The Cost Benefits of EV Charging For Home or Business

As electric vehicles (EVs) gain popularity, one of the most compelling factors for many prospective buyers is the potential cost savings associated with EV charging compared to traditional gasoline vehicles. 

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In this article, we'll dive into the financial benefits of EV charging, exploring how much money you can expect to save by making the switch to electric mobility.

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Calculating Cost Savings

The cost savings of EV charging compared to gasoline vehicles primarily stem from the lower cost of electricity compared to petrol or diesel fuel. EV owners typically pay significantly less per mile driven compared to their gasoline counterparts, resulting in substantial long-term savings over the lifetime of the vehicle.

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Electricity vs. Gasoline Prices

The price of electricity varies depending on location and utility rates, but on average, it is much lower than the cost of gasoline per kilometer or mile. Additionally, EV owners may have access to discounted electricity rates for charging during off-peak hours, further reducing their charging costs.

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Cost per Mile Comparison

Let's say the average cost of electricity in your area is £0.15 per kWh, and your EV has an efficiency rating of 4 miles per kWh. To calculate the cost per mile of driving your EV, you divide the cost of electricity (£0.15) by the EV's efficiency (4 miles/kWh):

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Cost per mile = £0.15 / 4 miles/kWh = £0.0375 per mile

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Comparing this to the cost of driving a gasoline vehicle, let's assume the average cost of petrol is £1.20 per litre, and your car achieves 40 miles per gallon (MPG). To calculate the cost per mile of driving your gasoline vehicle, you divide the cost of petrol (£1.20) by the car's fuel efficiency (40 MPG):

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Cost per mile = £1.20 / 40 MPG = £0.03 per mile

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In this example, the cost per mile of driving the EV (£0.0375) is slightly higher than the cost per mile of driving the gasoline vehicle (£0.03). However, it's essential to consider additional factors such as maintenance and tax incentives, which may further tip the scales in favour of EV ownership.

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Real-World Cost Savings with Type 2 Charger

Let's consider three scenarios where an EV owner typically spends £100, £200, or £300 per month on fuel for their gasoline vehicle. Assuming they switch to charging their EV with a Type 2 charger at home and take advantage of off-peak electricity rates, here's how much they could save:

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• £100 per month: With an EV charging cost of £0.0375 per mile (as calculated above), and assuming an average driving distance of 800 miles per month, the monthly charging cost would be £30. This results in a saving of £70 compared to the previous petrol expenditure.
• £200 per month: Using the same charging cost and driving distance assumptions, the monthly charging cost would be £60, resulting in a saving of £140 compared to petrol expenses.
• £300 per month: With a monthly charging cost of £90 based on the same assumptions, the EV owner would save £210 per month compared to their previous petrol costs.

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Save Money Charging EV at home 

Charging an EV at home offers significant cost benefits:

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• Lower Cost per Mile: Electricity prices are generally lower than petrol or diesel, making each mile driven cheaper. Charging at home typically costs around 10-14 pence per kilowatt-hour (kWh), translating to approximately 2-5 pence per mile, compared to 12-15 pence per mile for petrol cars.
• Time and Money Saved: Home charging is more convenient, saving time and money on trips to public charging stations. With a home charging station, you can charge your EV overnight, avoiding the need to visit public charging points and eliminating time spent traveling to and waiting at these stations.
• Special Energy Tariffs: Many energy providers offer special tariffs for EV owners, such as off-peak rates for charging during the night, which can be substantially lower, often half the standard rate. Installing a home charging station might have an initial expense, but it quickly pays off through these savings.

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Costs and benefits of workplace EV chargers

Charging an electric vehicle (EV) at the workplace offers significant cost benefits:

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• Lower Cost per Mile: Workplace charging stations often provide electricity at a lower cost than public charging stations or petrol. Employees can benefit from reduced charging rates, translating to savings on their daily commute.
• Convenience and Time Savings: Charging at work is convenient, allowing employees to charge their vehicles while they are parked during the workday. This eliminates the need for separate trips to public charging stations, saving both time and money.
• Revenue Generation: Businesses can generate additional revenue by offering EV charging to customers. Charging points can attract more customers who need to charge their vehicles, leading to increased foot traffic and potential sales.
• Enhanced Accessibility: By providing EV charging facilities, businesses make themselves more accessible to a growing number of EV owners. This can attract a wider customer base, leading to increased patronage and revenue.

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Additional Factors to Consider

While electricity costs are a significant factor in determining the savings of EV charging, it's essential to consider other cost-related aspects, such as maintenance and tax incentives. EVs typically have lower maintenance costs compared to gasoline vehicles due to fewer moving parts and simpler drivetrains. Additionally, many governments offer tax incentives and rebates for purchasing or leasing EVs, further reducing the overall cost of ownership.

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The Environmental and Economic Benefits of EV Chargers

EV chargers represent a significant investment in our planet's future, offering substantial cost benefits by contributing to the reduction of CO2 emissions. By facilitating the widespread adoption of EVs, which produce no tailpipe emissions, EV chargers help mitigate the harmful impact of fossil fuels on our environment. This shift from internal combustion engines to electric propulsion drastically lowers greenhouse gas emissions, playing a crucial role in combating climate change. Additionally, the integration of renewable energy sources with EV charging infrastructure further enhances environmental benefits, ensuring that the energy powering our vehicles is as clean as possible. 

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This collective effort to reduce our carbon footprint not only supports a sustainable future but also stimulates economic growth through the creation of green jobs and the development of new technologies. Investing in EV chargers is thus a vital step towards fulfilling our responsibility to the planet and ensuring a healthier, more sustainable world for future generations.

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Driving Towards Financial Freedom

Making the switch to EV charging can lead to significant cost savings over time, thanks to lower electricity prices and reduced maintenance expenses compared to gasoline vehicles. By calculating the cost per mile of driving an EV and comparing it to the cost per mile of driving a gasoline vehicle, you can determine the potential financial benefits of electric mobility. With the added advantage of tax incentives and rebates, EV charging offers a compelling case for drivers looking to save money while reducing their environmental impact.

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Ready to Start Saving with EV Charging?

If you're ready to experience the financial benefits of electric mobility, contact us today to learn more about EV charger installation services. Join the growing community of EV owners and start driving towards financial freedom with every charge. Let's embark on a journey towards savings and sustainability together.

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