So, there’s a significant price difference between the electric and petrol variants. So, why electric cars are expensive? It’s mainly because of the high cost of the battery pack. Other factors such as complex electronics, advance features also bump up the price of an electric car.
However, for the Nexon EV, there are no registration charges. But on the other hand, insuring the electric SUV is an expensive affair.
The upfront cost alone cannot project the correct picture of the overall cost of ownership. You may have to consider several factors while calculating the ownership costs of an electric and petrol car.
Below are the factors that impact the overall cost of an electric/petrol car.
Price: When it comes to price (ex-showroom/on-road), EVs are expensive. If you plan to own an electric vehicle, be ready to invest a significant amount of money. On the other hand, petrol cars are affordable when compared to their battery-powered counterparts.
Registration charges: In India, there are no registration charges for electric vehicles. So, this saves a significant amount of money while purchasing an EV. On the other hand, you have to pay the registration charges while buying a petrol vehicle. The registration fee varies depending on the price of the car.
Car insurance: Insuring an electric vehicle will cost you dearly. An EV is equipped with expensive components such as the battery pack, electric motor, etc. So, the cost of insurance is on the higher side. The car insurance premium for a petrol car is comparatively lower than an EV.
Incentives: You can avail of the government-provided incentives/subsidies when purchasing an eco-friendly car. The incentives help to bring down the price of an EV slightly. Moreover, you can enjoy tax benefits if you buy an EV on a car loan. On the contrary, petrol vehicles do not receive any such benefits.
Fuel consumption: Electric cars are a step ahead of petrol cars when it comes to fuel efficiency. Given that electricity costs less than petrol, the running cost of an EV is low.
The fuel economy of a petrol car depends on the engine capacity and several other factors. However, with the rising fuel costs, the overall running cost of a petrol car is on the higher side.
Maintenance cost: An electric vehicle has fewer mechanical/moving parts. Hence, the cost of maintenance is low. In contrast, a petrol vehicle is equipped with complex mechanical parts such as an engine, gearbox, brakes, etc. Servicing/repairing these components is necessary and bumps up the maintenance cost.
Resale value: There is a lack of supply of second-hand EVs when it comes to the used cars market. Hence, your used electric car may return you a higher resale value than a petrol engine-powered car. However, the value of your second-hand EV depends on the make/model, condition and geographical location.
Government Incentives for Electric Cars vs Petrol Cars in India
The FAME-India program provides subsidies for buying electric vehicles. FAME II has a budget of Rs 10,000 crore to make EVs more affordable.
The PLI scheme offers financial incentives to EV manufacturers to boost local production, making EVs cheaper for consumers.
The battery swapping policy aims to standardise EV batteries for efficient charging, especially for vehicles like 2-wheelers and 3-wheelers.
Import duties on EV components like lithium-ion batteries have been reduced. This lowers costs for local manufacturers.
Overall, the government promotes EVs over petrol cars through financial subsidies, localised manufacturing, battery standardisation, and lower import duties. This makes electric vehicles more affordable and convenient for consumers.
Pros and cons of electric cars
Below are the advantages and disadvantages of an electric car.
Advantages of electric cars
Electric cars are easy to drive due to simple controls.
They are silent in operation due to the absence of mechanical parts.
EVs deliver quick acceleration due to the high torque available from the get-go.
Low maintenance and the service intervals are not as frequent as petrol vehicles.
Low running cost.
Electric cars produce zero emissions and help to reduce carbon footprints.
You can charge electric cars at your home provided you install a home charging system.
Electric vehicles are eligible for government-provided subsidies and tax benefits if you buy an EV on loan.
Disadvantages of electric cars
The driving range of electric vehicles is low, and you cannot cover long distances without charging the car.
Lack of public charging stations can be an issue when driving your EV for long distances.
Installing a home charging module is an added expense.
Lack of expert mechanics to service/repair eco-friendly cars.
Replacing the battery pack of an EV can burn a hole in your pocket.
Pros and cons of petrol cars
Here are the advantages and disadvantages of petrol engine-powered cars.
Advantages of petrol cars
You can select from a wide range of petrol vehicles available in the market.
Conventional petrol cars are available at an affordable price.
Petrol vehicles offer an engaging driving experience with better acceleration, handling and top speed.
