Are Electric Cars Cheaper To Own than Gas: An In-Depth Look
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by Amy Halsey- 04/14/2021 The climate crisis has been
a major driving force behind finding cleaner energy solutions, and
the car industry is no exception. Electric powered cars (or EV’s)
are becoming more and more commonplace, yet many wonder are they
cheaper to own and maintain than gas cars? The answer, as in most
cases, isn’t as straightforward as you think. There are many factors
that need to be considered carefully. From the sticker price to the
way in which you refuel your electric car can have a major impact on
whether owning an EV saves you money. Buying price of the car It’s no secret that electric
cars cost more to purchase than their gas-powered counterparts. The
average sticker price for an EV is $19,000 higher than a gas car.
One of the reasons for the price discrepancy is that many of
the models of electric car on offer are considered luxury EV’s, such
as the Tesla. To combat the upfront cost of EV’s, there are many
federal and state rebate programs aimed at making EV’s more
financially feasible for buyers. There is one rebate which offers a
$7,500 tax credit for owning an EV. California runs the Clean Cars 4
All program, which helps low—income families afford EV’s. This is
accomplished by turning in your old gas-powered vehicle in return
for a $9,500 stipend to put towards an EV. Where you live matters When it comes to owning
EV’s, where you live makes a huge difference. ‘Certain states have
cheaper electricity prices, more expensive gas prices and offer
better incentives when you buy an electric car than others do’
explains Kathryn Stanton, a car blogger at
Writinity and
Researchpapersuk. For
example, charging your electric car won’t cost you as much in
Louisiana, where electricity is
$0.0897 per kW,
whereas cost of electricity in Hawaii is
$0.3244 per kW. Owning an electric-powered vehicle in Washington can
save you around
$14, 480 over 15 years, due to their low electricity costs, where in
Hawaii it can lose you money. It’s not just the variation
in the cost of electricity that varies but the price of gasoline as
well. On average, people on the West Coast of the United States tend
to pay 46% more for their gasoline than gasoline car owners who live
near the Gulf Coast.
So, where you live plays a significant role. Refuelling your EV’s How you refuel your EV also
has an impact on the overall running cost of your vehicle. You are
likely to pay a lot more-in fact, 70% more if you are using the
superfast charging stations, rather than charging at home. Also,
when you charge your vehicle at home affects the fuelling price. If
you charge your car up during the day, you will pay a higher price
than if you charged your car overnight. Maintenance Costs
‘Most experts agree that
there are fewer costs associated with maintaining an EV as there are
fewer moving parts’ says Betty Miller, an automotive industry writer
at
Draftbeyond and
Last Minute Writing. Cars
that use gasoline as fuel have more fluids that need topping up,
unlike EV’s. Not only that but, electric cars are much easier on the
braking system, which means less replacing of brake parts over time.
In 2019, New York City reported on average that they spent between
$204 to $386 maintaining each of their electric cars, compared to a
whopping $1,600 for their gas-powered cars. That is a lot of savings
over the years! Looking ahead for the
future As electric vehicles become
more common, it is likely that the price of charging equipment will
drop, as there will be increased supply and demand for it. EV’s
could also
become more cost-competitive
with gas-powered vehicles due to greater demand. There is a lot of
information to consider when deciding between owning an EV or a gas
vehicle. EV’s in most cases over a long period of time can be more
cost-effective, but it really depends on where you live and the
prices of gas and electricity there.
It is clear we are paving the way for EV’s to become a better
and smarter long-term purchase.
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