Why Buying a New Electric Vehicle Isn’t a Clear-Cut Decision
Even in 2021, with lots of incentives, we’re still struggling with the negatives
Imagine yourself in your mid-20s. You’ve finished your post-secondary education, have a good job, maybe even bought a house. Everything appears great — but you’re bored. Life has become much too vanilla. Inside is stirring a sense of adventure. You feel a need to break out of the rut you’re in.
Then, out-of-blue, opportunity knocks! A friend sees your malaise and mentions a non-profit organization they recently heard about. Sounds like a cure for the blues! You connect with a few people involved in this organization. They speak very highly of it and of the amazing work they’re doing. It sounds like you may have the time of your life! If you can take care of the logistical issues, and work grants you a sabbatical, jumping on this adventure would be an easy, clear-cut decision.
Well, unlike choosing to escape the doldrums of life for high-flying adventures, deciding on whether to buy a new electric car for our family isn’t an easy, clear-cut decision.
We’re at the point where we need to replace our existing vehicle. I’ve tried laying out the different purchase scenarios quite clearly, yet the decision is still so difficult. Buying an electric vehicle has its good points, but there are still several negatives and unknowns. In this article, I’ll attempt to articulate the hang-ups we’re facing with buying an EV.
The points I’ll cover include:
- The initial sticker shock we felt
- The limitations of available models
- The unknown lifespan
Let’s dive right in with point #1 and that initial sticker shock.
Electric cars are expensive
I know I’m a little off here in my estimate, but the electric version of an internal combustion engine (ICE) car is nearly double the price. We’ve been looking at several entry-level electric cars and it blows my mind what the MSRP is on the window sticker. These little electrics have a sticker value close to that of a fully-loaded luxury sport-ute! It’s crazy!
I question buying an EV when I see that the price of a Kia Kona is nearly the same as that of an Acura MDX. That said, electric vehicles have a lot going for them.
Thankfully government incentives to buy an EV are substantial
In Canada, between the different levels of government, the total incentive for buying specific new electric vehicles is eight thousand dollars. As well, because the vehicle we currently own is older and not very fuel-efficient, our provincial government will pay us six thousand dollars to scrap it if we buy a new electric. This brings the total incentives for us to fourteen thousand dollars.
If we opt for an entry-level model of an electric car, one with a lower sticker price, and subtract the incentives, quite honestly, we are getting close to the price of the gas version of that car. At that point, much of the sticker shock goes away. Of course, there is still the fact that we’ll be making a significant monthly car payment for many years. What about gas savings? Sure, the savings on gas will make up for much of those payments. Even so, we’re still not sold on the idea of an EV. This brings me to my second point — all of the electric vehicles in our price range are quite small.
Will a new EV work for my family?
There are five of us. My kids are entering the teenage years and growth spurts have started. Plus, we have two fur babies. One being a hundred-pound Bernese mountain dog. So I’m left wondering — will we all fit in the new electric car? Perhaps. But for how long of a drive? I honestly don’t think we’d last more than the ten-minute drive to the beach. Pile everyone in the EV and make the one-hour drive to Grandma’s? I doubt it. How about a road trip? Not a chance. It wouldn’t work, both from comfort and safety perspectives.
We’ll be forced to set limitations on the electric vehicle
The new EV simply won’t be enough in certain situations. For those times, thankfully we do still have a large gas guzzler. It would never work to rely entirely on the new electric to get us everywhere we need to go. That said, it would be great for the daily commute to school and just bombing around town. My wife has enjoyed the test drives we’ve gone on. It’s so much easier to navigate the grocery store parking lot with the little electric versus our large SUV. So even with monthly payments we can justify, and coming to terms with the limits of the electric car, why do we still have a tough decision on our hands? Time to move on to my third and final point — what’s the lifespan of this car?
Electric cars have been around for many years
I don’t know exactly how many. I think the earliest Nissan Leafs (Leaves?) are over ten years old. How well are they holding up? I think alright. I believe batteries lose capacity over time. As for the other vehicle components? I don’t know. It appears that I have more research to do. Here’s my hang-up — the EVs we are looking at are not Nissan Leafs. The models we are deciding on have only been around for a few years. This makes me wonder — how well will the car perform long-term?
Will today’s EV be running ten years from now?
Thankfully, the manufacturer warranty is impressive — five years. But what will year six bring? How about year ten? Will many components need replacing? Will the driving range of the batteries still be acceptable in ten years? Is there a point in time where the repair bill becomes so substantial that the car becomes worthless? We have a lot of questions. With a gas car, they’ve been around forever, and every mechanic (including DIY mechanics like myself) can work on them. Shoot, if it’s not a major overhaul, I’ll tackle the repair myself. Will I need to be wrenching on an EV in the future? Possibly. Only time will tell. What do you think?
Would this decision be a no-brainer for you?
It may be. There’s something I haven’t touch on yet. The environmental aspect. I know many electrics are sold because of their touted zero emissions. I’ll be honest. This reason for buying an EV hasn’t at all affected my decision. I want to be a wise steward of our environment, but I know driving a new electric vehicle is not without impact. EVs are zero-emission only if the electricity that powers them is zero-emission. As well, the production of a new electric vehicle, specifically the batteries, is more harmful to the planet’s environment than the production of a new gas car. From a holistic viewpoint, EVs are probably better for the environment than ICE vehicles. But by how much?
What’s the biggest mistake I could make?
Without a doubt, buying a new EV and not driving it. By no means should it be babied and kept parked in the garage. What a waste if I were to use my pickup the same or more than before buying the EV. No way.
The way that an electric vehicle pays for itself is by driving it. It needs to be driven, as much as possible. I’m not suggesting it should be driven simply for the sake of driving. However, the kilometers it gets driven need to more than make up for the ICE vehicle it’s replacing. By my calculations, the cost to drive a new EV is about twenty percent of our current car.
Yet we wait
What for? Either for our current car to completely die and be forced to make a decision. That or having a few of our concerns addressed. In the time we’ve been debating on getting an EV, we’ve seen some models have their prices discounted. That would help swing us towards making a purchase. Also, there are some very good-looking EVs coming out soon. These models look to have more space and features that would work well for our needs. Finally, and this would take more time, seeing an EV demonstrate an above-average reliability record and a significant lifespan. This would move us closer to buying an electric vehicle in the future.
Buying a new car is a huge decision
No matter what make or model, electric or gas, it’s a big decision. We want to make the right decision for our family and ideally, we want to be very confident in that decision. Going on a life adventure as a twenty-something-year-old — that’s a pretty easy decision. Making an investment that we’ll be paying off for many years to come — not as easy.
Thanks for taking the time today to read this article. I hope you enjoyed it, and hey, if you’ve decided for or against purchasing an EV, I’d love to love to hear about your experience. It may help us make our decision.