14:11 01-02-2026

Electric vehicles prove cost-effective with long-term savings

Despite their higher purchase price, electric vehicles are gradually proving their financial advantage. An analysis of total cost of ownership shows that savings begin within the first few years of operation.

Against a backdrop of rising fuel prices and car maintenance costs, the TCO metric—total cost of ownership—is gaining increasing importance. It reflects the owner's actual expenses over the entire period of use. A joint study by climate and energy organizations in Germany and the UK found that electric vehicles confidently outperform their gasoline counterparts on this measure, even despite the higher initial price tag.

The calculations accounted for electricity and fuel costs, taxes, insurance, and typical operating conditions, including home charging without personal solar generation. Comparisons were made between vehicle pairs of similar class and characteristics.

The results revealed that in Germany, the average annual savings amount to about €1,100, while in the UK, they can reach up to €1,700. Over 14 years of ownership, the difference can total €15,000 to €25,000 depending on the model. The key factors are lower energy costs, reduced operational expenses, and time-of-use tariffs.

The variation between countries is explained by the level of grid digitalization and the prevalence of smart meters. In the UK, these enable active use of cheap overnight tariffs, whereas in Germany, flexible tariffs remain rare. In countries with a high share of intelligent meters, including Spain, the potential for savings could be even greater.

Under these conditions, the cost per kilometer for an electric vehicle becomes multiple times cheaper than for an internal combustion engine car, reaching the break-even point just two to three years after purchase.

Long-term calculations indicate that electric vehicles are no longer a budget compromise. With the right operating conditions, they are not only more environmentally friendly but also objectively more cost-effective than gasoline cars, especially over a multi-year ownership horizon.