Tesla (TSLA, Financial) and Uber Technologies (UBER, Financial) are keen to extend their on going partnership. According to news, Tesla has introduced a new incentive program to encourage Uber drivers to use electric vehicles. The program offers significant financial incentives for drivers choosing Tesla's Model 3 or Model Y for ride-sharing services.

As part of the agreement, eligible Uber drivers will receive $1,000 in Tesla Credits upon taking delivery of a new Model 3 or Model Y. Additionally, Uber will provide $1,000 in cash after the driver completes 100 trips. This partnership is designed to promote the adoption of green transportation within the ride-sharing sector.

The incentives can be used for services such as Supercharging, vehicle purchases, service appointments, and select purchases in the Tesla Shop. However, Tesla has stated that the credits cannot be used for subscription upgrades, gift cards, or alcoholic products and are not transferable or redeemable for cash.

This initiative marks the third collaboration between the two companies, which previously included a $2,000 Uber incentive for purchasing Teslas earlier this year and the integration of Tesla-specific features for Uber drivers in September. This integration aims to streamline ride-sharing operations for drivers using Tesla vehicles, further aligning Tesla and Uber in their pursuit of innovative transportation solutions.

With this program, Tesla and Uber are not only encouraging the shift to electric vehicles but also contributing to the transformation of the transport sector by adopting sustainable technologies.

This article first appeared on GuruFocus.