The City of Yarra council has cancelled its agreement with Lime, Australia's largest e-bike operator, due to concerns over public safety and user conduct. The decision comes after almost six years of a trial period, during which councillors grew increasingly frustrated by issues such as blocked footpaths, abandoned bikes, and intoxicated riding.
While some councillors acknowledged the benefits of shared ebikes as an affordable and environmentally friendly transport option, Deputy Mayor Sharon Harrison stated that Lime had not done enough to prevent problems. She highlighted the council's legal duty to prioritise pedestrian safety, saying that Lime had shown it could not or would not manage its operations effectively.
The termination means Lime has 30 days to cease its operations in areas under the City of Yarra's jurisdiction. This includes popular suburbs like Fitzroy and Richmond, where Lime estimates approximately 614 daily trips since January 2025. Despite generating around A$2.5 million (£1.3 million) from these areas, the council itself received no revenue from the trial.
Mayor Stephen Jolly described the situation as 'Lime taking the mickey', highlighting that the council is not opposed to ebikes in general but wants an operator that meets minimum standards without expecting it to subsidise their operations. He clarified that a procurement process initiated in December saw Lime as the sole applicant, with councillors ultimately voting against awarding them a permanent contract.
The decision has sparked debate among councillors and e-bike advocates. Councillor Sarah McKenzie argued for a more balanced approach, suggesting that issues of user behaviour should not lead to an outright ban. Ebike enthusiasts have proposed alternative solutions, such as dedicated bike parking corrals and revenue generation through car parking charges.
This development is likely to prompt neighbouring Melbourne councils to review their own relationships with shared e-bike schemes in the coming months.