Many people switch to an electric vehicle (EV) because they’ve heard “electricity is cheaper than gasoline.”
But how much cheaper is it in real life? And are there situations where a gasoline car might still be similar in running cost?
This guide walks you through a fair, numbers-based comparison between EV charging costs and gasoline fuel costs, with simple formulas and three real-world scenarios you can adapt to your own country.
1. What we’re actually comparing
To compare fairly, we should always look at the cost to move the car a certain distance, not the size of the battery or fuel tank.
The three most useful metrics are:
- Cost per 100 km (or per 100 miles)
– good for quick comparisons between models. - Yearly “fuel” cost
– based on your real annual mileage. - Total cost over several years
– to understand what happens over the life of the car.
In this guide we focus mainly on cost per 100 km and cost per year. Once you understand those, long-term totals are just multiplication.
2. The key inputs you need
You don’t need any secret data. Both EVs and gasoline cars can be compared using four basic inputs:
For the EV
- Electricity price – usually in
USD / kWh - EV energy consumption – in
kWh / 100 km(or per 100 miles)
For the gasoline car
- Fuel price – usually in
USD / literorUSD / gallon - Fuel consumption – in
L / 100 kmormpg(miles per gallon)
Once you have those, the math is simple.
3. Formulas: EV vs gasoline, step by step
3.1 EV cost per 100 km
EV cost per 100 km = (EV consumption in kWh / 100 km) × (Electricity price per kWh)
Example
- EV consumption: 18 kWh / 100 km
- Electricity price: 0.15 USD / kWh
EV cost per 100 km:
18 × 0.15 = 2.70 USD / 100 km
3.2 Gasoline cost per 100 km
If you already have fuel consumption in L / 100 km, it’s just as easy:
Gasoline cost per 100 km = (Fuel consumption in L / 100 km) × (Fuel price per L)
Example
- Fuel consumption: 7 L / 100 km
- Fuel price: 1.70 USD / L
Gasoline cost per 100 km:
7 × 1.70 = 11.90 USD / 100 km
3.3 EV vs gasoline: cost ratio
Now compare the two:
- EV: 2.70 USD / 100 km
- Gasoline: 11.90 USD / 100 km
The gasoline car is:
11.90 ÷ 2.70 ≈ 4.4 times more expensive per 100 km
Or you can say:
EV energy cost is about 76% lower than gasoline in this scenario.
This “cost ratio” is the most important number when deciding whether an EV makes financial sense for your driving pattern.
4. Turning it into yearly cost
Knowing cost per 100 km is nice, but most people care more about what they’ll spend each year.
4.1 EV yearly charging cost
EV yearly cost = (Annual distance / 100) × (EV cost per 100 km)
Continuing the example above:
- Annual distance: 15 000 km
- EV cost per 100 km: 2.70 USD
EV yearly cost = (15 000 ÷ 100) × 2.70
= 150 × 2.70
= 405 USD per year
4.2 Gasoline yearly fuel cost
Gasoline yearly cost = (Annual distance / 100) × (Gasoline cost per 100 km)
Using 11.90 USD / 100 km:
Gasoline yearly cost = 150 × 11.90
= 1 785 USD per year
4.3 Yearly savings
Yearly savings = Gasoline yearly cost − EV yearly cost
1 785 − 405 = 1 380 USD saved per year
If you keep the car for 5 years and energy prices stay similar:
1 380 × 5 = 6 900 USD saved in “fuel” cost alone.
This is why even when EV purchase price is higher, the total cost of ownership can be lower over time.
5. Scenario 1: Average driver, average prices
Let’s build a “typical” scenario for many developed countries. Adjust the numbers to match your local reality.
Assumptions
- Annual distance: 15 000 km
- Electricity price: 0.15 USD / kWh
- EV consumption: 18 kWh / 100 km
- Fuel price: 1.70 USD / L
- Gasoline car consumption: 7 L / 100 km
We already calculated:
- EV cost per 100 km: 2.70 USD
- Gasoline cost per 100 km: 11.90 USD
Yearly:
- EV: 405 USD
- Gasoline: 1 785 USD
Yearly savings:
- 1 380 USD, or about 115 USD per month
In other words, in this scenario, the EV’s energy cost is only about 23% of the gasoline cost for the same driving.
6. Scenario 2: High electricity price, cheap gasoline
What if you live somewhere with expensive electricity but relatively cheap fuel? Does the EV still win?
Assumptions
- Annual distance: 12 000 km
- Electricity price: 0.30 USD / kWh (double the previous example)
- EV consumption: 18 kWh / 100 km
- Fuel price: 1.30 USD / L
- Gasoline car consumption: 6.5 L / 100 km (slightly more efficient car)
6.1 EV cost per 100 km
18 × 0.30 = 5.40 USD / 100 km
6.2 Gasoline cost per 100 km
6.5 × 1.30 = 8.45 USD / 100 km
Now the gap is smaller:
- EV: 5.40 USD / 100 km
- Gasoline: 8.45 USD / 100 km
Gasoline is:
8.45 ÷ 5.40 ≈ 1.56 times more expensive
6.3 Yearly cost
EV:
(12 000 ÷ 100) × 5.40 = 120 × 5.40 = 648 USD
Gasoline:
120 × 8.45 = 1 014 USD
Yearly savings:
1 014 − 648 = 366 USD per year
So even with high electricity prices and relatively cheap fuel, the EV still saves money—just not as dramatically as in the first scenario. Over 5 years, that’s still about 1 800 USD saved.
