There are different costs associated with owning a plug-in electric vehicle (PEV) than that of a comparable internal combustion engine (ICE). These different costs may be purchase price, utility rate options, installation costs, and different insurance rates.
Today, PEVs have a higher initial purchase price than comparable ICE vehicles. The higher purchase price is mainly due to the battery costs. However, battery costs are expected to drop with time, making the PEV upfront costs closer to those of ICE vehicles.
Initial costs aside, there are many savings associated with owning and operating a PEV including, lower maintenance costs (e.g. fewer oil changes), little to no gas consumption, and low cost of electricity especially where your utility provides low off-peak charging rates.
Rates for charging your plug-in electric vehicle (PEV) will depend on several factors, including:
- all electric (BEV) or plug-in electric (PEV)
- Your utility provider
- The electrical rate for your utility
- Special PEV rates or Time-of-Use (TOU) rates available from your utility
Select your electric utility provider to read the information pertaining to you:
Infrastructure: Infrastructure costs vary depending on several factors including the requirement for: an increase in service to the location where charging will take place (garage, carport, driveway, etc.) a service panel upgrades, exterior trenching and restoration work, etc.
Permitting and Inspection: Permitting and inspection varies by jurisdiction. Permitting typically will be handled by the electrical contractor hired to install the EVSE (charging stations). Training electrical contractors and inspectors is a key aspect to streamlining the installation of EV charging. Current efforts are underway by the National Electrical Contractors Association (NECA) / International Brotherhood of Electrical Workers (IBEW) to train and certify electrical contractors and inspectors in Michigan and across the U.S.
Building Codes and Standards: Building codes need to consider the addition of an EVSE to the home and be flexible to address cost savings where practicable while maintaining the highest level of safety at all times.
Charging Station Hardware: There are various EVSE hardware providers today, all offering charging solutions for level 1 and 2 charging at home. Each charging station has its own electrical requirements (e.g. amperage, voltage, wattage). It is critical that the customer understand their vehicle's on-board charging requirements before installing level 2 charging.
Homeowners: Currently there are no special insurance requirements for your home.
Auto: Electric vehicles are slightly higher to insure, which is consistent with insuring hybrid vehicles.
Potential PEV owners should confirm insurance information with their home and/or auto insurance providers, as the level of premium may shift overtime.