Petrol engines last longer than electric motors found in EVs.
A vast network of service centres and easy availability of expert mechanics make it easier to own a petrol car.
Petrol fuel stations are available everywhere. So, refuelling is not an issue.
Conventional cars can run long distances on a full tank of fuel.
Disadvantages of petrol cars
Running costs of petrol engine-powered cars are high because petrol is more expensive than electrical energy.
Maintenance cost is also on the higher side due to complex mechanical components.
Produces harmful carbon emissions that pollute the environment.
Factors that favour EV car buying
Here are some of the factors that favour the purchase of an eco-friendly car.
Cost of fuel: An electric car runs on electrical energy. Electricity costs way less than conventional fuels (petrol/diesel), hence, it results in low running costs, and it is one of the most crucial factors of owning a car.
Low maintenance: There is no hassle of frequent visits to the service centre when you own an EV. Due to fewer mechanical components, the service intervals of an electric car are not as frequent as a conventional car. It also reduced the overall cost of ownership.
Unique driving experience: Electric cars offer a unique driving experience as they are silent in operation. With simple driving controls and quiet operation, an EV is easy to drive even on crowded roads.
Factors favouring petrol car purchase
Below are some of the points that favour the purchase of a conventional petrol car.
Price: Petrol vehicles are affordable than EVs. It is one of the most significant plus points of conventional cars. You can find a petrol car in various price brackets, which is not the case with electric vehicles.
Variety of options: When you purchase a conventional car, you are left with an endless list of options. From small hatchbacks to large SUVs, you can find vehicles from various brands. With such a vast list of options, you can pick the right car for your needs.
Performance: Petrol engines deliver superior performance when it comes to the driving experience. If you need a powerful car, you can find a vehicle with a larger engine capacity and advanced technology. Overall, petrol cars provide sheer driving pleasure with the responsive IC (Internal Combustion) engine.
A vast network of service centres: You need not worry about servicing your car or finding spare parts when you drive a petrol engine-powered vehicle. Because you can find service centres and expert mechanics around the nook and corner of the country, it’s very convenient to service/repair your petrol car.
Driving range: A petrol car offers a good driving range on a full tank of fuel. Moreover, you can find petrol fuel stations across the country and refuelling takes only a few minutes.
EV vs Petrol Cars: What Does the Future Hold?
The future of the automotive industry will likely see electric cars gaining a much larger market share over petrol cars. According to predictions, electric cars could capture up to 64% of new car sales in India by 2040. Government policies, advancing technology, and consumer preferences will drive this significant shift.
As governments offer more incentives and subsidies for electric vehicles, improve charging infrastructure, and implement emission regulations, electric cars will become more practical and affordable. At the same time, innovations in battery technology will continue to improve their range, efficiency, and performance. Consumer awareness and demand for electric vehicles are also expected to grow as people recognise the environmental and economic benefits.
Ultimately, the convenience, performance, and price of electric cars compared to petrol cars will depend on policy, technology, and consumer choices. However, the outlook points to electric vehicles dominating new car sales within the next 10-20 years.
Conclusion
The vital question to be addressed here is—should you buy an electric car or a petrol car? It entirely depends on your requirements and geographical location. Electric vs petrol car is the talk of the town in the Indian automotive market. But in the end, it’s your requirement that matters to make a choice.
If you are looking for daily commute
If you reside in a metro city and driving involves just commuting to your work, an EV can be a practical solution, provided you are willing to pay the price it demands.
If you are looking for all-in-one car
If you are looking for a do-it-all car that offers punchy performance, then an EV might not be a sensible option. Remember that the charging infrastructure is not in place at a large-scale level, and thus, charging the car can be a challenge. Also, you can buy a petrol car at affordable prices and save some money. To sum it up, EVs are not a bad option considering the current scenario, but they can’t be your ‘only’ car.
Also, read: Drum Brakes vs Disc Brakes
Here are Top-8 EV Cars in India that you can buy on Acko Drive:
1. MG Comet EV
2. Tata Nexon EV
3. Tata Punch EV
4. Mahindra XUV400
5. Tata Tiago EV
6. Citroen E-C3
7. Tata Tigor EV
8. MG ZS EV
Frequently asked questions