Analysis of the total cost of ownership of electric and combustion engine trucks used in Poland

Abstract

PURPOSE: This article focuses on analyzing the automotive market and comparing the economics of combustion engine and electric vehicles. Separate cost models were created to compare the two types of transportation.

DESIGN/METHODOLOGY/APPROACH: The article analyzes one-time, recurring, and variable costs for both models. In addition, the cost model for electric cars has been enriched with avoided costs that will not be incurred when operating electric vehicles. The analysis included an economic comparison and addressed non-cost issues that cannot be clearly quantified.

FINDINGS: When comparing the total cost of ownership of electric vehicles and combustion engine vehicles over a five-year period, the most economical solution is to choose electric vehicles and invest in private charging infrastructure.

PRACTICAL IMPLICATIONS: The global automotive market is changing dynamically. In recent years, there has been a noticeable trend towards the electrification of cars, which has led to a significant increase in the number of electric vehicles on the roads.

ORIGINALITY/VALUE: Currently, most car manufacturers have electric vehicles in their range.