EV vs Petrol Running Costs in Singapore: The Gap Just Got Wider
13 March 2026 · 21 min read · PaperValue.sg
Look. I know you saw the pump price last week. You pulled in, inserted your card, watched the numbers spin like a slot machine that only pays out in heartbreak, and walked away thinking that can't be right.
It is right. 95-octane just crossed $3.35 a litre. Premium 98 is flirting with $4. And if you drive 17,000 km a year like the average Singapore motorist — congratulations, you're now spending roughly $800 more per year on fuel than you were in January.
Meanwhile, the guy in the next lot with the BYD plugged into a wall socket spent about $18 last night. For a full charge. While he slept.
That's the gap we're going to talk about. With real numbers, not some EV fanboy fantasy.
What the Hell Is Happening at the Pump
Here's the short version: the US and Israel launched strikes on Iran on 28 February 2026, and fuel retailers have been raising prices almost daily since. Shell raised prices twice in a single day on 10 March. Twice. In one day. Like they were testing how much we'd tolerate.
Brent crude hit US$111 a barrel — the highest since the Ukraine crisis in mid-2022. And before you comfort yourself with "it'll come back down soon" — no, it probably won't. Not quickly, anyway. Supply contracts, refinery costs, and inventory cycles don't care about your optimism. CASE has publicly urged fuel companies to exercise restraint, which is the polite Singaporean version of "what the hell, guys."
For context, the previous peak for 95-octane was $3.25 per litre back in June 2022. We've already blown past that. So this isn't a blip. This is where we live now.
The Numbers: Petrol vs EV in March 2026
Prices and rates below are as of March 2026.
I'm going to hit you with some tables. I know, I know — bear with me. These are the numbers that actually matter, and I promise I'll keep the commentary going.
We're comparing a typical Singapore driver doing 17,000 km per year. Petrol sedan averaging 14 km/litre versus an EV averaging 6.5 km/kWh. Fair fight.
Petrol Car (e.g., Toyota Corolla Altis)
| Before Feb 2026 | Now (March 2026) | |
|---|---|---|
| 95-octane price | ~$3.08/litre | $3.35/litre |
| Litres per year (17,000 km ÷ 14 km/L) | 1,214 L | 1,214 L |
| Annual fuel cost | $3,739 | $4,067 |
That's a $328 increase practically overnight. And if you're running 98-octane at $3.85 because your car "needs" it — you're looking at closer to $4,680 per year in fuel alone. Let that sit for a second.
Electric Vehicle (e.g., BYD Atto 3)
| Home charging | Public AC charging | Public DC fast charging | |
|---|---|---|---|
| Electricity rate | ~$0.30/kWh | ~$0.55/kWh | ~$0.65/kWh |
| kWh per year (17,000 km ÷ 6.5 km/kWh) | 2,615 kWh | 2,615 kWh | 2,615 kWh |
| Annual energy cost | $785 | $1,438 | $1,700 |
Home rate is based on SP Group's Q1 2026 regulated tariff of ~$0.29/kWh. Public rates vary by operator — SP Mobility charges around $0.65/kWh for AC, TotalEnergies around $0.60/kWh. DC fast charging can go up to $0.90/kWh at some stations. We're using conservative averages here.
The Gap (This Is the Part That Hurts)
| Scenario | Petrol (95-oct) | EV | Annual Savings |
|---|---|---|---|
| EV with home charging | $4,067 | $785 | $3,282 |
| EV with public AC charging | $4,067 | $1,438 | $2,629 |
| EV with public DC charging | $4,067 | $1,700 | $2,367 |
| EV with 50/50 home/public mix | $4,067 | $1,112 | $2,955 |
Even in the worst case — relying entirely on DC fast chargers, never once plugging in at home — an EV driver saves over $2,300 a year. With home charging, that gap stretches past $3,200. Over a 10-year COE cycle, we're talking $24,000 to $33,000 in fuel savings.
And here's what most of those neat comparison articles skip over: petrol prices are volatile as hell. They can swing 10% in two weeks, as we just saw. Electricity tariffs move too, but slowly and predictably. That stability matters when you're planning ownership costs over a decade. You can actually budget for an EV. With petrol, you're just... hoping.
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"But What About Everything Else?"
Right. Fuel savings don't exist in a vacuum. And this is where I have to be honest with you, because the full picture is more complicated than the EV evangelists want you to believe.
Road tax: EVs pay more. A BYD Atto 3 runs you about $1,500/year (that includes the $700 Additional Flat Component the government tacks on for EVs) versus around $742 for a Corolla Altis 1.6. That's a $760 annual gap that eats into your fuel savings. Not great, but not the dealbreaker some people make it out to be.
