Uber and Lyft along with other companies are vying for permits that authorize electric scooter use in San Francisco as the two ride-hailing business look to move beyond their roots for autos.
San Francisco temporarily stopped all use of the scooters in sharing programs at it attempts to restore order in the streets and sidewalks, as the most recent transportation trend has exploded with immense popularity.
The city wants to control the scooter sharing via a permitting process during a program of one year. The pilot program started June 1 and at least 10 different companies have applied for permits, but only five in all are granted.
Besides motorized scooters, Uber introduced bikes that are electric-assist, to its app in cities such as San Francisco, Santa Cruz, Sacramento, and Washington through its bike-sharing recently acquired Jump.
Lyft said it was also looking into being a sharing service for bikes that are electrically assisted.
In San Francisco, both Uber as well as Lyft will compete for permits against other providers of electric scooter Lime, Bird and Spin. Those three business in March released thousands of motorized scooters around San Francisco said the city’s Metropolitan Transit Authority during May. The large number of scooters in the city meant the city had to take measures that would ensure the safety of the public.
Operators that are given new scooter permits must provide user education in order to be insured, share trip information with the city, as well as have a private policy that offers plans for uses that are low-income.
Operators that end up winning the permits must provide user education in order to be covered, share data of their trip with the city, have a private policy and offer a plan for users that are low income.
They are also requiring companies or individual to provide a proposed service area as well as have a plan to address sidewalk parking and riding.
To apply for a scooter permit the cost is $5,000 and winners will have the pay $25,000 per year to the city and contribute another $10,000 to property repairs as well as maintenance endowment.
In the first year, the city will allow up to 2,500 scooters if all is going well during the first half year of the program. At the end of May sharing companies were ordered by city officials to remove all scooters from the streets before June 4.