EV Myths, Debunked

Evidence-based answers to the top 10 EV myths Australians ask about — cost, batteries, charging, range, safety, lifetime emissions, the grid, affordability, towing and servicing. Every answer cites primary sources you can verify.

EVs cost more to run than petrol cars

The reality

EVs are cheaper to run, not more expensive. The RACV's 2025 running-cost guide found Australian EV drivers save between $1,500 and $3,000 per year on fuel and servicing compared with an equivalent petrol car. The fuel saving alone is the biggest line item: at typical 2026 Australian rates (~30c/kWh home electricity, $1.85/L petrol), running a Tesla Model 3 Long Range costs about $0.04 per km versus around $0.18 per km for a Toyota Camry — a 4× difference at the bowser.

Servicing adds another structural saving. Electric drivetrains have around 20 moving parts versus more than 200 in an internal-combustion engine: no oil changes, no spark plugs, no fuel filters, no exhaust system. The RACV puts EV annual servicing at $150–250 against $700+ for a petrol car of the same class.

Five-year resale also tracks higher for popular EV models thanks to surging demand for used EVs in Australia — RedBook's 2026 depreciation curves give well-known EVs a ~50% residual at five years versus ~45% for an equivalent petrol car.

The full picture, with your own kilometres and tariff, is in our Total Cost of Ownership calculator.

Run the numbers in the TCO calculator

EVs are too expensive — only rich people drive them

The reality

There are now more than 12 new EVs available in Australia under $40,000 drive-away, including the BYD Atto 1 from $23,990, BYD Dolphin from $29,990, GAC Aion UT from $31,990, MG 4 EV from $31,990, BYD Atto 2 from $31,990, GWM Ora 5 from $33,990 and Jaecoo J5 EV from $35,990. The cheapest new EV in Australia is now cheaper than the cheapest new Toyota.

The used market widens this further. A 2022 BYD Atto 3, Tesla Model 3 or MG ZS EV can now be found from $25,000–$35,000 — same money as a 3-year-old Toyota RAV4. We list more than 600 used EVs from Carsales on our Used EV market page, with new-vs-used savings shown for each listing.

For salary-packagers, the FBT exemption on EVs under the $91,387 luxury-car-tax threshold (~85% of all new EVs in Australia) makes a novated lease dramatically cheaper than buying outright — typical savings are $5,000–$18,000 per year on a Tesla Model Y or Polestar 2, depending on your marginal tax rate. See our Deals & Incentives page for the full breakdown.

Show me EVs under $40,000

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