Citing record-high gasoline prices, which have been climbing for the 13th consecutive day since Russia began its war on Ukraine, Uber is charging customers new fuel fees to help offset the costs of rides and delivery drivers.
The company announced Friday that the temporary surcharge will be either 45 cents or 55 cents per Uber ride and 35 cents or 45 cents per Uber Eats order, depending on the location.
It will take effect on Wednesday. San Francisco-based Uber said all the money will go directly to drivers, not meant to cover the full cost of the gas, but to “reduce the burden.”
The surcharge will be in effect for at least 60 days, after which Uber said it would assess gas prices and driver morale.
Uber said the surcharge is based on the average trip distance and increase in gas prices in each state.
As the Russian war in Ukraine intensifies, US gas prices have reached record levels. The average price of US gasoline hit a record $4.34 a gallon on Saturday (rounded to the nearest cent), up from $4.33 on Friday as President Joe Biden banned imports of Russian oil, gas and coal in response to the invasion of Ukraine. .
Citing record high gasoline prices, Uber is charging new fuel fees to customers to help offset ride costs and delivery drivers
People hold placards protesting against rising gas prices at a Shell Gas Station in Santa Monica, California on Saturday
A spokesman for Lyft, Uber’s competitor, did not immediately respond to a question on Saturday about whether it was considering a similar move.
“We know prices are going up across the economy, so we’ve done everything we can to help drivers and delivery companies without placing too many additional burdens on consumers,” said Lisa Winship, Head of Driver Operations for the US and Canada. The new surcharges in a press release.
The amount of US gasoline stored decreased last week as demand began to increase as the summer approached. The increased demand for gas and the decrease in the trend of stocks are also contributing to the higher prices at the pump.
The United States imported about 245 million barrels of oil from Russia last year — about 8 percent of all U.S. oil imports, up from 198 million barrels in 2020, according to the U.S. Energy Information Administration.
This is less than what the country gets from Mexico or Canada, but more than what it imported in 2021 from Saudi Arabia.
White House Press Secretary Jen Psaki on Thursday doubled down on blaming Vladimir Putin for rising US inflation, after the consumer price index hit a 40-year high of 7.9 percent in February, which Biden called “Putin’s rally”. in prices.”
“It is true that President Putin’s invasion of Ukraine has affected global inflation,” she said, adding that it affected inflation in the United States due to its effect on energy prices and this is a major contributor to inflation. The inflationary numbers we’ve seen come out today.
Psaki also warned that prices could rise, but said the situation is temporary and will ease by the end of the year. Administration officials have been arguing for months that inflation will fall by the end of the year and the world will recover from the Covid pandemic.
Concerns have emerged across the country, with authorities making arrests for thefts from gas stations or oil heating tanks, with some going to drill holes in drivers’ gas tanks to steal what many police departments refer to as “liquid gold” and causing thousands of dollars in damage. .
Poster of US President Joe Biden placed on a gas pump at Turkey Hill Station
Thieves were caught on camera stealing what a gas station manager claimed was several thousand dollars in fuel from a Long Beach, California gas station.
Prices are still at their highest in California, where the average cost is $5.73 per gallon, with at least one county rising more than $6. There were reports on Wednesday of gas prices rising $8 a gallon in Los Angeles.
Police in nearby Long Beach One person was arrested At least three cars were towed in connection with people trying to take fuel from a gas station.
Station managers say they’ve seen a trend of people making thousands of dollars in fuel. The bandits take advantage of the distracted cashier to gain access to a master switch that can operate the fuel pump.
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