Gas vs. Electric Vehicles: What You Need to Know

Are you thinking about buying an electric vehicle (EV)? You may have questions about how they compare to gasoline-powered cars and trucks. We’re here to help.

An EV is any car or truck with battery power as its main fuel source. In contrast, an internal combustion engine (ICE) vehicle uses gasoline or diesel.

There are currently two types of EVs on the market:

Pure battery electric vehicles (BEVs). These run only on battery power. You charge them by plugging them into a power outlet.
Plug-in hybrid EV (PHEVs). These use batteries for shorter trips, such as urban commutes, and gasoline for longer trips.

Hybrid electric vehicles (HEVs) are an intermediary between electric and gas-powered vehicles. Their primary fuel is gas, but they have a secondary electric motor that charges and provides power based on the use of the gas engine.

Comparing electric and gas vehicles

	Electric vehicle	Plug-in hybrid EV	Hybrid EV	Internal combustion engine
Plug-in charging	Yes	Yes	No	No
Main fuel source is battery	Yes	No	No	No
Electric range	100 to 600 km	20 to 80 km electric	Not applicable	Not applicable
Minimum purchase price	Most expensive compared to ICE equivalent	Less expensive, but more than ICE equivalent	Less expensive, but more than ICE equivalent	Least expensive
Emissions while operating	None	Some, depending on driving mode; generally lower than HEVs	Some, depending on driving mode; generally higher than PHEVs	Yes

Driving and charging

When you buy an EV, a key factor is how much you drive every day. This determines how often you’ll need to charge. Most EV models offer at least a 200-kilometre range on a full charge. Some new, long-range EVs can go as far as 600 kilometres on a charge, with a 350- to 400-kilometre range increasingly common.

Home charging is the most common way to charge an EV, using a standard wall socket or a charging station. The time it takes to fully charge an EV depends on the charging capacity and how full the battery is.

Level 1 chargers are standard household outlets in your home. They provide about an 8-kilometre range per hour of charging. They offer the slowest speed of charging but are the most widely available.
Level 2 chargers are EV chargers. They provide about a 35-kilometre range per hour of charging. They have the same electrical output as a clothes dryer or stove and are installed by a licensed electrician. This is the most common type for at-home charging.

Outside of your daily commute, take a close look at how frequently and how far you travel on road trips. While there are many benefits to using EVs, it does add a layer of planning. You need to know your vehicle’s range and where you can charge along your route.

The public network of chargers that spans across Canada continues to grow as EVs become more prevalent. These chargers are often located at service stations, hotels, shopping centres and curbside in urban areas.

Additionally, some public charging stations offer the fastest chargers available, called Level 3 or DC Fast Chargers (DCFC). They provide about a 250-kilometre range per hour of charging and are only available at some public stations. These charging stations are the quickest way to charge a vehicle. They may require additional connectors, depending on your EV.

For help locating chargers and planning your journey, you can choose from a variety of apps and websites like ChargeHub Opens in a new window..

Weighing the costs

With new pure battery EVs starting at around $40,000, it’s true they can be more expensive than their ICE alternatives. PHEVS and HEVs are generally cheaper, but still cost more than comparable ICE vehicles. However, several provinces offer incentives for new EV purchases, which can considerably lower the price of a new electric car. Canada also offers a federal rebate Opens in a new window..

The other cost for most Canadian EV drivers is the installation of a level 2 charger at home, which can cost $200 to $2,000.

Still, one of the biggest selling points for EVs, beyond their reduced emissions, is that they’re less expensive to drive and maintain during its lifecycle. For a BEV, charging costs can be a quarter the cost of fuel for an average driver because the cost of electricity per kilometer is much lower than gasoline.

EVs also have a simpler, more efficient drivetrain and fewer moving parts. This means your yearly service will usually just involve a tire rotation and a check-over — no oil changes, no timing belt replacements, no coolant replacement.

Reduce your carbon footprint

BEVs are the most sustainable choice as they produce no tailpipe emissions. This is an important consideration if you want to minimize your personal impact on global warming by reducing your carbon footprint. Transportation accounts for about 25% of Canada’s GHG emissions, of which almost half comes from passenger cars and light trucks.¹ Shifting to cleaner fuels and electrifying light-duty vehicles can reduce emissions from Canada’s transportation sector.²

CIBC can help you drive more sustainably and save money with special financing rates for electric and hybrid vehicles. And with every green vehicle loan we finance through this program, we're donating $25 to the Nature Conservancy of Canada.

Learn about CIBC green vehicle loans

Gas vs. electric vehicles: What you need to know

Driving and charging

Weighing the costs

Reduce your carbon footprint