Comparative Analysis of the Total Cost of Ownership (TCO) Between Electric Vehicles (EVs), Hybrid Electric Vehicles (HEVs) and Internal Combustion Engine (ICE) Vehicles in India

Abstract

The automotive industry is undergoing a dramatic shift from the traditional internal combustion engine to an electric mobility solution for a sustainable environment and the conservation of fossil fuel resources. Although the environmentally advantageous aspects of Electric Vehicles and Hybrid Electric Vehicles are quite clear, consumer sentiment regarding the adoption of such modes of transportation has been governed largely by the economics of use, or the Total Cost of Ownership (TCO) value. This research seeks to present an evidence-based comparative analysis of the TCO costs for Electric Vehicles, Hybrid Electric Vehicles, and Internal Combustion Engine vehicles in the Indian context through an analytical framework of cost assessment of critical parameters such as acquisition costs, fuel consumption costs, servicing costs, government taxation subsidies, and other deprecation costs over the proposed period of five years. Through an integration of industry reports, this paper seeks to present a scientific analysis of the feasibility of the above automobile options from an economic use prospective.