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What Are The Costs of Alternative Fuel Vehicles, and Are They Worth It?


If you’ve been following the news, you know that electric cars are having a moment. In June 2019, Tesla CEO Elon Musk announced that the company plans to release a new car every year for the next five years. That’s in addition to several other automakers that have already done the same thing—including GM and Jaguar Land Rover, who have already released plans for their own electric vehicles coming out in 2020.

How Much Does an Electric Car Cost?

The cost of an electric car depends on the model and manufacturer.

Electric cars are typically more expensive than gas-powered cars. However, as technology improves, prices are dropping–and they’re expected to drop further in the future as battery costs decrease.

What Do Electric Car Battery Costs Look Like in the Long Run?

The cost of a battery for an electric car is about $10,000, but it lasts for the life of the car. This means that even though your initial investment is higher, over time you’ll save money by only having to replace the battery instead of buying new cars every few years.

Battery costs are going down as technology improves and more people buy electric cars and demand increases. Battery prices have fallen by half since 2010, according to Bloomberg New Energy Finance (BNEF), meaning they could soon reach parity with traditional engines in terms of cost per mile traveled–and eventually become cheaper than internal combustion engines (ICEs).

Even though batteries are still expensive relative to ICEs, they’re only about 10{a5ecc776959f091c949c169bc862f9277bcf9d85da7cccd96cab34960af80885} as expensive on a per-mile basis–so while buying an EV may seem like an expensive proposition now, you’ll save money in the long run because each mile driven won’t require refueling or maintenance at all!

Are Alternative Fuel Vehicles Worth It?

The answer to this question depends on your situation. If you have a low income and can’t afford an alternative fuel vehicle, then no–it’s probably not worth it. However, if you have a high income and want to save money on gas, then yes! In general though, if your finances are tight and things are getting tight at home (or work), then investing in an alternative fuel vehicle might not be the best choice for now.

Yes, but it depends on your budget.

The answer to this question is yes, but it depends on your budget. If you’re someone who drives a lot and wants to save money by switching from gas-powered vehicles to electric or hybrid cars, then yes–you should go ahead and make that switch. However, if you don’t drive much at all (or even at all), then it may not be worth the cost of buying an alternative fuel vehicle in order to save money on gas.

  • How much do I drive?
  • How much am I willing/able to pay?

Ultimately these are questions only an individual can answer for themselves; however there are factors that can help make these decisions easier:


If you’re looking for a new car, the long-term costs of an alternative fuel vehicle are worth considering. The cost of electricity and gas will depend on where you live and how much your driving habits change. If you live in a state with high electricity rates, it might be cheaper to drive an electric car than keep up with regular maintenance on your traditional vehicle–especially if you use public transportation most days anyway! On top of that, there are also tax incentives available for buying an electric car or converting one yourself so check out these resources before making any decision: