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§ 04 — Vehicle

EV vs Petrol Cost Calculator Australia 2026 — Is an Electric Car Cheaper to Run?

In NSW at the average electricity tariff (28.5¢/kWh), a typical EV costs approximately 4.3¢/km to run, versus 19.2¢/km for a petrol car at current prices — saving roughly $2,200/year at 15,000 km. Your state, kilometres, and charging method change the maths significantly. Plug in your numbers below and we'll spell out the five-year fuel bill, side by side.

Updated · June 2026·Source: AER · FuelCheck · RACQ·Read · 7 min

Your inputs

km / year

Petrol car

e.g. Corolla, Camry

Electric vehicle

e.g. BYD, Tesla, MG

Home rate; fast charging averages ~55¢/kWh.

5 years

Inputs local. Nothing sent anywhere.

The result

EV saves you · over 5 years

$7,224

in fuel/energy costs alone · 67% cheaper to "fill"

Petrol car

$10,800

Electric vehicle

$3,576

Cost per 100km
Petrol
$14.40
Cost per 100km
EV (home)
$4.77
Annual saving
$1,445
CO₂ saved · year
0.6 t

Calculation excludes purchase price difference, depreciation, insurance, servicing, and tyres. EVs typically have lower servicing (~$300/year less) but higher insurance and tyres. Add purchase price and depreciation for total cost of ownership.

When the EV maths actually works

The “EVs are cheaper” claim sounds simple, but it has three big asterisks: how many kilometres you drive, where you live, and how you charge. Move any of those three and the maths swings dramatically.

A mid-size petrol car at 7.5 L/100km costs about $14.40 per 100km at $1.92/L. The same 100km in an EV charged at home (16.5 kWh) costs $4.77at 28.9¢/kWh. Drive 15,000 km a year and that's ~$1,440 saved annually.

But if you mostly fast-charge on the road (55¢/kWh average), the EV cost climbs to $9.08/100km — still cheaper, but the gap halves. Apartment dwellers without dedicated parking should run the numbers carefully before committing.

How to use this calculator

Enter your estimated annual kilometres, petrol price for your state, and your home electricity rate. The calculator models petrol, hybrid, and full-EV running costs in parallel, showing annual fuel spend and five-year totals. Toggle “Mostly public charging” to model the scenario where you rely primarily on fast chargers rather than charging at home overnight.

How much does it cost to charge an EV at home in Australia?

The cost to charge an EV at home depends on your electricity rate and the car's battery size. Most popular EVs sold in Australia (e.g. Tesla Model 3, BYD Atto 3) have batteries of 60—75 kWh. A full charge from near-empty costs approximately $17—24 at typical residential rates of 28—32¢/kWh. That equates to roughly $4.70—6.00 per 100 km for a car consuming 16—18 kWh/100km. If you have solar panels generating power during the day, the effective charging cost can approach zero for daytime top-ups.

State-by-state electricity rates and EV running cost

Electricity prices vary significantly across Australia. South Australia has the highest grid rates (~39¢/kWh), making home charging more expensive and narrowing the cost gap with petrol. Queensland offers the lowest residential rates (~28¢/kWh) partly thanks to historical government subsidies. Tasmania's rates sit around 27¢/kWh — combined with its relatively lower petrol prices, the absolute saving from switching to an EV is smallest there. The table alongside shows the cost per 100km for each state based on current AER-published electricity tariffs.

Common misconceptions about EV running costs

The biggest misunderstanding is treating all EV charging the same. Home charging is consistently around 30¢/kWh; DC fast charging at roadside stations averages 55—65¢/kWh — nearly double. Frequent highway drivers who rely on fast chargers will see far narrower savings than the headline figures suggest. A second misconception is that EVs are maintenance-free: while they avoid oil changes and timing belt replacements, tyre wear is higher due to torque, and brake service still applies. The total ownership picture is broader than fuel cost alone.

EV vs petrol running cost by state

Based on 15 kWh/100km (EV) and 10 L/100km (petrol) at 15,000 km/year. Electricity rates from AER default market offers; fuel prices from FuelCheck/RACQ/FuelWatch (June 2026).

StateElec. rateEV ¢/kmEV $/yrPetrol ¢/kmPetrol $/yrAnnual saving
NSW28.5¢4.3¢$64219.2¢$2,886$2,244
VIC27.2¢4.1¢$61219.2¢$2,877$2,265
QLD25.2¢3.8¢$56719.7¢$2,957$2,390
SA34.8¢5.2¢$78319.9¢$2,987$2,204
WA30.3¢4.5¢$68219.4¢$2,910$2,228
TAS27.9¢4.2¢$62819.8¢$2,970$2,342
ACT21.1¢3.2¢$47619.5¢$2,930$2,454
NT26.7¢4.0¢$60120.6¢$3,087$2,486

EV: 15 kWh/100km · Petrol: 10 L/100km · 15,000 km/year

Sources

  • AER (Australian Energy Regulator) — default market offer electricity tariffs by state
  • FuelCheck / RACQ / FuelWatch — state average petrol prices, June 2026
  • ATO — FBT exemption for battery electric vehicles under the Electric Cars Discount Act 2022
  • Data last verified: June 2026

§ Letters & replies

EVs, answered.

The questions Australians ask before pulling the trigger on their first EV.

At what annual mileage does an EV start paying off?+ open

As a rule of thumb in 2026: above ~10,000 km/year an EV beats petrol on running costs at home rates. The purchase-price premium typically pays back in 5—8 years if you do 15,000+ km/year. Below 8,000 km/year, the savings are marginal.

What if I can't charge at home?+ open

Public fast charging in Australia averages 50—60¢/kWh. That roughly doubles the EV running cost — still cheaper than petrol, but the gap shrinks from ~3× to ~1.5×. Apartment dwellers without dedicated parking should run the numbers carefully.

Do you include depreciation?+ open

Not in this tool — only fuel/energy. EVs currently depreciate faster than petrol equivalents (battery uncertainty), but tax breaks like the FBT exemption on novated leases can swing total-cost-of-ownership heavily back the EV's way.

What about hybrids?+ open

A self-charging hybrid (e.g. Toyota Camry Hybrid) at ~4.5 L/100km costs about $8.64/100km — between petrol and full EV. PHEVs depend on whether you actually plug them in; if you mostly run on petrol they're not much different from a regular hybrid.

Is an EV cheaper than petrol in Australia in 2026?+ open

On running costs alone: yes, in almost every scenario. Home charging at ~30¢/kWh costs roughly $4.70—5.20 per 100km depending on state. Petrol at $1.92/L for a 7.5 L/100km car costs $14.40 per 100km — almost three times as much. Over 15,000 km/year the annual fuel saving is approximately $1,400—1,700. The total-cost-of-ownership picture is narrower once purchase price, depreciation, and insurance are included.

What is the FBT exemption for EVs in Australia?+ open

Since July 2022, eligible battery electric vehicles and plug-in hybrids (BEVs and PHEVs) provided to employees via a novated lease are exempt from fringe benefits tax (FBT). For a high-income earner at the 47% marginal rate, this can save $10,000—$15,000 annually on a $60,000 EV — dramatically improving the economics compared with buying the same car outright.