When aiming to grow electric vehicle (EV) sales, range often presents one of the biggest obstacles — in other words, how far a car or SUV can go on a full charge. This varies among different models, but some EV makers are looking to overcome this challenge by creating a network of charging locations that work just like gas stations.
Tesla, not surprisingly, has taken the lead here, currently boasting a network of more than 1,400 charging locations and more than 12,000 Superchargers. These Superchargers work at a rate 16 times faster than a typical outlet. So, if a Tesla pulled in with a battery in need of a full charge, that vehicle would be ready to go in just over an hour.
While range is certainly a key issue, cost savings on gas can present a major economic advantage. However, Tesla no longer gives away electricity at charging stations; the company ended a program that provided a limited time of free charging for new vehicle buyers last year. On average, Tesla sells electricity for about $0.31/kWh.
To get a feel for the challenge this is creating, let’s compare Tesla’s Model 3 and the Toyota Camry. The Model 3 is Tesla’s lowest-cost offering, but still runs about $10,000 more than the Camry — the number-one selling car in the U.S. To fully recharge the Model 3’s 100 kWh battery costs about $31 at a Supercharger station.
A Camry can hold about 15 gallons of gas. The national average, per AAA, is $2.25/gallon of gas. So, filling up a Camry costs just under $34.
This means that for $3 more, you can go about 200 miles farther based on the Camry’s fuel efficiency. And all of the cars in the Top 10 in U.S. sales have similar or better numbers in terms of range and operating costs.
Throw in the fact that the tax credit for a Tesla vehicle was cut in half at the beginning of the year and could be down to less than $2,000 by this summer, and it seems that many of the cost benefits of a Tesla are now running on fumes.