Congestion pricing is good for NYC’s rideshare

New York is becoming a less welcoming city for cars. That’s a good thing. The final plan for congestion pricing, the new tolling structure for vehicles entering Manhattan south of 60th St. was recently approved by the MTA’s board. This was once unthinkable. But such ideas to make Manhattan better for people, not cars, are usually right. We should embrace more of them.

You may be asking why I, the founder of a company that relies on cars moving around the city to make money, would support congestion pricing and “anti-car” policies. First off, I’ve lived in New York all my life so I know cars are not always the best way to get around — I bike wherever I can.

And secondly, while it’s true Revels and other rideshare vehicles will have an added fee every time they go into the tolling zone, the new operating environment congestion pricing creates will be much better for our riders and drivers, and ultimately our bottom line too.

In a November study on the effects of congestion pricing, the MTA estimated the program will decrease the total number of vehicles entering the CBD by 17%. The benefits will be immediate: fewer polluting tailpipes worsening our air quality, less horn blaring from frustrated drivers in gridlock, and hopefully safer streets too.

It will also allow the cars still entering the CBD to get where they’re going faster (current average speed in the CBD is just 5-7 mph, about twice as fast as walking). For ridesharing, that means a more efficient service.

Based on an analysis we did of Revel ride patterns, the MTA’s projections and NYC Open Data, congestion pricing will shorten the amount of time passengers wait for a car to arrive and how long their trip is by up to 10%. It’ll also increase the number of rides we provide per hour because drivers will get to their next passenger sooner, cutting down on idle time and making the most of each vehicle in operation.

Importantly for drivers, those trends will up the total time they spend with passengers which, assuming that tracks industry-wide, will help the vast majority of rideshare drivers whose pay is based on that metric.

But the real benefits of congestion pricing are for pedestrians. The more we reduce air and noise pollution while improving livability, the better our city will be for residents, tourists and local businesses.

The furthest measure I support is banning cars outright from the densest commercial and residential areas. Places like SoHo, parts of the Financial District or Lower East Side, where whole streets could be permanently pedestrianized. Indeed, the DOT did this just last weekend for Earth Day, shutting down streets in all five boroughs, even 30 blocks of Broadway from Times Square to Union Square.

A walkable lifestyle is one of the main appeals of being in New York. The best restaurants, shops, parks, museums, etc. are all accessible without having to get behind a wheel. It’s the only place in America built like this, and we should double down on it.

Given how politically difficult congestion pricing has been, this wouldn’t be easy. Yet, thanks to the city’s Open Streets program and other pandemic-era solutions, we know what new experiences our streets can give us — from enjoying drinks and sunshine with friends outside, to farmer’s markets and pop-ups, to safely teaching your kid how to ride a bike for the first time.

The rise in foot traffic is good for business too. Even a temporary weekend-only car ban during the holiday season boosted consumer spending by $3 million on Fifth Ave. It gives more personality to communities and simply makes us happier when we take space back in our city.

An intermediate step would be electric-only zones. We view EVs as a climate solution, which they are at a macro level, but more immediate for cities is the impact they can have on public health. Upwards of 1,400 New Yorkers die every year as a direct result of vehicle exhaust and countless others suffer long-term respiratory damage.

Restricting certain neighborhoods to EVs will eliminate more exhaust, further reduce congestion, encourage local EV adoption, and could create an additional revenue stream to invest in pedestrian-focused infrastructure.

Congestion pricing is not a finish line, it’s a starting gun. Let’s continue this momentum and transform our streets into destinations, not just a means to get from A to B. I can’t wait for a future when there are a lot fewer cars in Manhattan, and the only ones that remain are electric and shared.

Reig is CEO & co-founder of Revel, the Brooklyn-based EV rideshare and infrastructure company.