EV drivers cut fuel bills as range anxiety fades

Car Updates

A new national survey shows Australian electric vehicle owners are saving on running costs and becoming more confident with everyday driving.

Generic image of EV being charged.

With petrol prices climbing above $2 per litre, many Australians who have made the switch to electric vehicles are seeing significant reductions in fuel expenses.

The Electric Vehicle Council’s 2025 EV Ownership Survey also shows that common concerns about electric vehicles — such as driving range and charging — tend to ease once people gain real world experience.

The survey, conducted in partnership with the University of Sydney, draws on responses from more than 1,800 EV owners nationwide.

It provides a detailed snapshot of how electric vehicles are being used day to day, and how drivers’ views change after switching from petrol or diesel vehicles.

Running costs are lower for most EV owners

The survey found evidence that EVs can reduce ongoing vehicle costs for many households.

More than 70% of EV owners reported significant savings on fuel costs compared with their previous petrol vehicle, while 73% spend less than $300 a year on maintenance.

Electric Vehicle Council CEO Julie Delvecchio said the findings reinforce the role EVs can play in easing transport costs at a time when fuel prices remain high.

“EV drivers report cutting their fuel bills by more than 60% after switching to electric, savings that matter more right now than ever before,” Ms Delvecchio said.

“With petrol above $2 a litre, driving on electricity is around four times cheaper per kilometre – even when charging at peak electricity prices, and cheaper again off-peak.”

The report found that 93% of EV owners can charge at home, with 80% of those households using rooftop solar, helping to further reduce running costs and reliance on public charging.

While upfront purchase price remains a consideration for many buyers, government incentives and salary packaged leasing continue to influence purchasing decisions.

The survey also suggests a growing supply of more affordable options in coming years, with many leased EVs expected to enter the second hand market within six years.

Electric Vehicle Council CEO Julie Delvecchio.

Electric Vehicle Council CEO Julie Delvecchio.

Range concerns ease with experience

One of the clearest findings from the survey is the decline in range anxiety after purchase.

Concerns about how far an EV can travel on a charge fall sharply once drivers use the vehicle in everyday conditions.

Most owners found their usual trips were well within the capabilities of modern electric vehicles and worries about charging availability and overall value also eased over time.

Battery fire safety remained a relatively low concern both before and after purchase.

Ms Delvecchio said the findings highlight the gap between perceptions of EVs and real world ownership.

““Once Australians get behind the wheel of an electric vehicle, they quickly realise how easy and affordable driving electric can be,” Ms Delvecchio said.

“EV drivers are discovering their cars are cheaper to run, easy to charge at home and perfectly suited to the distances Australians typically drive.”

The Electric Vehicle Council is the peak national body representing the electric vehicle industry in Australia.

By the numbers*

  • 75% purchased their EV; 25% lease (traditional or novated).
  • $63,500 average purchase price in 2025 (down from $70,000 in 2024).
  • 11% bought second hand; 71% of those did not receive a battery check.
  • Most popular brands (share of responses):
    o Tesla 34.04%
    o BYD 25.33%
    o MG 17.28%
    o Hyundai 10.32%
    o Kia 7.81%.
  • 70% saving more than 60% on fuel compared with previous petrol vehicles.
  • 73% spend less than $300 per year on maintenance.
  • 93% can charge at home; 80% of those households have solar.
  • 70% spent less than $1,000 on home-charging equipment.
  • Average annual distance: 13,950km (major cities) v 17,620km (regional/rural).

*Source: Electric Vehicle Council’s 2025 EV Ownership Survey

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