Yes, electric vehicles (EVs) often cost significantly less to maintain than their internal combustion engine (ICE) counterparts. Studies indicate that EVs can be up to 50% cheaper to maintain over their lifetime.[1]
Lower Maintenance Costs
Compared to ICE vehicles, EVs have far fewer parts. For instance, a typical ICE vehicle has around 2,000 moving parts, whereas an EV has about 20–25. This reduction leads to fewer components that can wear out or require maintenance.
According to Consumer Reports, the estimated lifetime maintenance and repair costs for a battery electric vehicle (BEV) average $4,600, translating to approximately $0.031 per mile. In contrast, ICE vehicles average $9,200 in maintenance costs over their lifetime, or about $0.061 per mile. This results in a savings of around $4,600 over the vehicle’s lifespan.[2]
The U.S. Department of Energy also reports that scheduled maintenance for EVs averages less than $0.07 per mile, compared to about $0.10 per mile for ICE vehicles.[3]
Simpler Maintenance Needs
EVs eliminate the need for several traditional maintenance tasks:
- No oil changes
- No exhaust systems or catalytic converters
- No timing belts or spark plugs
- No fuel injectors or fuel pumps
Common maintenance for EVs includes tire rotations, brake inspections, windshield wiper replacements, and cabin air filter changes. For example, the Chevrolet Bolt EUV’s 7,500-mile maintenance visit involves rotating the tires, lubricating door locks, and checking and topping off various fluids.
I can attest to this. I owned a 2016 Nissan Leaf for four years and replaced windshield wipers and tires, and a Tesla Model Y for 4 years and replaced the 12-volt battery, tires, and wipers. If you own a large fleet and complete your own maintenance, this might mean you could outsource your maintenance needs cost-effectively.
Longevity and Depreciation
EVs tend to have longer lifespans due to their simpler mechanical systems. However, it’s important to note that EVs currently experience higher depreciation rates compared to ICE vehicles. Kelley Blue Book estimates that EVs lose an average of $43,515 in value over five years, while ICE vehicles depreciate by about $27,883.[4]
The increased depreciation will stabilize once Federal incentives are discontinued, fears of significant battery degradation with age are dispelled, and the advances in battery technology flatten out (range and price). This does not change the fact that you can leave a BEV in your fleet, without increased maintenance costs, for much longer than you retain ICE vehicles. What could your CFO do with deferring that replacement cost for 3-5 years?
Fuel Cost Stability
Electricity prices are generally more stable than gasoline prices, providing more predictable fueling costs. Charging an EV at home is typically more cost-effective than refueling a gasoline vehicle. For instance, the cost to charge a Kia EV6 in Michigan is equivalent to paying $2.06 per gallon of gasoline.[5]
Tax Incentives
As of January 1, 2025, federal EV tax credits offer up to $7,500 for eligible electric vehicles. However, some models may not qualify due to new battery component regulations. Prospective buyers are advised to check eligibility and consider purchasing sooner to benefit from current incentives.[5]
Conclusion
Switching to an EV can lead to substantial savings in maintenance and fueling costs. The initial purchase price of an EV may be higher, however, the long-term savings and environmental benefits make EVs an attractive option for both fleet managers and individual consumers.
