America and Israel attacked Iran on 28 February. In retaliation, Iran closed most traffic through the Strait of Hormuz, a vital waterway as a gateway to the Persian Gulf’s oil reserves. About a fifth of the world’s oil consumption flows through the strait which has now been effectively blocked as the war enters its fourth week.
This has resulted in rising prices around the world and especially in the United States. According to the New York Times, gas prices in some states like Texas and Colorado have increased by more than 30% in the past two weeks. According to AAA, the average price of gas nationwide is just four cents less than $4 per gallon.
DoorDash announced Monday that it is implementing “an emergency relief program” to help relieve some of the financial burden falling on delivery drivers who work for the platform. Drivers in the US with the DoorDash Crimson Visa Debit Card will earn 10% cashback on gas purchases at any station, whether they are on delivery or not.
The company will also offer weekly fuel relief payments of $5-15 for Dashers who drive 125 miles or more while at work.
“Dashers could save an estimated $1 to $1.50 per gallon from the weekly relief payment alone, depending on how many miles they drive,” the company said in a press release.
The company said that both the programs will run till April 26.
In addition to the new relief program, DoorDash is also highlighting its existing program to offer financial assistance for drivers looking to switch to electric vehicles, like 2% cashback on EV charging and other rebates.
With gas prices rising due to the Iran war, experts believe drivers may find electric vehicles a more attractive option than the volatility of gas in conditions of geopolitical uncertainty. According to car buying platform CarEdge, online searches for EV models have increased 20% since the start of the war. A similar rise was also seen by auto retailer CarMax.
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