Paying a lot for fuel? EV drivers save on more than just gas. This article explains the many ways you can save money with an electric vehicle.
With gas prices hitting a record high, you may be considering switching to an electric vehicle; the good news is that EV drivers save on more than just gas. Since the Government of Canada announced that it will require all passenger vehicle sales to be zero-emission by 2035, it is no secret that the automotive industry is gearing up to make the switch to electric. Therefore, Canadian consumers should consider electric (EV) and plug-in hybrid (PHEV) vehicle options instead of gas-powered vehicles. Not only can you save on fuel, but you can also receive monetary incentives and pay less for servicing and maintenance with an electric car. This article explains why gas prices are so high and how you can avoid paying for gas
In 2020, when the pandemic first began, global gas prices fell due to people staying home and driving less. After restrictions started to ease in the summer of 2020, gas prices rose and continued to rise through 2021 and 2022. In February of 2022, the conflict in Ukraine caused western countries to place heavy sanctions on Russia. The ongoing conflict in Ukraine has caused a rapid 20%-plus spike in oil and gas prices in weeks. Even though Canada does not receive gasoline from Russia, when oil prices go up internationally, they also increase locally due to the global oil market.
The price of gasoline is fixed to a global price, so Canadians will only see relief at the pump once the global price of crude oil begins to steady out to more normal prices. CBC reports that prices could go down if Saudi Arabia, the United Arab Emirates, or the United States start to produce more oil, but that will most likely take months.
The significant rise in global gasoline prices means that consumers should consider purchasing or leasing all-electric and plug-in hybrid vehicles. EVs and PHEVs tend to cost more to purchase than gas-powered vehicles but have lower ownership costs. For example, a Consumer Reports study found that total cost ownership savings make up for an electric car's higher purchase price. The federal and provincial governments have incentive programs that help offset the higher sticker price for electric and plug-in hybrid vehicles. Electric vehicles appeal to consumers because of rebates, no fuel costs, and less servicing and maintenance costs.
Explore the best electric SUVs, trucks, and sedans.
EVs require significantly less servicing and maintenance than traditional gas-powered cars. Say goodbye to oil changes because the only fluids you will need to replace are the brake fluid, coolant, and windshield wiper fluid. Electric vehicles also have a regenerative braking system, allowing brake pads and rotors to last twice as long as gas-powered vehicles.
The two main maintenance items for electric cars, are the tires and the battery. EVs are 20-30% heavier than gas cars. Because of this, the vehicle requires special tires and regular tire rotations. Refer to your vehicle’s owner’s manual, but you should expect to rotate your tires every six to twelve months.
The battery is the most expensive component in an electric vehicle. Therefore, it is crucial that you understand battery care and follow proper charging practices. To maintain the health of your vehicle’s battery, it is best practice to keep the battery’s charge between 20% to 80% and avoid leaving your vehicle in extremely hot (+30C) or extremely cold (-25C) temperatures.
Another way electric vehicles can save you money is through government incentive programs. The federal government’s iZEV program offers $5,000 for all-electric vehicles and $2,500 for plug-in hybrid vehicles. The vehicle must be eligible and new at purchase or lease to qualify for federal incentives. Most provinces also offer electric vehicle rebates that you can stack with federal incentives.
Currently, British Columbia, Ontario, Quebec, Newfoundland and Labrador, New Brunswick, Nova Scotia, Prince Edward Island, Yukon, and the Northwest Territories offer EV rebates. Additionally, Ontario, Newfoundland and Labrador, New Brunswick, Nova Scotia, and Prince Edward Island provide rebates for used EVs and PHEVs.
Explore EV incentives across Canada and find out what EVs and PHEVs qualify.
The most significant benefit of owning an EV is that you never have to pay for gas again. After you purchase or lease an electric vehicle, you will have to have an at-home charging station. You should expect to do 80% of your charging at home and the other 20% at public charging stations. Most provinces have EV charger rebates to help cover the costs of installing and purchasing a Level 2 (240-volt) charger. For home electric charging, you have two options:
Learn more about EV home charging and charge times here.
Even though you will no longer have to pay for fuel, you may be wondering how much your electricity bill will be when you are charging your vehicle at home. Surprisingly, the cost of charging your EV at home is not as expensive as you would think. The CAA Driving Costs Calculator allows you to compare the driving costs of gas, hybrid, and electric vehicles. This calculator is the best resource to compare how much you could be saving every year with an electric car versus a gas car.
For example, you have a 2021 Kia Niro EX that you drive 20,000km annually. You would spend roughly $1,606.20 per year on fuel costs.
In comparison, a 2021 Kia Niro EV that you drive 20,000km annually would cost you $501.85 per year on electricity to charge your vehicle.
Keep in mind that most people do 80% of charging at home and the other 20% at public charging stations that are usually free.
Do you want to check out other popular EV models? Explore VINN’s top picks for electric vehicles:
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