Electric Cars vs Petrol Cars - Cost of Ownership

Owning a car, whether an electric car or a petrol car, comes with expenses. To properly assess the cost of owning a car, we need to gather some important information. 

• Firstly, we need to know the purchase price of the car. 
• Additionally, we need to consider the car’s annual depreciation rate, which will vary depending on whether the car is brand new or not. If you buy a brand-new car, the first year’s depreciation will be higher than the following years.

We then need to estimate the factors that will influence the running expenses of the car. This includes:

• How much we drive every year and for how long we plan to use the car. 
• The prices of fuel and electricity. We should remember that these prices are not static, and they are likely to change over time. Therefore, we should keep in mind the possibility of price changes when making our decision.
• Furthermore, we should estimate the annual cost of servicing the car and whether these costs will increase over time.
• Other operating expenses may include insurance, registration renewal and fines.

Fossil-Fuel Vehicles

If you are considering purchasing a car that runs on fossil fuels, it is important to take a look at its fuel economy. 

The efficiency of a car’s fuel usage is measured using MPG which stands for miles per gallon. This tells you how far a car can travel using one gallon of fuel. One gallon is equal to 4.55 liters.

The higher the MPG, the more efficient the car is. MPG can be obtained from the car’s datasheet or dealer.

An alternative measurement to MPG is Kilometers per Liter. One mile per gallon is equivalent to 0.425 kilometers per liter. 

Electric Cars

If you are thinking about buying an electric car, it is crucial to consider its efficiency. You can determine the efficiency of an electric car by knowing its battery capacity and how far it can travel on a full charge.

Additionally, it is essential to take into account the losses that the car will incur per cycle. A charge cycle is the process of charging and discharging a rechargeable battery. Losses occur during charging, discharging, and even when the car is not driven (known as vampire drain).