New Analysis Reveals Electric Vehicles Can Save Coloradans Up to $21,500 Compared to Gas-Powered Cars Over Ten Years

February 15, 2024 – Today, Environmental Defense Fund and WSP, in partnership with Sierra Club, released a new analysis that finds many popular and widely anticipated electric vehicles (EVs) offer Colorado consumers thousands of dollars in lifetime cost savings.

The analysis looks at net purchase cost of the vehicle, fuel costs, insurance costs, and maintenance costs over ten years, using Colorado specific data. It finds cost savings as high as $21,500 when comparing the cost of Ford’s F-150 Lightning EV with the gasoline-powered Ford F-150. 

“With EVs offering so many new choices when buying a car or truck, Coloradans can welcome a healthier, safer, and more prosperous future,” said Sierra Club Colorado Field Manager Sarah Clark. “This new analysis on EV lifetime savings is great news for Coloradans who have a lot to benefit from driving cleaner vehicles. In addition to the vast climate and clean air benefits, Coloradans can save money driving electric – and not worry about unstable or rising gas prices.” 

“Electric vehicles are passing their gas-powered counterparts on total cost of ownership thanks to rapidly declining costs, generous federal and state rebates, and lower fuel and maintenance costs. In the process EVs are offering two things that consumers want – choice and savings,” said Peter Zalzal, Colorado resident and EDF’s Associate Vice President of Clean Air Strategies. “Coloradans want the freedom to choose the car or truck that’s right for them. EVs are proving to be the smart, cost-effective choice and are helping provide cleaner, healthier air.”

EDF’s analysis also found that there are 49 EV models available for less than $48,000, the average purchase price of a new car last year, and 18 EV models available for less than $35,000. In addition to the generous federal tax credits for buying a new EV (up to $7,500), Colorado offers a $5,000 tax credit for all EVs and an additional $2,500 for EVs with a Manufacturers’ Suggested Retail Price (MSRP) of less than $35,000.

The Inflation Reduction Act is helping ensure that electric vehicles are at the core of the made-in-America manufacturing boom by requiring that EVs be assembled in North America in order to qualify for new vehicle consumer tax credits. And it’s working – 39% more electric vehicles were manufactured in North American factories in the first quarter of 2023 than the first quarter of 2022.