South Africans Could Save Big on Energy Costs by Switching to Electric Vehicles, Despite Challenges.

Switching from petrol to electric vehicles (EVs) in South Africa could yield significant energy cost savings, according to research conducted by Compare the Market Australia. The study compared the average cost of charging an EV with refueling a petrol vehicle in 50 countries. Specifically, it examined the cost of refueling a Hyundai Kona Elite versus recharging a Hyundai Kona Electric.

In the overall ranking, South Africa secured the 33rd position concerning the cost of charging an electric vehicle. South Africans would spend AU$2.92 (R34.74) for every 100km driven in an EV, as opposed to the $12.16 (R144.65) required for the same distance in a petrol car. This translates to an impressive 76.01% savings per kilometer traveled when using an EV.

The countries where electric cars are the most economical are Argentina and Malaysia, with costs of less than $1 (R11.90) per 100km of driving. Conversely, Denmark and Italy were at the higher end of the cost spectrum, with an expenditure of $11.26 (R133.95) for traveling 100km in an electric vehicle.

Here is a summary of the top 10 countries in terms of EV charging costs:

1. Italy: $11.26 (R134.25) per 100km (27.63% savings compared to petrol)
2. Denmark: $11.26 (R134.25) per 100km (40.29% savings compared to petrol)
3. Germany: $10.83 (R129.12) per 100km (39.12% savings compared to petrol)
4. Belgium: $10.20 (R121.60) per 100km (39.13% savings compared to petrol)
5. Lithuania: $9.77 (R116.48) per 100km (36.23% savings compared to petrol)
6. Austria: $9.77 (R116.48) per 100km (38.33% savings compared to petrol)
7. Netherlands: $9.56 (R113.98) per 100km (47.99% savings compared to petrol)
8. Finland: $8.88 (R105.87) per 100km (52.49% savings compared to petrol)
9. Czechia: $8.86 (R105.64) per 100km (39.27% savings compared to petrol)
10. Ireland: $8.29 (R98.84) per 100km (51.54% savings compared to petrol)

South Africa ranks 33rd on this list, with a cost of $2.92 (R34.74) per 100km, resulting in substantial savings compared to petrol.

According to Meredith O’Brien, Head of Energy at Compare the Market, driving an EV is a cost-effective way to save on energy expenses. She also suggested that utilizing solar panels to charge EVs during daylight hours can further reduce electricity costs associated with running these vehicles.

Despite the potential savings, South Africa faces some challenges when it comes to embracing electric cars. Deloitte’s Global Automotive Consumer Study revealed that the primary concern among consumers regarding battery-powered electric vehicles (BEVs) is the lack of sufficient charging infrastructure in the country, with 53% of respondents expressing this as their top concern. Additionally, concerns about the time required for charging and the cost of BEVs remain significant barriers to adoption.

The study also highlighted that most potential EV buyers in South Africa aim to spend less than R750,000 on their next vehicle. However, the cheapest BEV available in South Africa, the GWM ORA, starts at R716,900, with a top-spec model costing R915,900. The only other BEV priced below R750,000 is the Mini Cooper SE, at R742,102, leaving 52% of EV-intending consumers potentially having to pay more than their desired budget to enter the BEV market.