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The Rise in Electric Vehicles and the Monthly Cost of Charging

Date Created:
Apr 9, 2022
Date Last Updated:
As more decide to switch to EVs there is a growing need for charging stations. However, what options individuals have and what is the best option are not always clear. Furthermore, how much each driver can save by switching is also fairly dependent on the situation.

The Rise in Electric Vehicles

The continued rise in electric vehicles (EV) is becoming mainstream. Globally, electric vehicles rose by over 43% during 2020, with over 5.6 million electric vehicles available worldwide.

The shift in the adoption of EVs lies in their many advantages in reducing the greenhouse effect. They are environmentally friendly, efficient, and less expensive to maintain than traditional gas-powered vehicles.

However, while the future is very bright for electric vehicles, batteries still have ranges that don’t quite compete with gas engines just yet, although its much closer than many realize (gas: 300 mile range vs. EV: 200 mile range) and is equal in some cases. This issue could be overcome by establishing charging facilities across the country, similar to our current gas station model. While fast charging stations are needed for longer trips, what most people actually need is a charger at home. EVs hold a massive advantage in this respect as unlike gas, every home has access to a power source ideal for charging your vehicle.  The cost of establishing fast charging infrastructure is enormous, and would ensure that people could drive long distances without running out of charge on their cars, but getting access to charging at home solves many of these range issues relatively quickly.

 

Bridging the Charging Gap

Electric transportation has had its fair share of issues in the past century. Most prominently, electric vehicles had trouble competing with gasoline cars because of the limited range of batteries at that time. However, Tesla proved with Model S, then Model 3 that long range EV’s were possible and cost effective , bringing the cost of batteries from $1200 per kilowatt hour in 2008 to $102 per kilowatt hour in 2018 making mainstream electric vehicles a reality. 

This has led to every automaker bringing long-range, cost-effective  electric vehicles to market, and helping nations reach their environmental goals. 

The biggest current challenge for EVs is access to charging. While most have the electrical service they need at home those who live in apartments and condos might have trouble. While these complexes have plenty of power, there usually isn't an abundance of places to actually tap into it in a garage setting.

However, with the continued rise in technology, companies in the EV industry are looking to build charging stations and make them easily accessible for even multi-unit dwellers. 

Here at Orange Charger, we are  innovating new EV charging solutions with multi-unit homes in mind. With our Level 1 and Level 2 outlets the possibility of charging an electric vehicle from the comfort of your home, no matter the scenario, is now possible.

Cost of Charging your EV per Month

Besides the charger there is also the case of installation costs. While charging stations are relatively inexpensive, getting it installed in a particular parking space could be extremely costly depending on the situation.

Charging EVs at home is the dominant form of charging as it's far more convenient and potentially cheaper too. According to the U.S. Energy Information Administration, nearly 14 cents per kWh as of May 2021 is what the average US household pays for electricity. However most public charging stations can charge upwards of 35 cents per kWh

Although price can’t be the same in all states as some states charge more for electricity than others. According to KBB, people living in New England pay nearly twice the price for each kWh of energy used in states such as Colorado, Texas, Nevada, and Tennessee.

The cost also depends on how much you drive and how you drive. Just like a gas powered car if you drive at higher speeds or accelerate quickly you’re going to use more energy. However, it'll cost a P100 Model S roughly $14 (based on $0.14/kWh national average) to charge from 0-100%, it's unlikely gas will ever be cheap enough to match that number. 

 

How to Calculate the Cost of Charging an EV per Month

One aspect of the EV cycle that EV owners and aspiring EV owners want to know more about is what it would cost them every month to keep their car charged and ready to go. Wouldn’t it be nice if you got as much insight as you’d need before trying out something new?

Ideally, an electric car can cover around 3 to 4 miles per kWh or more useful 300 to 400 watt hours per mile. Now, multiply the total miles you drive each year by watts per mile  to get your total yearly kilowatt hours (kWh). Multiply that number by your average cost per kWh to get your yearly “fuel” cost.

Let’s assume you drive 12,000 miles per year, you would have used 4,080 kWh driving a Model 3/Y/S. With the average household consumption rate in the U.S at 14 cents per kWh, automatically, it means it would cost $33.60 per month to charge your EV. Add in Orange’s network fees and you are looking at $45.50 to drive per month. 

What are the Charging Options Available to You?

Charging from home is still your best bet for an EV owner. However, how fast you want your car to charge determines what will meet your needs. Most EV models come with a basic 110-volt charging unit (Level 1) that is plugged into a standard electric outlet through the use of the traditional three-prong plug.

Charging Level 1 is usually the cheapest option, provided there is an existing basic electric service in your garage. However, on the flip side, it is also the slowest as it could take up a significant portion of the night to charge fully, depending on your EV and its capacity.

A 240-volt Level 2 charger is a bit more expensive but can meet your charging needs in around 1-3 hours. Also some EVs do not come with a Level 2 charging unit so it's important to know what you have. While you’ll pay more for the station and potentially charge cable up front you’ll be saving some time in the process. 

The benefits are worth the investment as they can be installed in your garage and even in multi-unit apartments. In fact, Orange Charger was specifically designed to solve the needs of apartment communities of all sizes as we make charging electric vehicles simple, equitable, and scalable at any multi-unit property. Our systems make it easy and convenient to manage payment, track energy usage and automate data reporting.

Conclusion

The cost of having EV charging facilities installed may not come at a whim, however, thinking long term, it will be well worth it as more EV drivers enter the market. EV drivers living in properties with charging facilities will have one less problem to worry about with their charging needs taken care of. 

If you are looking to install EV charging stations at your property or workplace Orange Charger is your one-stop shop to walk you through a comprehensive feasibility study and have your charging stations installed. It doesn’t matter if you are installing a single charger or thousands. We provide cost-effective electric vehicle charging solutions at multi-unit properties.