Electric vehicles are delivering marked cost savings for drivers, and surging gasoline prices are making the cost-savings increasingly apparent

The Zero Emission Transportation Association’s (ZETA) new analysis shows that electric vehicles are saving—and will continue to save—consumers money on operating costs. The three gas-powered vehicles featured in the data set represent some of the most popular vehicles in the SUV, pickup, and sedan categories. For each of these vehicles and in all of the states that ZETA analyzed, these vehicles’ EV analogues are far cheaper to drive per mile.

“This month’s Consumer Price Index shows once again that gas prices are surging, which has been exacerbated by Putin’s invasion of Ukraine. American families are losing money at the pump to a commodity that is increasingly unpredictable and unaffordable in an already-expensive pandemic year. Our analysis shows that American consumers don’t have to choose between driving their car or saving money. Electric vehicles are affordable now,” said Joe Britton, the Executive Director of ZETA. 

“EV charging costs are not dependent on global oil markets—and are therefore not subject to the same price shocks, disruptions, and supply shortages,” continued Britton. “Instead, EVs run on electricity, which is cheaper than gasoline and is produced domestically from increasingly renewable and locally derived resources. As Congress moves forward to pass new transformative clean energy investments to electrify the transportation sector and bolster domestic auto manufacturing, EVs’ sticker prices and total cost of ownership will only continue to come down, paving the way for electric vehicles to become the new—and affordable—normal in the United States.” 

Here are some key facts from the report: 

• Gasoline prices are inherently volatile—and they always will be if we are tethered to foreign oil markets. Putin’s invasion of Ukraine has made gasoline even more expensive, and these high prices are driving record profits for oil and gas companies. American consumers are the ones paying the price. These are powerful reminders that an economy tied to fossil fuels is untenable. 
• Overall, as of March 2022, driving an EV is dramatically cheaper per mile than driving a gas-powered vehicle. Nationally, EVs are 3-5 times cheaper to drive per mile than gas-powered vehicles. In Arizona, Florida, Georgia, Nevada, North Carolina, Tennessee, and Virginia, some EVs are 5–6 times cheaper to drive.
• The sticker price for EVs are nearing parity with gas-powered vehicles, according to the International Council on Clean Transportation. 
• The lifetime cost of ownership for EVs is thousands of dollars cheaper than gas-powered vehicles, saving EV owners anywhere between $6,000 and $10,000 over the lifespan of the car, according to Consumer Reports. 
• EVs will become even more affordable if Congress passes clean energy tax incentives—the proposed base EV tax credit in President Biden’s clean energy plan would reduce EV sticker prices by up to $7,500. Congress should pass these clean energy provisions to deliver even greater cost savings for EVs compared to gas-powered vehicles. 
• Data from March’s report shows the cost to power an EV is more consistently reliable for consumers than gas-powered cars.

Find the entire analysis here.