If you take into account what you can save by driving an electric car, you can service a higher car loan. Read how much!
-Everything is free. Only car loan to pay.
I chatted with a satisfied Tesla Model 3 owner here the other day. He charged at work. Free. And with no tolls to speak of, only car loans took money from the account. When I was going to finance my own Tesla a couple of days later, the amount of 118 appeared on Tesla's website. It was an accumulated estimate of how much extra debt I could service over the next three years by choosing a Tesla over a fossil car.
A subsidy of the car loan
The idea is interesting. If you take all the financial benefits of driving an electric car, how much extra debt can you service? Be aware that the electric car benefits are assessed and adjusted on an ongoing basis. The advantages of electric cars are mainly linked to electricity prices and tolls. Political changes can therefore affect the calculations drastically.
The rates for tolls are surprising
If you live in Bærum and work in Oslo, you have to pay a total of 66,80 per day to drive a petrol or hybrid car during rush hour. Annually – 47 weeks – is 15. With an electric car, the fee is 698 – a saving of well over 5 just for driving to and from work.
If you live a little further away, for example in Lørenskog, and work at Fornebu, you have to pay 89,60 per day to drive a petrol or hybrid car during rush hour. Annual expense - 47 weeks - is 21. With an electric car, the fee is 056 - a saving of 7.
Far from free to charge
If you have the opportunity to charge for free at work, you have a great argument for choosing an electric car. Charging costs money, even if you have your own wall charger. Tesla's Supercharger costs about the same as you would have paid for your own electricity. Charging from other charging stations such as Fortum and Grønn Kontakt gives a cost per km that is as high – or higher – than a comparable petrol or hybrid car. But such charging stations can be good to have when you are on a trip in rural areas.
Cheapest to charge at home
We have just driven 3000 km with Tesla and charged a total of 600 kWh at various charging stations. It cost us 1,250 kroner. If we had charged everything on our own wall charger, the total would have been 900 (based on current electricity prices). If we had relied solely on Tesla's Superchargers, we would have been charged approximately 1,026 kroner (based on our own charging sessions). With Green Contact , the best price would have been 1,740. As a regular "freight customer", the kilometers cost more than it would have cost to have driven with gasoline or diesel. Several of our external charging sessions have been unnecessary. We could have charged more at home. A more realistic charging cost would therefore be 1,000 kroner.
New cars use little petrol
If we compare with a new petrol or hybrid car, the average consumption (city and 110 km/h motorway) is between 0,5 and 0,7 liters per mile. With a petrol price of NOK 14,66, we would have had petrol expenses of between NOK 2 and 200 to cover the same distance (3 km). The difference between petrol and electricity will then end up between NOK 078 and 3000. Converted to annual mileage, the savings are as follows:
20 km: NOK 000 – 8
30 km: NOK 000 – 12
Other savings
The annual fee
It is independent of mileage and is paid through the insurance. For petrol and hybrid cars, it is NOK 8,12 per day. Electric cars get away with NOK 0.
Parking
Previously, there was free parking for electric cars in municipal spaces, but several municipalities now charge a fee for electric cars as well. In Oslo, electric cars have to pay to park in resident parking, but the price is much lower than for fossil cars. Electric vans are free.
Service
Service on electric cars is generally cheaper than on fossil cars. But the service prices vary quite a lot between different brands. It is more expensive to service an Audi than a Toyota. It's like comparing a lobster and a canary. Comparison only works when the same model is delivered in both petrol and electric versions. Anyway, who should you compare new electric car brands against - such as Tesla, Polestar, MG, Xpeng and Byd?
Practical calculation examples
Example 1 – Non-peak hours
We have started from our own car use with normal, local driving in Oslo outside of rush hour, occasional driving between other cities in Eastern Norway, as well as a trip to the cabin approximately every 3 weeks. A total of 16000 km a year.
Example 2 – Rush hour in and out of Oslo
Building on example 1, with the addition of driving to and from work between neighboring municipalities and Oslo. Annual km length has been increased to 20000 km.
Example 3 – Rush hour through Oslo
Also builds on example 1. But now the owner lives on one side of Oslo (for example Lørenskog) and works on the other side (for example Fornebu) - and drives during rush hour. Annual km length has been increased to 30.
You can borrow so much more if you choose an electric car rather than a petrol or hybrid car.
Example 1 - Non-peak hours - 16 km
Årlig besparelse
Årsavgift
Drivstoff
Bomavgift
Total
Elbil vs hybridbil
2963
6400
8938
18301
Elbil vs bensinbil
2963
10600
8938
22501
I forhold til hybrid car can the electric car benefits serve an addition to the car loan of 45 over 000 years - or 3 over 75 years. Relative to petrol car can the benefits serve an addition to the car loan of 57 over 000 years - or 3 over 90 years. DnB car loan at 000% cash and 5% nominal interest on Tax deductions for interest expenses are not included in the calculation.
Example 2 – Rush hour in and out of Oslo – 20 km
Årlige besparelse
Årsavgift
Drivstoff
Bomavgift
Total
Elbil vs hybridbil
2963
8000
18996
29959
Elbil vs bensinbil
2963
13300
18996
35259
I forhold til hybrid car can the electric car benefits serve an addition to the car loan of 77 over 000 years - or 3 over 120 years. Relative to petrol car can the benefits serve an addition to the car loan of 93 over 000 years - or 3 over 150 years. DnB car loan at 000% cash and 5% nominal interest on Tax deductions for interest expenses are not included in the calculation.
Example 3 – Rush hour through Oslo – 30 km
Årlig besparelse
Årsavgift
Drivstoff
Bomavgift
Total
Elbil vs hybridbil
2963
12000
22474
37437
Elbil vs bensinbil
2963
20000
22474
45437
I forhold til hybrid car can the electric car benefits serve an addition to the car loan of 100 over 000 years - or 3 over 160 years. Relative to petrol car can the benefits serve an addition to the car loan of 120 over 000 years - or 3 over 190 years. DnB car loan at 000% cash and 5% nominal interest on Tax deductions for interest expenses are not included in the calculation.
Conclusion
The calculations explain why expensive cars such as Tesla, Audi e-tron and Mercedes-Benz EQC sell so well. Favorable "green" financing packages with 0% equity have also contributed to the good sales - and that many buyers may have "stretched the rope" a little longer. In any case, the vehicle park has changed considerably. Why buy a Ford Mondeo when the electric car benefits finance the price difference up to the Audi e-tron?
Do not take out a higher loan than you can service - and never more than the car's real sale value!
Sources – costs and car loans
Fjellijn's toll calculator
Skatteetaten.no about traffic tax insurance
DnB car loan calculator
See
