Small EVs vs petrol cars: Do EVs help you save money if you drive 30km a day?
With more small EVs now on sale in India, buyers have more choices than ever. But is paying extra for an EV financially worthwhile? Here's what the numbers reveal.
by Saumya Shubham Jha · India TodayNow, we have more options for EVs, even in the small sub-4-metre SUV and hatchback segments. From the Tata Tiago EV and Tata Punch EV to the Kia Syros EV, Tata Nexon EV and Mahindra XUV 3XO EV, buyers today have plenty of electric choices across different price points. But the bigger question remains: do they actually help you save money over their petrol counterparts?
To find out, we compared the entry-level EV variant of each model with a similarly equipped petrol version and calculated how long it would take to recover the additional amount paid for the EV through fuel savings alone. We also looked at what happens when buyers compare an EV with the entry-level petrol variant, which is often how purchasing decisions are made.
For the purpose of this calculation, we have assumed a petrol price of Rs 102 per litre in Delhi and a real-world fuel efficiency of 12kmpl.
Assumptions used
- Petrol price (Delhi): Rs 102/litre
- Fuel efficiency: 12kmpl
- Petrol running cost: Rs 8.50/km
- Daily driving distance: 20km and 30km
- Electricity costs, maintenance, financing charges and resale value have not been included in the calculations.
Based on these assumptions, a petrol car would consume fuel worth:
- Rs 170 every day if driven 20km
- Rs 255 every day if driven 30km
EV vs equivalent petrol variant
| Model | EV Price | Comparable Petrol Price | Extra paid for EV | Recovery at 20km/day | Recovery at 30km/day |
|---|---|---|---|---|---|
| Tata Tiago | Rs 6.99 lakh | Rs 4.70 lakh | Rs 2.29 lakh | 1,347 days (3.7 years) | 898 days (2.5 years) |
| Tata Punch | Rs 9.70 lakh | Rs 5.70 lakh | Rs 4.00 lakh | 2,353 days (6.4 years) | 1,569 days (4.3 years) |
| Tata Nexon | Rs 12.50 lakh | Rs 10.40 lakh | Rs 2.10 lakh | 1,235 days (3.4 years) | 824 days (2.3 years) |
| Kia Syros | Rs 13.50 lakh | Rs 9.82 lakh | Rs 3.68 lakh | 2,165 days (5.9 years) | 1,443 days (4 years) |
| Mahindra XUV 3XO | Rs 13.89 lakh | Rs 10.30 lakh | Rs 3.59 lakh | 2,112 days (5.8 years) | 1,408 days (3.9 years) |
What if you compare the EV with the petrol base variant?
Many buyers begin their search by looking at the starting price of a car rather than matching variants. When the entry-level petrol model is taken as the benchmark, the price gap increases substantially.
| Model | EV vs Petrol Base | Extra paid for EV | Recovery at 20km/day | Recovery at 30km/day |
|---|---|---|---|---|
| Tata Tiago | Smart EV vs Smart Petrol | Rs 2.29 lakh | 3.7 years | 2.5 years |
| Tata Punch | Smart EV vs Smart Petrol | Rs 4.00 lakh | 6.4 years | 4.3 years |
| Tata Nexon | Creative Plus EV vs Smart Petrol | Rs 5.10 lakh | 8.2 years | 5.5 years |
| Kia Syros | HTK EV vs HTE Petrol | Rs 5.08 lakh | 8.2 years | 5.5 years |
| Mahindra XUV 3XO | AX5 EV vs MX1 Petrol | Rs 6.10 lakh | 9.8 years | 6.6 years |
What do the numbers tell us?
The calculations show that the Tata Nexon EV offers the quickest payback among the five models when compared with a similarly equipped petrol variant. At a daily driving distance of 30km, the additional amount paid for the EV can be recovered in around 2.3 years, while someone driving 20km every day would need around 3.4 years.
The Tata Tiago EV also makes a strong case. Thanks to its relatively modest price premium, it takes about 2.5 years to recover the additional cost if driven 30km daily and about 3.7 years at 20km a day.
The equation changes with the Tata Punch EV, Kia Syros EV and Mahindra XUV 3XO EV. Their higher upfront premiums extend the recovery period to roughly four to six years, even when compared with similarly equipped petrol variants.
If buyers compare these EVs with the entry-level petrol versions instead, the recovery period becomes significantly longer. In the case of the Nexon EV and Syros EV, it stretches beyond five years for someone driving 30km every day and crosses eight years at 20km daily. For the XUV 3XO EV, the payback period approaches 10 years if the vehicle is driven only 20km a day.
So, do small EVs make financial sense?
For buyers whose daily commute is between 20km and 30km, the answer depends largely on the vehicle they choose and how long they plan to keep it.
The Tata Tiago EV and Tata Nexon EV present the strongest financial proposition in this comparison. Their relatively lower price premium means buyers can recover the additional investment within a reasonable ownership period before enjoying lower running costs.
On the other hand, the Tata Punch EV, Kia Syros EV and Mahindra XUV 3XO EV demand a much longer ownership cycle for the fuel savings to offset their higher purchase price. Buyers who typically replace their cars every four to five years may not recover the full premium through fuel savings alone.
Of course, fuel costs are only one part of the ownership experience. EVs also offer lower maintenance costs, quieter operation, smoother performance and the convenience of home charging. But if the decision is based purely on economics, the numbers suggest that not every small EV delivers the same value proposition. In the end, it is the size of the upfront price gap, useage and the duration of keeping the vehicle, more than the electric powertrain itself, that determines whether switching to an EV makes financial sense for your driving pattern.
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