What it means for BEV TCO
By Mark Boada, Executive Editor
One of the long-standing selling points of electric vehicles – both hybrids (HEVs) and battery-powered-only (BEVs) – is lower fuel costs, electricity being cheaper to buy than gasoline or diesel. Given that electric vehicles’ purchase prices are higher than comparable models powered by internal combustion engines (ICEs), that differential is supposed to make EV total cost of ownership competitive if not superior to the alternative, as long as you hold onto your EV long enough.
Now, this fuel cost advantage isn’t the only one EVs are supposed to deliver. Other operating costs are also lower, as fully electric cars and SUVs don’t have spark plugs, transmissions, radiators, oil and fuel filters, exhaust systems, and other gasoline-specific components that require routine maintenance. In addition, their brakes last longer, since their stopping power is supplemented by the inertia of the electric motor.
But for fleets looking to add BEVs to their inventory, there’s a fly in the ointment.