Austin Ball of Walnut Creek, seen charging up a Tesla at home on March 4, says the difference in fuel costs between gasoline and electric vehicles has narrowed since PG&E rates went up.
Carlos Avila Gonzalez/The Chronicle
California wants residents to buy electric vehicles to fight climate change, to the point of ending the sale of new gasoline-powered cars in 2035.
“It’s crazy,” said Austin Ball, a Walnut Creek engineer and Tesla Model 3 driver whose PG&E bill has doubled this year.
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In Petaluma, Davinder Banger said he’s paying about $20 per charge at a Supercharger this year, compared to between $10 and $14 before to charge his Tesla Model Y. Banger, 48, said he’s still saving money on his commute to Contra Costa County compared to how much you would pay for gas.
“But I noticed a change,” he said.
Proponents of electrification worry that rising prices will make people reluctant to give up their gas cars for electric ones at a time when the state needs them to make the switch.
It costs about $73 to fill a Toyota Camry’s tank and drive about 506 miles, said Jack Kones, an electrification policy analyst at Energy Innovation, a Bay Area-based nonpartisan climate policy think tank. Using data from PG&E and the US Energy Information Administration, he calculated that driving the same distance in a Tesla Model 3 costs about $32 to charge, while a Chevrolet Bolt would cost $43.
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That means Tesla drivers still save about $41 and Bolt drivers $30 in gas costs.
That’s less than the inflation-adjusted savings of about $59 for the Model 3 (using 2022 gas and electricity prices) and about $51 in savings for the Bolt.
A new electric car costs an average of about $2,039 more than a conventional gas-powered car as of January, according to a study by Cox Automotive. But e-vehicles have lower maintenance, repair and refueling costs. Rising electricity prices risk scaring away potential new owners worried about their bills, said Severin Borenstein, an economist and professor at UC Berkeley’s Haas Energy Institute.
“We’re discouraging people from doing something they really need to do,” Borenstein said.
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Kevin Mullin of Orlando examines the bZ4X, an all-electric vehicle, at the Hansel Toyota showroom in Petaluma on Jan. 19. Some fear that rising PG&E rates will reduce interest in purchasing electric vehicles.
Lea Suzuki/The Chronicle
Mark Tawney, executive director of the nonprofit The Utility Reform Network, a rate advocate, said there is “much more at stake” with rising utility bills than just household budgets.
“We need to understand the implications of these rate increases on climate change,” he said.
A Pew Research Center survey found that 70 percent of people interested in buying an electric car said saving money on gas was a major factor in their thinking.
PG&E’s rate hikes are affecting a significant portion of the nation’s electric vehicle drivers: The electric utility says about 1 in 7 electric vehicles nationwide plug into the utility’s California grid.
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A man passes the time in a folding chair while waiting for his Model S to charge on a supercharger at Petaluma Village Premium Outlets on Jan. 19. Charging an electric vehicle has become more expensive with rising PG&E rates.
Lea Suzuki/The Chronicle
California Assemblyman Phil Ting drives a Tesla Model Y, and the car company’s phone app estimated that he saved about $1,772 last year by not buying gas. The San Francisco Democrat doesn’t expect to hit the same savings mark this year, but he’s a major proponent of electrification and adores his electric car.
“To me, it’s not a game changer at this point,” Ting said. “But the overall cost of electricity is a major concern this year.”
Los Altos Hills resident Barry Smith, an early adopter of EVs, said he’s noticed his PG&E bill is much higher this year.
“The big financial benefit was fuel savings: the more you drive, the bigger the savings,” Smith said. “If there aren’t that many savings, people will wait.”
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A PG&E spokesman emphasized that it still costs less to charge a car battery than to buy gasoline, especially for drivers who have signed up for special EV rate plans.
The utility’s basic EV rate plans, available during off-peak hours from midnight to afternoon, allow drivers to charge their cars at home for the equivalent of about $3.23 to $3.29 per gallon of gas, PG&E said. That’s below the average price of $4.80 a gallon for gasoline in California as of Monday, as reported by AAA.
But PG&E said only about 25 percent of electric vehicle drivers have signed up for a rate plan designed for customers who charge at home. A spokesperson for the company said they are trying to identify electric vehicle customers to make more information about tariffs.
Ball, the engineer from Walnut Creek, said he just learned about the electric vehicle rate plan and is considering signing up.
Austin Ball’s Tesla, purchased in 2020, shows its charging status on its interior display at his home in Walnut Creek, as seen March 4. Ball recently learned about PG&E’s off-peak charging plan aimed at EV drivers and is considering signing up.
Carlos Avila Gonzalez/The Chronicle
Ball started comparing fuel costs with friends when he first got his electric car about four years ago, and said the savings were impressive. But when he did the same thing in February with a friend during a weekend in Pismo Beach, it turned out that Ball paid a little less after traveling similar distances.
“It was about a $10 difference — nothing to brag about,” Ball said.
Contact Julie Johnson: [email protected]; Twitter: @juliejohnson and Emma Boots: emma. [email protected]
