Understanding the true cost of owning an electric vehicle can feel complicated, which is why Bank of Ireland has teamed up with Nevo, Ireland’s dedicated EV experts, to share clear, practical advice. When it comes to buying an electric car, the upfront price is often seen as the biggest hurdle. Even with Government supports like SEAI grants and VRT relief, EVs can often cost more to buy than their petrol or diesel counterparts. But the purchase price is only part of the picture. To get a fair comparison with an internal combustion engine (ICE) car, you need to look at the total cost of ownership (TCO).

TCO factors in not just the sticker price, but also running costs, things like charging, tax, insurance, servicing, and depreciation. Only then can you see the lifetime savings an EV can offer.

Purchase Price

While EVs still start higher than petrol and diesel models, the gap is closing. For example, the Peugeot e-208 starts from around €30,995 (after grants), compared to €24,500 for petrol and €27,900 for diesel. Larger EVs like the Hyundai Kona Electric begin at about €37,500, but come with longer range and more standard features.

Electricity Costs

Charging at home is by far the cheapest way to run an EV. On current night-rate tariffs, filling a Hyundai Kona Electric (up to 514km WLTP range) from empty costs roughly €9. Public fast charging, however, is pricier at around €0.55–€0.65 per kWh, meaning a full charge can top €35.

Depreciation

Used EV values are strengthening, especially for popular crossovers and SUVs. According to Bank of Ireland data, models like the Peugeot e-2008, Kia Niro EV, and Hyundai Kona Electric often retain more than 50% of their value after three years. Meanwhile, ICE cars face more uncertainty as Ireland moves towards a 2030 sales ban, making EVs look like the safer long-term choice.

Insurance

Insurance can still be slightly higher for EVs, mainly due to their purchase price and specialist repair costs, but the gap is narrowing. Some insurers now even offer EV-specific discounts, so it’s worth shopping around.

Maintenance

This is where EVs really shine. With fewer moving parts and no oil changes, timing belts, or exhaust systems, maintenance costs are much lower. Tyres and brakes are still your main consumables. Plug-in hybrids, on the other hand, still need servicing similar to petrol or diesel cars.

Motor Tax

In Ireland, BEVs pay just €120 per year in motor tax, while PHEVs are taxed at €170. This compares very favourably with many petrol and diesel cars, particularly larger ones.

The Verdict

Yes, EVs typically still cost more upfront. But once you factor in lower charging costs, reduced maintenance, favourable motor tax, and improving depreciation, the total cost of ownership is often the same as, or cheaper than, petrol and diesel alternatives. For many drivers, the numbers now add up in favour of going electric.

Ready to explore your options? Discover a wide range of finance solutions to help you make the switch to electric motoring today.