The cost of owning an electric vehicle can vary widely depending on the state the state the consumer lives in, a new study by J.D. Power shows.
Greater EV adoption is being pushed by the Biden administration and many states as a way to curb environmentally harmful emissions, and they’re using federal and state tax breaks to help make that happen, though many consumers are still hesitant, often due to the higher cost of ownership compared to gas-powered models.
J.D Power’s study shows that differences in state-level purchase incentives, in addition to varying energy costs, can make EV ownership more affordable in some states than others.
The study uses the cost of owning a Ford F-150 Lightning electric pickup truck as a comparative example. It says that five-year operating costs for the Lightning are $1,010 less expensive in Texas than in New York.
Affordability is a major factor in the relatively low U.S. EV adoption rate. EVs still make up just 7% of U.S. new-vehicle sales, and Americans consistently rank EVs’ higher cost as a major factor in choosing to stick with internal-combustion-engine models.
J.D. Power says EV affordability is improving, though, with overall affordability scores up 2.3 index points this mont.
