This is why an electric vehicle will cost you more in Ontario than other provinces
Drivers in Ontario looking to switch gears to an electric vehicle may consider hitting the brakes on the idea following the release of a new report on the cost of ownership.
The University of British Columbia study found that it’s actually cheaper to own an EV than an internal combustion engine vehicle (ICEV) in some parts of the country, and Ontario is far from the top of the list.
- Download our app to get local alerts on your device
- Get the latest local updates right to your inbox
Factors considered in the study included tax rebates and tax rates for EVs, charging costs, typical distance households travel in a region and electricity costs.
The Hyundai Kona was used as the guinea pig for the research, both the gasoline and electric models, and the cost benefits were weighted against the average Canadian auto ownership period of seven years.
The research found that in Ontario, it would cost about $11,000 more to own an EV in that seven-year time frame.
“They’re more expensive up front, but they’re cheaper to run, so it kind of becomes a question of where does the math actually add up,” Bassam Javed, one of the researchers, told CTV News Vancouver in an interview earlier this week. “The more you drive an electric vehicle, the more electric mileage you have so to speak, the more savings you actually accrue over time.”
According to the study, in order for an EV to make as much economical sense as a traditional gasoline car in Ontario, motorists would need to drive at least 88 kilometres a day to achieve cost parity – more than double the distance drivers in the province typically travel.
Among the 10 provinces and three territories, Quebec was ranked as the cheapest place to own an EV due to what the researchers identified as high purchase subsidies and low electricity prices.
“In Quebec, an electric car owner must travel at least 46 kilometres per day to come out ahead in comparison with owning a traditional car,” Javed said in a brief about the study.
The study ranks Ontario as the ninth-best place to own an EV in large part due to electricity and gas prices as well as new vehicle sales tax rates.
However, the biggest factor standing in the way of cost effective EV ownership in Ontario is a lack of rebates.
“The key reason why Ontario is less favourable for EVs than some of the other provinces is the absence of provincial rebates,” Javed said in an email to CTV News Toronto.
Currently, the only EV rebate available to Ontarians is the up to $5,000 provided through the federal government's iZEV program. Back in 2018, Premier Doug Ford cancelled Ontario's previous $14,000 EV rebate and claimed the money "only benefitted very wealthy people."
Nunavut was ranked as the least optimal place in Canada to own an EV, where drivers would need to travel 180 kilometres a day for the switch to make sense.
The study noted that smaller EVs can produce greater cost benefits across the board, compared to bigger luxury electric cars. But with Canada set to phase out emission-producing vehicles by 2035, the researchers say the federal government will need to do more to reduce the cost barriers associated with driving an EV before then.
“Canada needs to take many paths towards clean and affordable transportation for all, which means not only supporting transitions to EVs, but also public transit and active transport,” UBC professor and study co-author Amanda Giang said in a brief.
CTVNews.ca Top Stories
'Some structural damage' from wildfire near Fort Nelson, B.C., mayor confirms
More than one home has been damaged or lost due to a massive wildfire outside of the B.C. community of Fort Nelson, the mayor confirmed Wednesday.
'Very expensive lunch': Sask. driver says he got a cellphone ticket for using his points app in the drive-thru
A warning from a Saskatoon driver about using your fast-food app while in the drive-thru line — a trip to get some free lunch cost him a lot more than he bargained for.
B.C. YouTuber ordered to pay $350K for 'relentless' online defamation campaign
An 'unrepentant' YouTuber has been ordered to pay $350,000 in damages as compensation for a 'relentless' campaign of defamation waged online against a business owner and his company, the B.C. Supreme Court has ruled.
Chief says grave search at B.C. residential school brings things 'full circle'
Chief Robert Michell says relief isn't the right word to describe his reaction as the search begins for unmarked graves at the site of a former residential school he attended in northern British Columbia.
'Endless Shrimp' just one misstep for Red Lobster as it eyes bankruptcy protection
While it's unclear what these closures might mean for the 27 restaurants in Canada, Red Lobster is expected to file for bankruptcy protection in the U.S. this month.
B.C. man shot sex worker in the back during drug-fuelled birthday, court hears
A man from B.C.'s Lower Mainland has been sentenced to four years behind bars after shooting a sex worker in the back during a drug-fuelled 43rd birthday.
'Inhumane conditions': 68 dogs pulled from Winnipeg home
Nearly six dozen dogs were seized from a home Wednesday morning by the Winnipeg Humane Society. It is the largest known seizure of animals in the city’s history.
Ontario's 'Crypto King' Aiden Pleterski arrested
Of the $40-million Aiden Pleterski was handed over two years, documents show he invested just over one per cent and instead spent $15.9 million on "his personal lifestyle." The 25-year-old Oshawa, Ont. man was arrested and charged with fraud and money laundering on Tuesday.
Driver said he smoked pot oil, took medication before Florida crash that killed 8 Mexican workers
A man with a long record of dangerous driving told investigators he smoked marijuana oil and took prescription drugs hours before he sideswiped a bus, killing eight Mexican farmworkers and injuring dozens more, according to an arrest report unsealed Wednesday.