Insurance: EV premiums run 15–20% higher than equivalent petrol cars, mainly because battery repairs cost a small fortune. EV insurance typically ranges from $2,000–$5,000 a year depending on your profile and model. On a $2,500 annual premium, that's an extra $375–$500 compared to a similar petrol car.
Maintenance: EVs win here — but the story is more nuanced than "no oil changes." Tyres wear faster, specialist labour costs more, and there are a few gotchas nobody warns you about. On the other hand, some brands now cover your entire COE cycle with free servicing. We break this down in detail below.
Depreciation and resale: This is the big unknown — and honestly, it's where things get interesting. As petrol gets more expensive and government incentives keep tilting toward EVs, market sentiment is shifting. Used EV prices are holding firmer than most people expected, while some petrol models are softening as buyers start doing the long-term fuel maths.
If you're curious what your current car — petrol or EV — is actually worth in today's market, our valuation tool factors in current conditions, including the kind of demand shifts that fuel price spikes accelerate.
Repairs & Maintenance: Where It Gets Interesting
I mentioned maintenance above, but it deserves its own deep dive. Fuel is the headline cost, but maintenance is the quiet budget killer over a 10-year COE cycle — and this is where EVs and petrol cars diverge in ways most people don't expect.
Let's go through it honestly.
Tyres — The One Area EVs Lose
Here's something the EV marketing brochures conveniently skip: electric cars chew through tyres faster. Noticeably faster.
Why? Two reasons. First, EVs are 20–30% heavier than comparable petrol cars because of the battery pack. A BYD Atto 3 weighs about 1,750 kg versus a Toyota Corolla Altis at around 1,335 kg. That's 400 kg of extra weight grinding into rubber every time you drive.
Second, instant torque. Electric motors deliver full torque from zero RPM, which is brilliant for acceleration but brutal on tyres. Every traffic light launch is a micro-burnout.
The result? EV tyres wear out roughly 30–50% faster. Where a petrol car gets 40,000–50,000 km out of a set, EVs often need replacements at 25,000–35,000 km.
And the tyres themselves cost more. EV-specific tyres — Michelin Pilot Sport EV, Hankook iON, Continental EcoContact 6 — are designed for the extra weight and have noise-reducing foam inserts. In Singapore, you're looking at $800–$1,600 for a full set versus $600–$1,200 for a comparable petrol car.
Net impact: EVs cost roughly $200–$400 more per year on tyres. Not a dealbreaker, but worth knowing.
Brakes — The Quiet EV Win
This one goes firmly to EVs, and it's because of regenerative braking.
When you lift off the accelerator in an EV, the electric motor runs in reverse to slow the car down, converting kinetic energy back into battery charge. The physical brake pads barely get used. Some EV owners report going the entire 10-year COE cycle without replacing brake pads. That's not an exaggeration.
One caveat for Singapore specifically: our humidity causes rotor corrosion on EVs because the discs don't get hot enough often enough to burn off moisture. It's cosmetic mostly, but some drivers do a periodic hard brake from 80 km/h to clean the rotors. Not a real cost — just something to be aware of.
Savings: roughly $40–$160 per year compared to a petrol car's regular pad and rotor replacements.
Servicing — No Oil Changes, Ever
This is where the gap really opens up. Here's what a petrol car needs that an EV simply doesn't:
- Engine oil and filter changes (every 10,000 km)
- Transmission fluid
- Spark plugs
- Timing belt or chain
- Exhaust system maintenance
- Multi-speed gearbox servicing
An EV still needs some maintenance: cabin air filter, brake fluid (every 2–4 years), battery coolant (every 4–6 years), tyre rotation, wiper blades, and the 12V auxiliary battery every 3–5 years. But that's a much shorter list.
In Singapore dollars:
| Petrol car (annual) | EV (annual) | |
|---|---|---|
| Basic service / inspection | $300–$600 (Japanese) or $500–$1,200 (European) | $150–$400 |
| Oil & filter change | $100–$300 | N/A |
| Transmission service | $50–$100 (amortised) | N/A |
| Typical annual total | $450–$1,200 | $150–$400 |
That's a $300–$800 annual gap. Over 10 years, it adds up to $3,000–$8,000. And that's before we get to the warranty situation, which is where things get really interesting.
Warranty — The Arms Race Nobody Expected
If you haven't looked at EV warranties recently, you should. They make petrol car warranties look like a joke.
