Sustainable transportation solutions are more crucial than ever because of the pressing need to increase resource efficiency while lowering greenhouse gas emissions. The most recent advancements in the e-cycle sector have made a significant contribution to this goal and have attracted the interest of numerous businesses that offer mobility services. This paper discusses the main topics surrounding pedal electric cycles (PEDELECS) with an accent on a niche application, namely e-cargo cycles. The paper highlights not just the defining characteristics of these categories, but also other relevant aspects such as barriers to market penetration, general legislation, benefits for specific applications, as well as the significance of incentives, local infrastructure, and urban policies. Based on the available literature, it can be concluded that PEDELECS have a considerable potential to contribute to sustainability goals in urban areas due to their numerous benefits (functionality without emissions, less space occupied on roads, ability to access destinations with increased precision, ability to travel in car-restricted areas, lower costs compared to conventional vehicles, added health benefits to the users, versatility etc.). However, there are also significant challenges and barriers that must be overcome before they can see widespread adoption.
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