4 Things to Know about Buying (and Owning) an Electric Vehicle

Many Canadians are looking to make the switch to electric vehicles (EVs) for both environmental and financial reasons— saving on gas alone can make an EV an enticing option. While there is a lot of buzz surrounding EVs as the vehicle of the future, you may still have some questions.

If you’re thinking about buying an electric or hybrid vehicle, here are four things to consider.

1. What types of electric vehicles are available in Canada?

There are 4 types of EVs currently on the market.

• Battery Electric Vehicles (BEVs) run on electricity only and are recharged by an external power source. This is the most environmentally friendly option as BEVs produce zero emissions. Almost all BEVs can travel at least 160 km on a full charge, and new models are coming to market that can go between 450 km and up to 800 km between charges.

• Plug-in Hybrid Electric Vehicles (PHEVs) use a battery that can be charged as their primary power source, just like a BEV. The difference is that plug-in hybrids also have an internal combustion engine powered by gas. By driving moderate distances (usually around 30 to 80 km) using only the battery, PHEVs use between 14 and 47 per cent less fuel than typical gas-powered cars and SUVs. These EVs are usually more expensive up-front, but can offer savings over time.

• Hybrid Electric Vehicles (HEVs) have a fuel combustion engine powered by gas as their main power source for higher speeds. But at low speeds, HEVs use electric power from a battery. They offer the convenience of refuelling at a gas station, but these cars may be more expensive and produce more carbon emissions than other EV options.

• Fuel Cell Electric Vehicles (FCEVs) are powered by hydrogen versus a battery. Like a BEV, they produce no harmful tailpipe emissions and are more efficient than gas vehicles. FCEV awareness, availability and infrastructure is more limited in Canada compared to BEVs for now.

Wondering how much an EV will cost you? With the RBC Car Loan Calculator, you can estimate your loan payments.

2. What are my charging options?

The distance you can drive on a fully charged battery before you need to recharge can be a real concern for some EV buyers. In fact, “range anxiety” is one of the primary reasons many people are reluctant to buy electric vehicles.

While charging stations are still not as common as gas stations, the good news is that the infrastructure around EVs is improving rapidly. In the 12-month period ending March 2024, over 6,700 DC fast and Level 2 chargers were added to Canada’s charging infrastructure. This is a 32.7 percent increase in one year. As of March 1^st, National Resources Canada data reveals that Canadian EV drivers have access to over 27,000 public charging ports located at 11,000+ public charging station locations across the country.  This increase is  on the heels of the government of Canada’s 2022 pledged to fund the installation of 50,000 new EV charging stations around the country by 2030.

Many public charging stations are free to use, and those that are pay-per-use cost around $2.50 per charge on average. Charging an electric vehicle can take some time, though, depending on the type of charger and vehicle you’re working with. Using a Level 2 charger, a typical BEV can take 4-10 hours while a PHEV’s charge time can be as low as 1-2 hours. With a DC fast charger, charging time can be as low as 20 minutes for a BEV.

3. Can an electric vehicle handle Canadian winters?

Yes! EVs may even be better equipped to handle the harsh winter months than conventional gas-powered cars. The batteries in EVs and hybrid vehicles are designed to withstand temperatures well below zero.

It also takes less time to warm up an EV than cars with internal combustion engines. And if you can charge your EV at home, you won’t have to brave the cold weather at the gas pump anymore!

4. What’s the cost of owning an EV?

While most electric vehicles cost more up-front than gas-powered cars today, the lower cost of driving your EV may save you more in the long run. You may find your electric car or hybrid SUV a more affordable option because:

• Lower maintenance costs. Maintenance costs are typically far lower for electric vehicles than for gas vehicles. The battery and motor of an EV require little to no maintenance, you don’t have to check or change the oil, and there are fewer moving parts in EVs in general. Over time, this may save you plenty of money.

• Lower fuel costs. According to the Canadian Climate Institute, the average Canadian driving approximately 15,000 km spends around $2,000 on gas annually. The average annual cost of electricity for BEV owners is typically only around $350. If you’re driving a plug-in hybrid, the combined cost of electricity and fuel is around $700 a year.

• Government of Canada point-of-sale rebates. To help reduce greenhouse gas emissions, the Federal Government is offering $2,500 and $5,000 rebates to buy or lease EVs and hybrid vehicles. Other incentives vary by province, but they can help ease up-front costs.

Want to compare costs? The RBC Electric Car Cost Calculator can help you calculate the cost of an EV versus a gas-powered car over the life of your vehicle.

Read next: Is Now the Right Time to Buy an Electric Car?

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