesday statement, the company said, “Recent gas price increases are making all types of transportation more expensive. And this has a direct effect on drivers. So, starting next week, Lyft is adding a $0.55 fuel surcharge to each ride that’ll go directly from riders to drivers—100% of it.”

The popular ride-hailing company added that drivers can expect these additional earnings for at least the next 60 days. 

“We’ll continue monitoring gas prices, listening to how drivers are being impacted, and finding ways to support them as things evolve,” the statement added.

However, drivers in New York City and Nevada will not be receiving this fuel surcharge next week

New York City just raised the minimum earnings standard for drivers by 5.3 percent in early March due to increased expenses, so the surcharge will not apply there, the company said.

The statement added that regulatory requirements in Nevada “prevent us from rolling out the surcharge immediately.” Lyft said it is working hard to bring the surcharge fee to drivers there as soon as possible. 

This follows a Monday announcement that Lyft will be asking riders to pay a temporary fuel surcharge to help offset increased gas prices.

Last week, Lyft rival Uber announced a similar fuel surcharge for rides starting Wednesday. Customers will pay a surcharge of either $0.45 or $0.55 for Uber rides and a surcharge of either $0.35 or $0.45 for Uber Eats orders. The full amount will go straight to drivers.

This comes as drivers around the country are facing record prices at the pump. The national average gas price was $4.31 per gallon on Wednesday, according to data from AAA. It hit a record high of $4.43 per gallon on Saturday.
Tags fuel surcharge gas prices Lyft ride-share companies

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