- A new Canadian study by Vincentric found that while electric vehicles cost more to buy, almost all have lower ownership costs over five years
- Fuel and maintenance are the highest savings, while depreciation is lower in most gasoline vehicles
- Of 50 EVs studied, only the Audi e-tron had higher ownership costs than its gasoline equivalent
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Electric vehicles (EVs) may not be inexpensive, but they can have a lower cost of ownership compared to gasoline-powered vehicles. That’s the result of a Canadian study by Vincentric, which found that 49 out of 50 EVs in its analysis cost less to own. The study looked specifically at electric-only vehicles (EV) and did not include hybrids or plug-in hybrids (PHEV).
All but one of the BEVs studied was a 2024 model year, and the report assumed all vehicles would be driven 25,000 km annually over five years. The study found that the major differences were in fuel costs, with all 50 EVs racking up lower amounts than their internal-combustion engine (ICE) equivalents; and 41 of the 50 BEVs had lower maintenance costs.
Vincentric estimates total ownership costs by depreciation, fees and taxes, financing, fuel, insurance, maintenance, opportunity costs, and repairs. In each case, it looked at the vehicle in base trim.
Of all the BEVs in the report, 27 were eligible for the $5,000 federal “green” rebate, and Vincentric took that off the vehicles’ MSRP (manufacturer’s suggested retail price) but did not include any applicable provincial rebates. All 27 had lower ownership costs when the federal rebate was deducted from their price; but even so, if the rebate wasn’t included, 25 of those 27 still had lower ownership costs.
Although the EVs cost an average of $8,000 more than their ICE equivalents, their overall cost of ownership was an average of $18,000 below the ICE vehicles.
The top ten 2024 EVs with the lowest cost of ownership, and what they’ll cost over five years, are:
- Mazda MX-30 – $49,363
- Mini Cooper EV – $49,400
- Kia Niro EV – $51,414
- Fiat 500e – $52,270
- Hyundai Kona EV – $52,271
- Nissan Leaf – $52,456
- Subaru Solterra – $55,627
- Volkswagen ID.4 – $57,714
- Toyota BZ4X – $57,958
- Hyundai Ioniq 5 – $59,329
Unsurprisingly, all the EVs in the study had lower fuel/energy costs than their ICE equivalents, with an average of $19,000 in fuel savings. For maintenance, 41 of the 50 EVs, or 82%, cost less. Their primary weakness is in depreciation costs, with only 16 of the 50, or 32%, having lower depreciation costs; and for those that were higher, it was by an average of $6,445. The ten 2024 EVs with the lowest depreciation costs, and that amount over five years, are:
- Mini Cooper EV – $19,737
- Mazda MX-30 – $19,788
- Kia Niro EV – $20,017
- Hyundai Kona EV – $21,609
- Nissan Leaf – $21,688
- Subaru Solterra – $21,692
- Fiat 500e – $22,370
- Volkswagen ID.4 – $22,723
- Toyota BZ4X – $22,759
- Chevrolet Equinox EV – $23,826
The highest differences in total cost of ownership were for premium vehicles, and top on the list was the electric Porsche Taycan in comparison to the BMW M850i, with the Porsche costing $55,509 less over five years. Among mainstream brands, the Ford F-150 Lightning was $34,488 less than the gasoline F-150; and the Kia EV9 came in at $25,686 below the Kia Tellruide. The only EV costlier than an ICE equivalent was the Audi e-tron, coming in at $24,292 above an Audi RS7.
“It can be difficult for consumers to see the cost-saving potential of EVs when they typically cost so much more to purchase,” said David Wurster, president of Vincentric. “Despite that, our latest study found that 98% of EVs in Canada cost less to own than their gas-powered alternatives…These results…show Canadian consumers that EVs are definitely an option worth considering.”
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