American drivers are experimenting with one neat trick to try to avoid high fuel prices, and the likes of Hertz and Turo love it. The rental car franchise giant has reported that its ride-hail long-term rental customers are looking for EVs. Peer-to-peer rental service Turo is reporting something similar, with gas prices pushing EV bookings much higher than they were a year ago.
But is spending more money on a rental really the way to save money at the pump? More on this in a bit.
Make The Most Of Your Vacation Dollars
Gas is expensive right now, thanks to the US attacking Iran. The Strait of Hormuz is closed, or at least mostly closed, and so a large portion of the world's oil is stuck in transit. Combine that with extensive damage to oil-related infrastructure in the Middle East, and gas is the priciest it's been in a very long time.
A new report from Reuters shows that some drivers are doing something about their increased costs, and it's affecting the vehicles they're renting. Hertz told the news outlet that EV reservation requests increased by 25% in March compared with February. The difference was even higher on the West Coast, where gas prices are much higher than the national average.
These aren't just vacationing or business-travel renters; they're the company's longer-term customers. Those who need a vehicle for Uber or Lyft and take advantage of programs aimed at ride-hail drivers are increasingly looking for EVs.
Turo, which lets vehicle owners rent out their own cars similar to Airbnb for houses, is seeing regular customers looking for electrics. The company told Reuters that it had seen an 11% increase in EV bookings in the last three weeks of March versus the year before. When gas prices topped $4 for the first time since 2022, Turo saw EV bookings 47% higher than the same day (March 31) a year earlier.
Electric Rentals Aren't Much More Expensive. Yet.
Renting an EV is usually more expensive than renting a gas model, sometimes a lot more. The initial costs are higher, and residual values lower, plus renters who want an EV are often willing to pay the premium. But right now, the difference between an electric and gas car could be much less than the savings in gas.
Source: Reuters
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This article originally appeared on CarBuzz and is republished here with permission.
