How much does owning an electric vehicle cost?
Comparing long-term ownership costs
Compared to buying or leasing a gas-powered vehicle, the cost of buying or leasing an electric vehicle (EV) can seem quite high. But as with most differences between gas-powered vehicles and EVs, the more you explore the cost of owning an EV, the more it makes sense.
Gas-powered vehicles do seem to be better value at purchase, but their long-term fuel and maintenance costs can add up quickly. Meanwhile, EVs might be more expensive to buy or lease, but the cost of charging them is less than the cost of gas for an equivalent gas-powered vehicle. And with far fewer mechanical parts, they also require a lot less maintenance.
Below you'll find three ways switching to an EV can help you save money.
Purchase price
Buying an EV might not be as expensive as you think
The intense competition between EV manufacturers in recent years means that there's a wider choice of lower-priced vehicles than ever before.
As you're calculating the up-front purchase price of a new EV or plug-in hybrid vehicle (PHEV), make sure you also factor in the provincial and federal rebates currently available. Combined, these can bring your purchase price down considerably.
- Find out about the Government of B.C.'s CleanBC Go Electric incentive program.
- Find out about Transport Canada's Zero-Emission Vehicles (ZEV) incentive program.
In addition to these incentives, you may be eligible for SCRAP-IT. SCRAP-IT is a B.C. program that offers incentives to scrap high-polluting vehicles when you buy a new or used EV.
Fuel costs
Comparing fuel costs
Fuel costs are the most obvious way an EV can save you money over a gas-powered vehicle.
Time-of-day electricity pricing
If you do buy an EV and can charge it at home, consider opting into our tiered rate with time-of-day pricing for your home electricity service.
Designed with EV owners in mind, this plan provides discounts when you shift electricity use – such as EV charging – to overnight, and surcharges for use during busier periods.
Maintenance costs
EV maintenance is a lot cheaper than you might think
An EV replaces an internal combustion engine and transmission with one or two simple motors and a large battery. With far fewer moving, mechanical parts, it needs much less maintenance.
An EV will still require some maintenance, though. You'll need to watch your battery, tires, and brakes for signs of wear.
The biggest potential replacement item on an EV is the battery pack. The cost of a new battery varies by model and manufacturer, but most EVs come with between 5 and 8 years' or a 160,000 km powertrain warranty as standard.
To best look after your battery, follow these tips:
- Avoid extreme temperatures: Extreme hot and cold temperatures will affect your battery life, so wherever possible, try to park your EV out of direct sunlight and extreme heat or cold.
- Day-to-day charging: Try to keep your battery charge no higher than 80% and no lower than 20%. Some manufacturers also warn against using fast charging (Level 3) too often as it can dramatically heat up the battery.
- Don't leave your battery at 100%: You can charge your battery up to 100% for a long trip, but it's best not to do this the day before and then leave it sitting overnight. Instead, charge it to 80% and then make up the last 20% right before you set off. Some EVs will have timing software to help you do this automatically. It's a good idea to charge your EV up to 100% every three months – but make sure you drive it right after.
- Don't leave your battery at 0%: Your EV needs power even if it's not driving. A parked EV can lose about 1% of its battery power every day. If you're going on vacation, charge your EV with enough power to get you to and from the airport, and to sit for the number of days you're away.
- Slow down: The harder you drive, the more strain you put on your battery. Just like a gas-powered vehicle, if you drive at a consistent, sensible speed, you'll get more range.
A replacement battery can be expensive, but unlike the frequent costs of maintaining a gas-powered vehicle, there's every possibility your battery could require no maintenance during your ownership period. Some long-term EV owners claim that their only maintenance costs have been windscreen washer fluid and new tires.
Even though an EV has far fewer mechanical parts, you'll still have to maintain it. But many components can last much longer before requiring maintenance.
Follow these tips to keep your EV well-maintained:
- Brake pads: Check your brake pads or discs regularly. Your EV's regenerative braking system takes the kinetic energy from slowing down and converts it into electricity. This means you'll use your regular brakes much less – but it's important to check on their wear.
- Tires: Instant EV acceleration is highly addictive, but it takes a toll on your tires, as does your EV's substantial weight. Try not to race off the traffic lights and keep an eye on your tread and tire pressures. You could also consider switching to some of the EV-specific tires that are available.
- Fluids: We've already seen how important your battery is, so your battery coolant levels need to be maintained, along with brake and washer fluid.
Insuring your EV
Another cost consideration when looking at EV's is the insurance. Insurance is calculated exactly the same way for an EV as it is for a gas-powered vehicle. It's based on the claims history for your particular model, along with your crash history, driver’s experience, postal code, vehicle usage and safety features. If you're getting collision coverage, the cost will also depend on the estimated price of EV repairs and replacement parts.
The location of your battery can also be a factor since some batteries are better protected than others. But overall, your insurance should be comparable to an equivalent gas-powered vehicle. While EVs are more expensive vehicles to purchase, they generally generate fewer claims.
Some insurers offer coverage add-ons that can be useful for EV owners. These can include coverage for towing fees if your battery dies.