7. Scenario 3: Long-distance driver with cheap home electricity
Now imagine someone who drives a lot and charges mainly at home, perhaps with solar or night tariffs.
Assumptions
- Annual distance: 25 000 km
- Electricity price: 0.12 USD / kWh
- EV consumption: 19 kWh / 100 km (larger highway-focused EV)
- Fuel price: 1.80 USD / L
- Gasoline car consumption: 7.5 L / 100 km
7.1 EV cost per 100 km
19 × 0.12 = 2.28 USD / 100 km
7.2 Gasoline cost per 100 km
7.5 × 1.80 = 13.50 USD / 100 km
Gasoline is:
13.50 ÷ 2.28 ≈ 5.9 times more expensive
7.3 Yearly cost
EV:
(25 000 ÷ 100) × 2.28 = 250 × 2.28 = 570 USD per year
Gasoline:
250 × 13.50 = 3 375 USD per year
Yearly savings:
3 375 − 570 = 2 805 USD per year
Over just 3 years:
2 805 × 3 = 8 415 USD saved
For high-mileage drivers with access to cheap home electricity, EVs can reduce energy costs so much that they pay back the higher purchase price very quickly.
8. What about public fast charging?
So far we have assumed that all EV charging happens at home. In reality, many people use a mix of:
- Home charging (cheapest)
- Workplace charging (sometimes free)
- Public fast charging (usually the most expensive)
To include public charging in the comparison, estimate the percentage of energy you get from each source.
Example: mixed charging
Assume:
- 70% of energy from home at 0.15 USD / kWh
- 30% from public fast chargers at 0.40 USD / kWh
- EV consumption still 18 kWh / 100 km
Average effective electricity price:
(0.7 × 0.15) + (0.3 × 0.40)
= 0.105 + 0.12
= 0.225 USD / kWh
EV cost per 100 km becomes:
18 × 0.225 = 4.05 USD / 100 km
If gasoline still costs 11.90 USD / 100 km like in Scenario 1, the EV is now “only” about 2.9 times cheaper instead of 4.4 times—but it is still clearly cheaper to run.
If you rely heavily on public charging only at high prices, you may reach a point where the EV’s energy cost is similar to a very efficient gasoline car. That’s why having access to home or workplace charging is such a big advantage.
9. Hidden factors that influence the comparison
9.1 Real-world efficiency vs official ratings
Official consumption figures (for both EVs and gasoline cars) usually come from standardized lab tests. Real-world energy use is often:
- 10–30% higher for gasoline cars, depending on driving style and conditions
- 10–25% higher for EVs, especially in winter or at high speed
To stay realistic, it’s better to:
- Use your own recent averages if you already drive the car
- Or add 10–20% to official values when planning
9.2 Seasonal effects
EVs use extra energy for:
- Cabin heating
- Battery warming
- Defrosting
Gasoline cars also use more fuel in winter, but EV range and consumption changes tend to be more noticeable. When comparing yearly cost, winter and summer effects tend to average out, but it’s worth keeping in mind.
9.3 Maintenance and repairs (briefly)
This guide focuses on energy cost only, but remember:
- EVs have fewer moving parts, no oil changes and usually less brake wear (thanks to regen).
- Gasoline cars need regular oil, filters, exhaust, clutch/gearbox maintenance, etc.
If you added maintenance into the picture, the total cost advantage of EVs usually becomes even stronger—especially over several years.
10. When might gasoline still be competitive?
While EVs usually win on energy cost, there are edge cases where the gap is small:
- Very high electricity prices and subsidized / very cheap fuel
- You cannot charge at home or at work and rely almost 100% on expensive public fast chargers
- You drive very little each year (for example, under 5 000 km), so energy cost is a small part of your overall budget—purchase price, depreciation and insurance matter more.
Even in these cases, EVs may still have other advantages (quiet, instant torque, lower maintenance), but the pure “fuel” savings argument becomes weaker.
11. How to run your own comparison
You can plug your own numbers into a simple EV charging cost calculator, but it’s useful to understand the steps:
- Collect your data
- Electricity price from your bill
- EV consumption (from spec sheet or your trip computer)
- Fuel price from local station
- Gasoline car’s real consumption (from long-term average, not just the brochure)
- Calculate:
- EV cost per 100 km
- Gasoline cost per 100 km
- Yearly cost for each, based on your distance
- Test different scenarios
- What if electricity becomes more expensive?
- What if fuel prices rise again?
- What if you change your annual mileage?
This gives you a solid, future-proof view of the cost difference.
12. Key takeaways
- The fairest way to compare EVs and gasoline cars is cost per 100 km (or per mile) and yearly “fuel” cost.
- In most realistic scenarios, EVs are:
- 2–6 times cheaper per 100 km than gasoline cars
- Saving hundreds to several thousand dollars per year, depending on mileage and prices
- The biggest variables are electricity price, fuel price, and how much you drive.
- Having home or workplace charging keeps EV running costs very low. Relying only on expensive public fast chargers can reduce the advantage.
- Even in regions with high electricity prices, EVs often still win on cost—just with a smaller margin.
Once you understand these numbers, you can look at any EV and any gasoline car and quickly judge which one makes more financial sense for your situation—not just today, but over the next five to ten years.