🔋 EV vs Petrol Running Cost Calculator
Compare annual fuel costs between your current petrol car and switching to an EV. See how long until the savings pay back the price difference.
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Ovo Energy's EV plan charges at $0.06/kWh overnight. That's under $3 for a full charge on most EVs. Sign up and get $180 credit.
The real cost of switching to an EV in Australia
The sticker price of an EV is typically higher than a comparable petrol car — but the running costs tell a different story. Fuel is by far the biggest ongoing cost for most drivers, and EVs win decisively on this front in Australia.
- Fuel costs: The average Australian drives around 14,000km per year. In a petrol car at 9L/100km and $2.10/L, that's about $2,650/year in fuel. In an EV at 16 kWh/100km and 28c/kWh, it's around $630/year — a saving of over $2,000 annually.
- Servicing costs: EVs have no oil changes, fewer brake jobs (regenerative braking extends pad life), no timing belts, and no transmission fluid. Typical EV servicing runs $200–$400/year versus $600–$1,200 for a comparable petrol car.
- FBT exemption: EVs under the luxury car tax threshold ($89,332 in 2024–25) are exempt from fringe benefits tax when provided through a novated lease. This is one of Australia's most significant EV incentives and can reduce the effective cost by $5,000–$15,000 over a lease term.
- State rebates: Several states offer EV rebates (VIC $3,000, NSW $3,000 stamp duty waiver, QLD $3,000) and reduced registration. Check your state's current scheme as these change regularly.
- Depreciation: EV depreciation is harder to predict as the technology matures. Some models have held value well; others haven't. This calculator doesn't include depreciation, so consider the total cost of ownership separately.
Frequently Asked Questions
How long does it take for an EV to pay for itself compared to a petrol car in Australia?
Break-even depends on the price premium and annual driving. For a $15,000 price difference with $2,000/year fuel savings and $600/year servicing savings, break-even is about 5.8 years. The EV FBT exemption through a novated lease can dramatically reduce the effective price gap and shorten break-even to 2–3 years for salary packagers.
Are EVs really cheaper to service than petrol cars?
Yes — significantly. EVs have no oil changes, no timing belt, no transmission fluid, and regenerative braking extends brake pad life by 50–70%. Typical annual EV servicing in Australia runs $200–$400, compared to $600–$1,200 for an equivalent petrol car. That's a saving of $400–$800+ per year that many people overlook when comparing costs.
What EV rebates and incentives are available in Australia?
Federal: the EV FBT exemption allows salary packaging of eligible EVs under $89,332 with no fringe benefits tax — worth thousands per year. State rebates vary: NSW offers a $3,000 stamp duty waiver on eligible EVs; QLD and VIC have offered cash rebates (check current status as these change). Most states also offer reduced registration fees for zero-emission vehicles.
What is the total cost of ownership of an EV vs petrol car over 5 years?
Over 5 years at 15,000 km/year, a typical EV saves $10,000–$15,000 in fuel and servicing compared to a petrol equivalent. Add the FBT exemption benefit ($5,000–$15,000 for salary packagers), and the total cost of ownership often favours the EV even with a $15,000–$20,000 higher purchase price. Factor in insurance, registration, tyres, and charging infrastructure for a complete picture.
Does EV depreciation make them a bad investment?
EV depreciation varies significantly by model. The Tesla Model Y and Model 3 have historically held value well in Australia. BYD and MG models depreciate faster as competition increases. The biggest risk is technology obsolescence — a 2020 EV with 400km range may be worth less by 2030 if 800km becomes standard. For most buyers on a 3–5 year novated lease, depreciation risk is managed by the lease structure.
Can I use an EV if I live in an apartment without a home charger?
Yes, but the cost advantage narrows. Apartment dwellers rely on public charging networks or workplace chargers, paying 35–65c/kWh instead of 15–32c/kWh for home overnight charging. Some strata complexes are installing EV charging bays — a growing trend. If you have a dedicated parking space with access to a power point, a slow 10A overnight charge can work for lower-mileage drivers.