EV vs Gas: 5-Year Cost Comparison in Canada

The Economic Argument: Is It Really Worth It?

Let us be honest — the number one reason Canadians hesitate about going electric is not range or charging. It is the purchase price. An EV generally costs more upfront than a comparable gasoline vehicle. But does that initial difference get offset by operating savings? We pulled out our calculators and compared the total costs over 5 years of ownership in Canada. Spoiler: the results are quite convincing in favour of electric, and even more so with the arrival of competitively priced Chinese EVs on our roads.

For this analysis, we compare a BYD Seal (estimated at $44,990 CAD) with a Toyota Camry XLE (about $38,500) and a Tesla Model 3 ($54,990). We use real-world Canadian conditions: gas prices fluctuating between $1.55 and $1.85 per litre, average residential electricity rates of $0.11 per kWh nationally, and 20,000 km of annual driving — the Canadian average. The calculations include fuel or electricity, maintenance, insurance, depreciation, and government incentives.

Fuel: Where Electric Crushes Gasoline

This is the most dramatic category. For a gasoline vehicle consuming 7.5 L per 100 km (a typical Camry), the fuel cost over 5 years in Canada is approximately $12,750 to $13,875, using an average price of $1.70 per litre. For an EV consuming 16 kWh per 100 km in real-world Canadian conditions (including winter), the electricity cost is about $1,760 over 5 years with home charging. Yes, you read that right: approximately $1,760 versus $13,000-plus. That is a saving of more than $11,000 in fuel alone.

Even adding a few public fast charging sessions per month (about $20 per session), the total energy cost for an EV does not exceed $3,500 over 5 years. The saving remains in the range of $9,000 to $10,000. In Québec, where electricity is the cheapest in the country, the gap is even larger — we are talking $11,000 to $12,000 in savings. In Alberta, where electricity is more expensive, the saving is smaller but still substantial at about $7,000 over 5 years.

Maintenance: The Silent EV Advantage

People often underestimate maintenance savings. A gasoline vehicle requires oil changes (4 to 6 per year, $80 to $120 each), more frequent brake pad replacements, air filters, spark plugs, belts, and an exhaust system that eventually rusts out. Over 5 years, the average maintenance cost for a gasoline vehicle in Canada runs about $5,000 to $7,000. An EV eliminates nearly all of these costs. No oil. No spark plugs. No exhaust system. Regenerative braking reduces brake pad wear by 50 to 70 percent.

Maintenance costs for an EV over 5 years run around $1,500 to $2,500. That includes tire rotations (EVs wear tires slightly faster due to instant torque), brake fluid replacement, wiper blades, and cabin air filter. Chinese EVs like the BYD Seal use LFP (Blade) batteries that require no special maintenance and are warranted for 8 years or 160,000 km. The maintenance saving over 5 years? Approximately $3,000 to $4,500. That is not negligible at all.

Incentives and Total Cost of Ownership

[Updated April 2026] Government incentives play a role in the equation, but have changed significantly. The federal EVAP rebate of $5,000 (formerly iZEV, renamed February 2026) applies only to non-Chinese EVs. In Québec, the Roulez vert rebate is now $2,000 (reduced from $7,000 in January 2026, ending December 2026). For non-Chinese EVs in Québec, the combined total is $7,000. CleanBC ended November 2025. For Chinese EVs specifically: Québec $2,000, PEI $4,000, all other provinces $0.

[Updated April 2026] Let us put it all together for a Québec resident buying a Chinese EV. The BYD Seal at $44,990 minus $2,000 Roulez Vert (Chinese EVs get $0 federal EVAP) equals $42,990 net. The Toyota Camry at $38,500 with no rebates equals $38,500. After 5 years, the total cost of ownership for the BYD Seal (net price plus energy plus maintenance plus insurance plus estimated depreciation) still comes out ahead thanks to fuel and maintenance savings. And that figure is conservative — if gas prices rise, the gap widens further.

Depreciation: The Chinese EV Unknown

This is the hardest factor to predict for Chinese EVs, since they are new to the Canadian market. Teslas lose about 40 to 50% of their value over 5 years. Traditional gasoline vehicles lose about 45 to 55%. For Chinese EVs, we estimate 45 to 55% depreciation over 5 years, but it could be better if demand stays strong and brand perception improves. BYD has the advantage of build quality and Blade battery technology, recognized for its durability.

One factor working in favour of Chinese EVs is the minimal degradation of LFP batteries. After 5 years and 100,000 km, an LFP battery typically retains 90 to 95% of its original capacity. That means a used EV that still performs almost like new, which supports resale value. Used car buyers are increasingly looking at battery health as a primary criterion, and BYD's LFP batteries excel in that regard. It is a quiet but significant competitive advantage.

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