SEBASTOPOL, Calif. -- Working in conjunction with Global Electric Motorcars LLC, a DaimlerChrysler Company, ZAP announced it will be renting neighborhood electric vehicles throughout California.

On July 1, ZAP completed mergers with Voltage Vehicles and RAP Group Inc., two companies involved in automotive marketing and distribution. Founded in 1994, the publicly owned ZAP markets many forms of advanced transportation and helped pioneer the market for light electric transportation.

ZAP will be soliciting rental agencies and other locations for the new program. Neighborhood electric cars are a category of 25-mile-per-hour automobiles designed for short trips in urban areas, planned communities, commercial zones or tourist districts. The smaller, low-speed electric cars are a new alternative in places concerned with air and noise pollution, high fuel prices, traffic congestion or parking shortages.

Those interested in participating in the rental program can get special incentives, including a 10% federal tax credit, accelerated depreciation, a share in the rental income as well as being secured by ownership in the electric car.

ZAP will operate the rental management company, handling all insurance and processing. Rental companies that participate can receive vehicles at no cost as well as share in the rental income.

The first location opened this week on Balboa Island in Newport Beach, Calif., with more tourist locations expected in the coming weeks. For more information on ZAP's new electric car rental program, visit http://www.zapworld.com/ or call (800) 251-4555.