Tina Bellon

(Reuters] – Hive Technologies Inc announced Tuesday the closing of a $30 Million funding round for its electric vehicle leasing business. This will allow it to increase its fleet and provide ride-hail drivers with more options.

The company leases EVs from Uber Technologies (NYSE/:) Inc., which is backed by ESG-focused investors. Lyft Inc (NASDAQ) offers drivers per mile on a cost-based basis that could be cheaper than taking out loans to purchase an EV.

You can drive more and your car’s payment will be lower if you do. In an interview with Reuters, Mathias Thomsen, chief executive of Hive said that instead of being in debt you are actually benefitting.

Thomsen explained that while the company operates only with General Motors (NYSE)’ Chevrolet Bolts, California, they are talking to other automakers about expanding their vehicle lineup and plan to move to more states in future years. Hive will now have 1,000 vehicles instead of 100.

Hive is funded by ESG-conscious investors who invest in EV companies and bet on a quick uptake of EV adoption in the coming years.

Lyft and Uber both have pledged to use electric cars on U.S. ride-hail platforms starting in 2030. However, it’s not clear how low-income drivers will finance these more expensive vehicles.

Uber and Hertz have announced a partnership that will provide 50,000 Tesla Inc rentals to drivers, starting at $334 per Week.

Thomsen claimed Hive’s cars are significantly more affordable and drivers will have the option to charge their vehicles at solar-powered stations run by iSun Inc (also an investor in Hive).

Galway Sustainable Capital acquired Hive’s vehicles. Galway Sustainable Capital is an investor and private-equity-backed finance firm. Galway president Trent Yang said that even at Hive’s low leasing costs, the business offers attractive returns. New EVs are paid off in four years.

Yang explained that although we take a greater risk than usual, Yang is confident these EVs will be able to retain their market value.