It is cheaper to drive a mile on electricity than it is to drive a mile on gasoline. Though your electricity costs will go up if you’re charging your electric vehicle (EV) at home, your gas costs will decrease more. We've done some math to demonstrate cost savings and found that the average New England driver saves 4.3 to 7 cents per mile by choosing to buy an all-electric car instead of a gas-powered car. That translates to $512 to $833 in savings per year. But the more you drive, the more you’ll save.
EVs are also advantageous to consumers because the price of gasoline is volatile and electricity prices remain relatively stable. During initial Covid-19 shutdowns starting in March 2020, gas prices fell to under $2 per gallon in New England. Our estimates show that even with record-low gas prices in the spring of 2020, EVs still delivered on cost savings of 2¢/mile. Gas prices are up by $1.30 since then, shocking the drivers of gas-powered cars. With a more stable rate for electricity, EV drivers can plan on sticking to their fuel budget for long-term, reliable savings.
Considered another way, a gas-powered car would have to get more than 40 MPG in Massachusetts and 56 MPG in Rhode Island in order to beat the cost savings of an electric vehicle… but the gas-powered car would still emit twice as much climate-warming gases and be vulnerable to fluctuating gasoline prices in the future.
Ultimately, the cost of driving an EV for you will depend on how much you drive, the efficiency of the car you're buying, and how much you pay per kilowatt-hour of electricity.
Vehicle Cost Calculator
To do the math for yourself, we recommend the U.S. Department of Energy's Alternative Fuels Data Center Vehicle Cost Calculator.
You can take a look at our Methodology and plug in your own numbers to get a better idea of what kind of savings you can expect by switching to a new EV.