Dubai is witnessing a sharp surge in demand for electric vehicle (EV) rentals, reflecting the emirate’s growing sustainability focus and tech-savvy customer base. Recent industry data shows that the number of EVs in Dubai’s rental fleets grew by about 50% in 2024 compared to the previous year. This trend comes as more residents and international visitors choose eco-friendly transport options, encouraged by government initiatives and an expanding electric charging infrastructure.
The rise of EV rentals in Dubai aligns with broader national goals and policies. As part of the UAE’s Net Zero by 2050 strategic initiative, authorities have set a target for at least 10% of all vehicles on the road to be electric by 2030. To achieve this, the government – through agencies like Dubai’s Roads and Transport Authority (RTA) – has rolled out generous incentives including free vehicle registration, free parking in designated “green” zones, and reduced charging fees and tolls for EV users. Major smart city programs such as Smart Dubai and the Green Mobility Strategy 2030 also underscore the emirate’s commitment to intelligent, sustainable transport. The Dubai Electricity and Water Authority (DEWA), for instance, launched the EV Green Charger network in 2015, installing the region’s first public charging stations to encourage EV adoption. Since then, the city’s charging infrastructure has expanded to over 400 stations capable of serving around 740 vehicles simultaneously, with plans to exceed 1,000 charging points in coming years. Thanks to these efforts, the number of registered electric cars in Dubai jumped from just 14 in 2015 to over 11,000 by May 2023, and the emirate aims to have more than 42,000 EVs on its roads by 2030. This robust infrastructure and policy support form the backbone for the current boom in EV rentals.
Government agencies are not alone in propelling this trend. The Dubai RTA’s latest figures reveal a vibrant rental car sector overall, which saw a 43% expansion in fleet size in 2024. Within this growth, electric and high-end models have been standouts – electric vehicles in rental service jumped by about half, year-on-year. Officials attribute this spike to Dubai’s pro-business environment and sustainability agenda. “The increase in newly registered vehicles and companies demonstrates Dubai’s competitiveness… It also underscores the emirate’s commitment to accelerating economic growth and fulfilling its overarching development vision,” noted Ahmed Mahboob, CEO of RTA’s Licensing Agency, in a recent statement. RTA has even adjusted regulations to support EV uptake in fleets, extending the permitted service life of electric rental cars from four to six years – a move aimed at incentivizing rental firms to invest in more electric models.
Another major driver is Dubai’s booming tourism and its evolving preferences. In 2024, Dubai welcomed a record 18.72 million international visitors, a surge that has fueled car rental demand across the board. Many travelers are now prioritizing sustainable mobility as part of their Dubai experience. Industry analysts observe that a growing segment of tourists – especially those from environmentally conscious markets – are requesting electric cars for their stay as a way to “go green” while exploring the city’s attractions. This reflects a wider global trend: eco-tourism and “green travel” are on the rise, and in Dubai this means more visitors opting to rent Teslas, Nissan Leafs, and other EVs for everything from business trips to desert excursions. In fact, the influx of tourists and expatriates is cited as a key factor expected to propel the UAE’s electric vehicle market by nearly 28.5% annually through 2030, as many newcomers choose rentals over ownership and show higher interest in trying electric cars. With Dubai positioning itself as a sustainable tourism destination – exemplified by initiatives like Smart Dubai and the hosting of global events spotlighting sustainability – interest in EV rentals from foreign visitors has never been higher.
RentRadar.ae, a leading car rental aggregator in the UAE, confirms the rising popularity of electric cars in the rental market through its own platform analytics. “We have seen a noticeable uptick in queries for electric vehicles on our platform over the past year,” said a RentRadar.ae spokesperson. “Customers – both residents and international visitors – are increasingly factoring sustainability into their travel choices, and rental companies in Dubai are responding by expanding their EV offerings.” According to RentRadar’s internal data, searches and bookings for EV models have grown steadily month-on-month, particularly for popular models like the Tesla Model 3, Tesla Model Y, and more affordable options such as the Nissan Leaf. The platform’s team notes that users interested in EV rentals often cite multiple motivations: some are luxury or tech enthusiasts eager to experience the latest Tesla or Porsche EV, while others are environmentally conscious drivers drawn by zero-emission driving and cost savings on fuel. Additionally, corporate clients visiting for conferences and events are beginning to request electric vehicles as their rental of choice, mirroring their organizations’ sustainability commitments. These observations align with market reports indicating a “growing demand for electric and hybrid vehicles, aligning with global sustainability goals” in the UAE rental sector.
Rental companies in Dubai have quickly adapted to this shift in consumer preference. Many major rental agencies – from international brands like Hertz and Thrifty to local specialists – now offer dedicated electric fleets or at least a selection of EV models. New partnerships are also forming to support this trend; for example, some operators collaborate with DEWA and charging network providers to offer free or discounted charging to customers as an added perk. The expanding charger network means renters can easily recharge at hundreds of locations, from malls and hotels to highway rest stops, greatly reducing “range anxiety” for those exploring the UAE in an electric car. RentRadar.ae has observed that customer satisfaction ratings for EV rentals are on par with, or even slightly higher than, traditional car rentals – an indication that as long as the infrastructure is in place, drivers are happy to embrace electric mobility for their Dubai journeys. Common feedback highlights the smooth, quiet ride of EVs and the convenience of avoiding petrol refuels. Some users also point out cost benefits: with Dubai offering free public parking for EVs in green-marked zones and other savings as part of its electrification push, renting an EV can be both an environmentally and financially savvy choice.
The upward trend in electric vehicle rentals in Dubai is a testament to the emirate’s successful blend of forward-looking policy and market innovation. As Dubai strives to become one of the world’s smartest and most sustainable cities, everyday behaviors – from how people rent cars to how they commute – are changing. The growing availability of EVs for rent provides both tourists and residents a convenient way to participate in the green transition, without needing to own an electric car themselves. RentRadar.ae, as a comprehensive aggregator tracking these developments, will continue to monitor the shift in consumer preferences and rental fleet offerings. The project remains committed to supporting eco-friendly mobility by connecting users with the best EV rental deals from across Dubai’s ever-expanding pool of providers. In a city famous for its embrace of innovation, the rise of electric car rentals is driving the car hire industry into a new, sustainable era.