A typical petrol car in Singapore comes with a 3–5 year manufacturer warranty and zero complimentary servicing. You're paying $300–$1,200 a year in maintenance from the moment you drive off the lot.
EVs? Some brands are now including up to 10 years of free servicing. That's the entire COE cycle covered.
Here's the headline: BYD includes 10 years of free servicing with every new car, valued at roughly $10,000. GAC Aion offers up to 10 years on the Aion V. XPeng gives you 5 years. These aren't promotional gimmicks — they're standard.
The Chinese brands are using warranty as a trust signal. "You're worried about reliability? Fine — we'll cover everything for a decade." And frankly, it's working.
Full brand-by-brand warranty comparison (14 brands in Singapore)
Every EV brand sold in Singapore, compared side by side. Battery warranty, vehicle warranty, and whether they include free servicing.
| Brand | Battery Warranty | Vehicle Warranty | Free Servicing |
|---|---|---|---|
| BYD | 10yr / 200,000 km | 6yr / 150,000 km | 10 years free |
| GAC Aion | 10yr / 200,000 km | 8yr / 160,000 km | 6yr (Y Plus) / 10yr (Aion V) |
| XPeng | 10yr / 200,000 km | 5yr / 120,000 km | 5 years free |
| Tesla | 8yr / 160–192,000 km | 4yr / 80,000 km | None |
| Hyundai | 8yr / 160,000 km | 5yr / unlimited km | None |
| Kia | 8yr / 160,000 km | 5yr / unlimited km | None |
| Mercedes-Benz | 8–10yr / 160–250,000 km | 3yr | None |
| BMW | 8yr | 2yr (extendable to 5) | Paid packages only |
| Zeekr | 8yr / 160,000 km | 5yr / unlimited km | Via paid BMS package |
| Smart | 8yr / 160,000 km | 3yr / unlimited km | 3yr / 45,000 km free |
| Volkswagen | 10yr / 200,000 km | — | None |
| Volvo | 8yr / 160,000 km | 5yr | None |
| Polestar | 8yr / 160,000 km | 5yr | None |
| MG | 8yr / 160,000 km | 6yr | None |
Notes: Battery warranties guarantee minimum 70% state of health (BYD uses a 60% threshold). Mercedes 10-year battery coverage applies to EQE/EQS models only; EQA/EQB get 8 years. VW's 10-year battery warranty applies from October 2025 onwards. Hyundai and Kia offer unlimited mileage vehicle warranties — valuable for high-mileage drivers.
GAC Aion deserves a special mention: they retroactively extended battery warranty from 8 to 10 years for all existing owners in Singapore — no forms, no fees, automatic upgrade. That's how you build trust with early adopters.
Battery — The Elephant in the Room
"But what if the battery dies?" This is the question everyone asks, and the answer is simpler than you'd think.
Modern EV batteries are designed for 8–15+ years and 150,000–300,000 km. Singapore's average annual mileage of ~14,000 km means over a 10-year COE cycle, you'll do about 140,000 km — comfortably within every manufacturer's battery warranty.
If you did somehow need a replacement, you're looking at $12,000–$25,000 depending on the model. That sounds terrifying, but battery costs are falling fast — pack prices dropped from over US$1,000/kWh in 2010 to roughly US$130/kWh today, and they're headed toward US$80–$100/kWh by 2028.
The practical reality for Singapore: most owners will never replace the battery. It's a theoretical cost, not a real one. And with every brand offering 8–10 year coverage, even the theoretical risk is backstopped.
The Surprise Expenses
To be fair, EVs do have some costs that catch people off guard:
- 12V auxiliary battery: Yes, EVs still have a small 12V battery for accessories. It dies every 3–5 years and costs $150–$400 to replace. If it goes, your car won't start — even with a full main battery.
- Suspension wear: That extra 20–30% weight means bushings, ball joints, and shock absorbers wear slightly faster. Budget maybe 10–20% more for suspension work over the car's life.
- Specialist labour: High-voltage certified mechanics charge more, and there are fewer workshops competing on price. This is improving as the EV population grows, but it's still a factor.
What EVs completely dodge though: starter motor failures, alternator replacements, catalytic converter issues, turbocharger problems, head gasket failures, timing chain replacements. These are the $1,000–$5,000 surprise bills that hit petrol cars at the 6–10 year mark — and they simply don't exist on an EV.
