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After its massive order of Tesla vehicles, Hertz now announces another huge order of electric vehicles, this time for 175,000 EVs from GM.

Last year, Hertz announced an important effort to electrify its fleet of rental cars, led by a massive purchase of 100,000 Tesla Model 3 vehicles. More recently, the company added Model Y vehicles to the order.

The rental car company said that it expects to have all 100,000 Tesla vehicles by the end of 2022, though Tesla didn’t seem to be completely on board with that timeline.

In April, Hertz announced that it is also adding up to 65,000 electric vehicles from Polestar to its fleet over the next five years.

Now it is adding GM electric vehicles to its fleet with its biggest EV order yet.

In a joint press release today, Hertz and GM announced that the latter is going to deliver up to 175,000 electric vehicles from several different brands over the next five years:

Hertz (NASDAQ: HTZ) and General Motors Co. (NYSE: GM) today announced an agreement in which Hertz plans to order up to 175,000 Chevrolet, Buick, GMC, Cadillac and BrightDrop EVs over the next five years. Hertz and GM believe this plan is the largest expansion of EVs among fleet customers and the broadest because it spans a wide range of vehicle categories and price points — from compact and midsize SUVs to pickups, luxury vehicles and more.

They will first start with Chevrolet Bolt EV and Bolt EUV, expected to be delivered in the first quarter of 2023.

After that, Hertz plans to buy EVs from all of GM’s brands – even electric vans from BrightDrop. However, we expect the new Equinox EV and Blazer EV to account for a large part of the order.

Stephen Scherr, Hertz CEO, commented on today’s announcement:
It’s exciting that two iconic American companies that have shaped the evolution of transportation for more than a century are coming together to redefine the future of mobility in the 21st century. We are thrilled to partner with GM on this initiative, which will dramatically expand our EV offering to Hertz customers, including leisure and business travelers, rideshare drivers and corporates.

GM Chair and CEO Mary Barra added:
Our work with Hertz is a huge step forward for emissions reduction and EV adoption that will help create thousands of new EV customers for GM. With the vehicle choice, technology and driving range we’re delivering, I’m confident that each rental experience will further increase purchase consideration for our products and drive growth for our company.

Hertz is trying to build the largest electric vehicle fleet in North America, and it is already well on its way with tens of thousands of Tesla vehicles at 500 locations. It is also renting a few more tens of thousands of Tesla vehicles to Uber drivers.

 
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Seems like the lack of regular maintenance would make rental cars a good market for EV's.
You also can't get ticketed for idling in an EV like you can in some cities in an ICE vehicle, which is a great thing for Uber/Lyft drivers, if Hertz truly is just the lease partner to Uber/Lyft drivers with a good portion of this EV fleet.
 

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FWIW a huge portion of those EVs have been leased out to Uber/Lyft drivers. A ton of Uber/Lyfts I see around the Bay Area are now Model 3's. My guess is this latest order is being done in an effort to further expand that relationship.
I had my first (and only) ride in a Tesla (Model 3) just a couple of days ago and it was an Uber. The only two things that struck me was the center screen is a very busy place with too much too look at. And the glass roof lets in too much sun in Florida. At $47k for the least expensive Model 3, no way would I ever consider one compared to my $21k Chevy Bolt.
 

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Will they still charge a fortune if they are returned half full ?
I'm sure there will be a charge, but it might not be as ridiculous as the $9.99/gallon that they charge for gasoline cars. I've never seen a rental car place with its own gas station (not saying they don't exist, but never seen one) but you can absolutely put in L2 charging with ease, and for maybe $400 per parking space when buying in bulk. There's a huge labor difference between having your lot guys have to drive a car off property, gas up, then return the car versus just having an L2 charger in the return area where it's getting topped off while the return crew is doing their inspection and cleaning. Also means lower risk because no Hertz employees driving the cars off property to gas up.
 

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I’m pretty sure you can pay to return the car empty at 5x the supercharger going rate. And they can totally install a fast charger in the interior/vacuum detailing bay. 20-30min of fast charge = time to clean and vacuum interior.
 

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I feel like I can provide some information about rental cars here, as my friend Robby was a Vehicle Service Attendant for Hertz at the airport so I got to learn all about this from him

-Airport rental car locations have their own fuels on hand. Sometimes each company has their own island, sometimes it's a shared island provided by a contract company to some or all of the companies. It will be near the service area and not usually visible to renters. Robby's fuel island was 10,000 gallons total and owned and operated by Hertz. In case you were curious, Hertz uses both regular and premium, as many of their dream class cars require premium.

-A VSA is allotted a maximum of 20 minutes by Hertz to complete each car from start to finish. This is timed from when you collect the car in the return lane until you drop the car back off in the new rent line. This includes scanning the car, fueling it, cleaning the interior, checking basic fluids, running the car through the wash, and toweling it off.

-Hertz divides the vehicle interior cleaning into quadrants to help make sure nothing is missed. Different vehicle classes have different items in each quadrant, and you have to memorize the differences. For example, a sedan's checkpoints in a quadrant are different from a pickup truck.

-Hertz provides uniforms and laundry service to VSAs, as you can get pretty filthy throughout the day.

-The job is high pace. You are expected to run when required.

That's about all I remember.

Oh he also got 50% off any Hertz rental!
 
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