Fuel Costs of Electric Vehicles Overtake Gas-Powered Cars

According to a consulting company, the cost of fueling electric vehicles in America is more than that of gas-powered cars. This was the first time in 18months.

“In Q4 2022, typical mid-priced ICE (Internal Combustion Engine) car drivers paid about $11.29 to fuel their vehicles for 100 miles of driving. That cost was around $0.31 cheaper than the amount paid by mid-priced EV drivers charging mostly at home, and over $3 less than the cost borne by comparable EV drivers charging commercially,” Anderson Economic Group (AEG), stated in Analyse.

However, luxury EVs Still, they have a price advantage over their gas-powered counterparts.

Luxury EV owners pay $12.4 per 100-mile average if their cars are charged mostly at home, or $15.95 if their cars are charged mostly at commercial charging stations during the fourth quarter 2022.

The rest of the year, however, will be fuel costs On average, luxury gas-powered cars cost $19.96 for 100 miles.

AEG is a consulting firm based in Michigan that offers research and consulting in economics, valuation, market analysis, and public policy, according to the company’s website.

AEG stated that the fuel costs are based upon real-world U.S. driving conditions, including the cost for underlying energy, state taxes and road maintenance, as well as the cost of running a pump or charger and the cost to drive from a fueling station.

Analysis: Insurers List Low-Mileage Teslas on Auctions

Because they are too costly to repair, insurance companies are sending low-mileage Tesla Model Ys for salvage auctions.

There were more than 120 Model Ys in total that were damaged in collisions. They were then offered for sale at auction in January and early January. According to Reuters, the majority had less than 10,000 miles according to an analysis based on online data from Copart or IAA, two of the largest salvage auction houses in America.

Copart and IAA auctions list whether vehicles were involved in front, side, or rear collisions. Most listings also include after-crash photographs of each vehicle. However, the listings do not provide details on the exact type of damage sustained.

Some cases had copart listings that included the names insurance companies that had purchased back damaged vehicles and then put them up for auction. These companies include State Farm and Farmers, as well as Progressive and Geico. Geico is part of Warren Buffet’s Berkshire Hathaway Inc.

All Model Ys included in the Reuters analysis were either 2022 or 2023 models built at the Fremont, Northern California, or Austin, Texas, plants.

Insurance companies are often “total” a vehicle—which means to scrap it and reimburse the owner—when the estimated cost of repair is deemed too high.

The Austin-built 2022 Model Y Long Range was in a frontal collision. IAA listed it in January with a retail price at $61,388 and an estimated cost to repair at $50,388. The vehicle’s owner was not listed.

A second Austin-built Model Y was in a side crash and listed by IAA with a retail price at $72,667 and an estimated cost of repair of $43,814.

This report was compiled by Reuters

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