EV vs petrol: what does it actually cost to switch?

The average Australian driver travels about 13,300 kilometres per year. In a petrol car doing 8 litres per 100 km at $1.90 per litre, that is roughly $2,020 per year in fuel alone. Drivers with larger cars or longer commutes easily spend $3,200 or more.

An equivalent EV doing the same distance uses about 15 kWh per 100 km. Charging at home on an average electricity rate of 33 cents per kWh, that works out to around $660 per year. Even if you mix in some public charging at 45 to 60 cents per kWh, the annual cost sits closer to $890.

That is a saving of $1,130 to $2,310 per year on energy alone. But energy is only part of the story.

Purchase price: the elephant in the room

The most common objection to EVs in Australia is the upfront cost. A new BYD Atto 3 starts around $38,000. A Tesla Model 3 sits near $55,000. Compare that to a Toyota Corolla at $30,000 or a Mazda 3 at $28,000.

The price gap is real, but it is shrinking. In 2023, the cheapest EV in Australia was over $44,000. Today, several models sit below $40,000, and the used EV market is growing fast. A 2-year-old MG ZS EV can be found for $25,000 to $28,000.

Servicing and maintenance

EVs have fewer moving parts. No oil changes, no timing belts, no exhaust system. Brake pads last longer because regenerative braking does most of the work. The RAC estimates EV servicing costs $300 to $500 per year compared to $600 to $1,000 for a comparable petrol car.

Over 5 years, that is $1,500 to $2,500 in saved servicing costs on top of the fuel savings.

Registration and stamp duty

Several Australian states offer registration discounts for EVs. In NSW, zero-emission vehicles are exempt from stamp duty until 2027. Victoria and Queensland have their own concessions. These incentives shave $1,000 to $3,000 off the first-year cost depending on the vehicle price and your state.

On the other side, Victoria and NSW have introduced a road user charge for EVs — currently 2.8 cents per kilometre. At 13,300 km per year, that is about $372 annually. Factor it in, but it does not come close to offsetting the fuel savings.

The 5-year cost comparison

Here is a simplified comparison for a driver doing 13,300 km per year, based on a mid-range petrol car versus a mid-range EV:

That is a $12,690 difference in running costs over 5 years. It does not fully close a $15,000 purchase price gap, but it gets close. If you drive more than average, charge at home with solar, or buy used, the EV pulls ahead faster.

When does switching make sense?

There is no single answer. It depends on how far you drive, whether you can charge at home, your state's incentives, and the vehicle you are comparing. That is exactly why we built the Helira EV calculator. Enter your current car, your driving distance, and your postcode. It runs the numbers for 77 EVs available in Australia and shows you the real 5-year cost comparison — no assumptions hidden.

The question is not whether EVs are cheaper to run. They are. The question is whether the upfront cost works for your situation right now. The numbers will tell you.