Key Findings
  • An average EV driver saves $4,200 to $6,800 in fuel costs over 5 years compared to an equivalent gas vehicle, depending on vehicle class.
  • At the national average electricity rate, an EV costs approximately $0.048 per mile to fuel versus $0.11 per mile for the average gas car.
  • EV fuel savings are greatest in states with low electricity rates and high gas prices, such as Washington state.
  • Higher-mileage drivers save proportionally more: a 15,000 mi/yr driver saves $1,000+ more over 5 years than a 10,000 mi/yr driver.
Sources: DOE/EPA, FuelEconomy.gov EV efficiency data; EIA Electric Power Monthly; EIA Weekly Retail Gasoline Prices

01 Cost per Mile: EV vs Gas

The fuel cost comparison between EVs and gas cars starts with cost per mile. For gas vehicles, this is calculated as the price per gallon divided by MPG. For EVs, it's the electricity cost per kWh multiplied by the vehicle's energy consumption rate (kWh per mile).

DOE/EPA, FuelEconomy.gov: fuel cost calculation methodology for gas and electric vehicles
Gas Vehicle Cost/Mile = Gas Price ÷ MPG
Electric Vehicle Cost/Mile = kWh/mile × Electricity Rate
MetricGas VehicleElectric Vehicle
Efficiency26.4 MPG (fleet avg)30 kWh/100 mi (typical)
Energy price$3.00/gallon$0.16/kWh (national avg)
Cost per mile$0.114$0.048
Annual cost (12K mi)$1,364$576
Annual savings (EV)$788
Gas: 26.4 MPG from EPA Automotive Trends Report (2023), $3.00/gal from EIA. EV: 30 kWh/100 mi typical from DOE/EPA FuelEconomy.gov, $0.16/kWh from EIA Electric Power Monthly avg residential rate.

At national average rates, an EV costs 58% less per mile to fuel than the average gas vehicle. This translates to roughly $788 in annual savings at 12,000 miles per year.

02 Five-Year Savings by Vehicle Class

Savings vary by the gas vehicle being replaced. Replacing a fuel-efficient compact car yields smaller savings than replacing a large SUV or truck, because the gas vehicle's baseline fuel cost is higher for less efficient vehicles.

EPA Automotive Trends Report (2023) class averages; DOE/EPA EV efficiency ratings by class
ComparisonGas Cost/yrEV Cost/yrAnnual Savings5-Year Savings
Compact car (33 MPG) vs EV$1,091$528$563$2,815
Midsize car (29 MPG) vs EV$1,241$552$689$3,448
Small SUV (28 MPG) vs EV SUV$1,286$614$671$3,357
Midsize SUV (24 MPG) vs EV SUV$1,500$614$886$4,429
Large SUV (20 MPG) vs EV SUV$1,800$672$1,128$5,640
Full-size pickup (19 MPG) vs EV truck$1,895$730$1,165$5,824
Gas costs: 12,000 mi ÷ class MPG × $3.00. EV costs: class-appropriate kWh/100mi (27–38 kWh) × 12,000/100 × $0.16. EPA efficiency data; EIA energy prices.

The five-year savings range from roughly $2,800 for compact car replacements to $5,800 for pickup truck replacements. Drivers replacing the least efficient gas vehicles see the greatest benefit from switching to electric.

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03 Savings Vary by State

Both electricity rates and gas prices vary dramatically by state, which significantly affects EV savings. States with cheap electricity and expensive gas offer the best savings, while states with expensive electricity and cheap gas narrow the gap.

EIA, Electric Power Monthly, Table 5.6.A (residential rates by state); EIA, Weekly Retail Gasoline Prices by PADD region
State ExampleElectricity RateGas PriceEV Annual Savings5-Year Savings
Washington$0.11/kWh$3.60$1,238$6,192
Louisiana$0.12/kWh$2.70$792$3,960
California$0.28/kWh$4.50$700$3,499
Texas$0.14/kWh$2.80$768$3,838
Connecticut$0.27/kWh$3.20$480$2,401
EIA residential electricity rates and retail gasoline prices. Savings calculated for 26 MPG gas car vs 30 kWh/100mi EV at 12,000 mi/yr. Actual rates and prices fluctuate.

Washington state offers the highest EV savings because of its extremely low electricity rates (predominantly hydropower) combined with above-average gas prices. States like Connecticut, with high electricity rates, see smaller savings. For a full state-by-state analysis, see our EV charging cost by state article.

04 How Driving Distance Affects Savings

Fuel savings scale directly with miles driven. Higher-mileage drivers benefit more from switching to an EV because the per-mile savings apply to every additional mile.

Calculated from per-mile cost differential applied to various annual mileage levels
Annual MilesGas Cost (26 MPG)EV CostAnnual Savings5-Year Savings
8,000$909$384$525$2,627
10,000$1,136$480$656$3,282
12,000$1,364$576$788$3,939
15,000$1,705$720$985$4,924
20,000$2,273$960$1,313$6,566
Gas: miles ÷ 26.4 MPG × $3.00. EV: miles × 0.30 kWh/mi × $0.16/kWh. National average energy prices from EIA.

A 20,000 mi/yr driver saves over $6,500 in fuel over 5 years—nearly 2.5 times the savings of an 8,000 mi/yr driver. Long-distance commuters and high-mileage drivers see the strongest economic case for EVs on fuel cost alone.

05 Important Caveats

Fuel savings are only one component of the total cost of EV ownership. Several other factors affect the overall financial picture:

  • Purchase price. EVs generally have higher sticker prices than equivalent gas vehicles, though federal and state tax credits can offset some or all of this premium.
  • Home charging vs public charging. The savings above assume home charging at residential rates. Public DC fast charging can cost $0.30–$0.50 per kWh, significantly reducing savings.
  • Battery degradation. EV battery capacity declines over time, which can slightly increase energy consumption per mile as the vehicle ages.
  • Maintenance savings. EVs have lower maintenance costs (no oil changes, less brake wear) which add to the total savings beyond fuel alone.
  • Depreciation. EV resale values vary widely by model and market conditions, affecting total cost of ownership.
DOE/EPA, FuelEconomy.gov, EV information pages; DOE Alternative Fuels Data Center

06 Data Sources

  1. DOE/EPA: FuelEconomy.gov – Electric Vehicle Efficiency Data. fueleconomy.gov
  2. EIA: Electric Power Monthly, Table 5.6.A – Residential Electricity Prices. eia.gov/electricity
  3. EIA: Weekly Retail Gasoline and Diesel Prices. eia.gov
  4. EPA: Automotive Trends Report (2023). epa.gov/automotive-trends
  5. DOE: Alternative Fuels Data Center. afdc.energy.gov
Disclaimer. This article is for informational purposes only and does not constitute financial advice. All data is sourced from U.S. government agencies as cited. Fuel savings estimates are based on national average energy prices and EPA/DOE efficiency ratings. Actual savings depend on local electricity rates, gas prices, specific vehicle efficiency, charging method (home vs public), driving patterns, and other factors. Energy prices and vehicle efficiency vary over time. This analysis covers fuel costs only and does not account for differences in purchase price, tax credits, maintenance, insurance, or depreciation.