Break Even Point electric cars
Why is it worth buying an electric car?
- High efficiency of electric motors compared to diesel/petrol
- Braking energy recovery
- Low running and maintenance costs
- Lower taxes on electric vehicles
How to calculate the Break Even Point of electric cars and vehicles compared to a normal diesel or petrol vehicle.
What annual savings can be made with an electric car compared to a petrol or diesel car? This question is frequently asked when starting to evaluate the transition from a combustion engine to an electric car. The parameters taken into account for the calculation are the cost of the electric car, the cost of the battery pack, and its lifetime in years. The price of the diesel vehicle, the hours of use per year. Electric versions are usually more expensive than fuel versions, but electricity costs much less than fuel. Of course, for simplicity's sake we do not take into account a number of other factors that could influence the calculation of the break-even point. Such as maintenance and insurance costs, possible eco-incentives. We would also like to emphasise the fact that driving an electric vehicle is above all an environmentally friendly choice.
Parameters for calculating the electric car break-even point
Let's take a practical example. We buy an electric vehicle with a lithium battery at a price of € 30000 (+ VAT). The cost of the battery pack is € 10000 (as a spare part). The lithium battery lasts about 8 years. Let us then take a diesel vehicle of the same category whose price is € 16000. I use the vehicle 5 hours a day, 5 days a week and 11 months a year. In this case I will break even after the third year.
Let's take another example. I buy an electric vehicle with a lead acid battery at a price of € 25000 (+ VAT). The cost of the battery pack is € 3000 (as a spare part). The battery lasts about 3 years. Let us then take a diesel vehicle of the same category whose price is € 16000. I use the vehicle 5 hours a day, 5 days a week and 11 months a year. Again, I will break even after the third year.
How to interpret the result?
At the time of purchase, the price of an electric vehicle is higher than that of a fossil fuel vehicle, but in subsequent years, given the high cost of fuel, the running cost of electric cars is cheaper. In addition, recharging the electric vehicle with self-produced energy from renewable energy plants can shorten the time it takes to reach the break-even point.
Factors that lower the break-even point of electric cars:
High efficiency electric motors: the separately excited electric motors used in Alkè electric vehicles have a theoretical energy efficiency of around 85%, which is the starting point for a truly remarkable result. Braking energy recovery. During braking, the three-phase electric motors in Alkè ATX vehicles generate energy by transforming themselves into dynamos. This energy, which would otherwise be wasted in heat from the brakes, is sent to the traction batteries. This means that the electric vehicle has an average consumption that is 30% lower and therefore the range and overall energy efficiency of the electric vehicle is higher. Low operating and maintenance costs. In general, the maintenance costs of electric vehicles are much lower than those of an equivalent petrol diesel. The running costs of electric cars are lower because the mechanics are simpler.
Breakeven point analysis of electric vehicles
Break-even point electric cars: The typical break even point (or also bep) graph for electric cars is a step graph. The cost line is almost horizontal because the cost of the electricity used is very low. Energy wastage has been reduced as much as possible, the energy that is delivered during an entire working day by the battery set of an electric vehicle is equal to that contained in 1.1 litres of petrol, with so little energy it is possible to transport up to 600 kg for about 70-100 km, a result that is unattainable for a normal petrol vehicle.
|Energy costs used to make the various bep calculations|
|electricity cost:||0.29 € kWh *|
|diesel/petrol cost:||2 € litre *|
(*) Reference fuel/electricity costs: Prices may be out of date and vary from state to state. The prices of the compared vehicles are without VAT.
(**) The calculation is purely indicative, the data shown may not be up to date with the current situation.