Cost Savings per Mile: EV versus Gasoline Car?

After several weeks of owning my EV I was thinking about how much I save using an EV versus a gasoline car. In California the gas prices are close to $6 a gallon. Electricity is about $0.30 per kWh. So let's take a look and compare the Model Y with the Honda Element I had before, plus another popular SUV from Toyota, the 4Runner.

Let's start with a per mile comparison and then calculate a yearly and 5 year difference. Tesla offers some guidance on savings on their website, but let's take a look at the official numbers published by the fuel economy.gov website.

Model Y: Cost 25 miles: $0.97. Annual fuel cost: $600. Over 5 years ownership: $3,000

Honda Element: Cost for 25 miles: $4.62. Annual fuel cost: $2,750. Over 5 Years: $13,750

Toyota 4Runner: Cost for 25 miles: $5.71. Annual fuel cost: $3,400. Over 5 Years: $17,000

Of course, this is an average number since gas prices and energy price vary by state. However, the differences are stunning. Model Y "fuel" costs for 5 years are $3,000 versus $13,750 for the Element and $17,000 for the 4Runner. And that's just fuel. In an earlier post I also highlighted the reduced maintenance (oil, SMOG, brakes, etc.) cost of an EV.

In California, the gas prices are close to $6 per gallon. That would increase the 5 year number of the Element to $21,600. With $0.30 per kWh in CA the Model Y would would cost $6,300 for 5 years. That's a $15,000 difference. These 5 year savings alone would pay for half of your next car.

And it gets better if you have solar on your roof. Some people say it is free - well not really. You paid for the solar system - it is an investment. However, many solar systems have a positive return on investment after 6 to 9 years. This means after that time period, your electric energy is close to being free. And you are totally independent from increases in gasoline or electric energy prices in the future. And as we all know, most things are not getting cheaper over time.

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