Auto industry experts at BloombergNEF estimate that by the year 2040 around 70% of new cars will be electric vehicles (EVs). It\u2019s a change that isn\u2019t just transforming the way we drive. It\u2019s also changing energy demands at home. <\/p>\n\n\n\n
Today the question isn\u2019t whether electric vehicles are the future. The question is, how are we going to power all those electric vehicles? <\/p>\n\n\n\n
If you\u2019re in the market for an EV one of the first things that probably crossed your mind was how much it would cost to charge the car at home. Sure, you won\u2019t be spending money at the gas pump, but what\u2019s going to happen to your electric bill?<\/p>\n\n\n\n
Let\u2019s take a look at what affects the cost of charging an EV at home and how to estimate what you\u2019ll end up paying to power your electric vehicle. <\/p>\n\n\n\n
The single biggest factor for how much it will cost to charge an EV at home is right there on your electric bill. The kWh rate is going to be the determining factor in how much you ultimately pay to charge up your battery. <\/p>\n\n\n\n
Something to factor in here is whether or not the rate fluctuates. Time-of-use plans base the kWh rate on the time of day. With this type of electricity plan you could strategically plan when the EV is charged to minimize the cost. Of course, that also means if you need to charge up during the peak demand hours you\u2019ll end up paying a premium price to fill up your battery. <\/p>\n\n\n\n
The next biggest factor is how much you drive. It\u2019s the same exact concept as a gas-powered vehicle. The more you drive, the more you\u2019re going to have to fill up. In the case of an EV, you\u2019re filling up the battery with electricity.<\/p>\n\n\n\n
Last but not least is the size of the electric vehicle\u2019s battery. In other words, how many kilowatt-hours is a full battery. This is also related to the number of miles you get when the battery is fully charged. These details determine how much electricity an electric vehicle uses<\/a>. <\/p>\n\n\n\n Few drivers are aware of how wide a range there is in EV battery size. The battery can be as small as the Smart EQ Fortwo\u2019s 17.6 kWh power supply or as big as the new Hummer EV\u2019s 200 kWh battery.<\/p>\n\n\n\n Let\u2019s say you plan to purchase a Tesla Model 3. It has a 75 kWh battery with a range of 310 miles. You drive approximately 1,200 miles a month. That means you need 3.87 full battery charges, which works out to be 290.32 kWh. Your current rate is 12 cents per kWh.<\/p>\n\n\n\n 1,200 miles \/ 310 mile range = 3.87 full charges<\/p>\n\n\n\n 75 kWh battery capacity x 3.87 full charges = 290.32 kWh of power<\/p>\n\n\n\n 290.32 kWh x 12 cents per kWh = $34.84 electricity\/mo<\/p>\n\n\n\n You\u2019ll definitely notice a difference in your electric bill, but you\u2019ll also see a difference in your monthly budget since the gas bill will be gone. For instance, if you bought the Tesla to replace a 2015 Camry with a combined 30 miles per gallon you\u2019d need 40 gallons a month to go 1,200 miles. If gas is $3.19 a gallon you\u2019ll pay $127.60 at the gas pump. <\/p>\n\n\n\n You\u2019ll pay for the increase in electricity use, but it\u2019s a lot less than what\u2019s paid in gas every month. Another thing to consider is that electricity prices have remained more stable over the years than gasoline. <\/p>\n\n\n\nCalculating the Cost to Fill an EV Battery<\/h2>\n\n\n\n