The 5-Year Maintenance Scorecard
Here's the full picture, excluding insurance (which we covered above) and fuel (which we really covered above):
| Category | Petrol (5 years) | EV (5 years) | Difference |
|---|---|---|---|
| Regular servicing | $2,000–$5,500 | $750–$2,000 | EV saves $1,250–$3,500 |
| Tyres | $1,000–$2,000 | $1,600–$3,200 | Petrol saves $600–$1,200 |
| Brakes | $300–$1,600 | $0–$400 | EV saves $300–$1,200 |
| Other repairs | $500–$2,000 | $300–$1,000 | EV saves $200–$1,000 |
| Total | $3,800–$11,100 | $2,650–$6,600 | EV saves $1,150–$4,500 |
And if you picked a BYD, GAC Aion, or XPeng with free servicing? That EV servicing line drops to $0 for years. The savings compound on top of the fuel gap we talked about earlier. We're not talking about small change anymore.
The Incentive Window Is Closing (Seriously)
The financial case for buying a new EV in 2026 still includes some serious government sweeteners. Combined EEAI and VES rebates can shave up to $30,000 off the registration cost of a qualifying electric car. Thirty grand. That's not nothing.
But — and this is the part people keep ignoring — the EEAI is being halved from a $15,000 cap to $7,500, and it's getting scrapped entirely from 2027.
If you've been sitting on the fence, the maths won't look this good again next year. That's not a sales pitch. That's just arithmetic.
The Policy Direction Nobody's Talking About
Here's what I find interesting: everyone debates whether EVs are "worth it" based on today's numbers. But nobody's paying enough attention to where the policy levers are pointing. And they're all pointing the same way.
Singapore's Green Plan 2030 commits to all new car registrations being cleaner-energy by 2040. That's 14 years from now. And governments don't wait until the deadline to act — they ramp. The changes are already happening, they're just happening quietly.
VES bands only ever tighten. Every revision pushes more petrol cars into surcharge territory and squeezes hybrids out of rebate bands. A car that qualified for a VES rebate three years ago might face a surcharge today. The gap between buying an EV (up to $25,000 rebate) and buying a petrol car (up to $25,000 surcharge) is already a $50,000 swing. Expect that to widen.
The carbon tax is on a scheduled escalator. It went from $5 per tonne to $25 in 2024, it's hitting $45 in 2026, and it's legislated to reach $50–$80 by 2030. That hits industry first, but it flows through to everything — including fuel refining and distribution costs. Petrol at the pump isn't just vulnerable to geopolitics. It's vulnerable to deliberate government policy.
ERP 2.0 is the quiet game changer. The new satellite-based road pricing system — replacing the old gantry-based ERP — has the technical capability to charge different rates based on vehicle emission class. Nothing's been announced. But the infrastructure is being built with that flexibility. If ICE vehicles eventually get charged more per kilometre for road usage, that's an entirely new cost layer that doesn't exist today.
Hybrids are getting squeezed too. No EEAI eligibility. VES bands tightening around them. Same road tax structure as full petrol. The government clearly sees hybrids as transitional — a stepping stone, not a destination. If you're buying a hybrid thinking it's the safe middle ground, that middle ground is narrowing every year.
And charging infrastructure is expanding fast. The target is 60,000 EV charging points by 2030. HDB estates are getting chargers. Condos are being mandated to be EV-ready. The "but I can't charge at home" objection — which is legitimate today for many people — has an expiry date.
None of this is speculation about what might happen. These are published targets, legislated tax schedules, and infrastructure contracts that are already signed. The only question is pace.
What does this mean practically? A petrol car bought today will spend its entire 10-year COE life in a policy environment that tilts further against it every single year. That affects running costs. That affects demand. That affects resale value. You don't have to be an EV convert to see that — you just have to read the room.
So Should You Dump Your Petrol Car Tomorrow?
This is the part of the article where every other blog would tell you YES, GO BUY AN EV RIGHT NOW, THE FUTURE IS ELECTRIC, SAVE THE PLANET.
I'm not going to do that.
Switching makes strong financial sense if you drive more than 15,000 km a year, you have reliable overnight charging access (landed property, or a condo/HDB carpark that's actually got chargers), and you're buying a new car anyway. In that scenario, the numbers are hard to argue with.
It's a tighter call if you drive under 10,000 km a year — the fuel savings shrink and take longer to offset the higher upfront cost. Or if you rely entirely on public charging. Or if your current car still has significant COE life left. Selling mid-cycle always comes with a depreciation hit, and no amount of fuel savings fixes a bad trade-in deal.
The move for most people right now: Stay in your current petrol car. But — and this is the important part — start understanding what it's actually worth today. Not what you think it's worth based on what you paid three years ago. Not what your uncle says it's worth. Market values shift with sentiment, and sentiment is shifting fast.
Here's the Thing
Step back and look at the full picture. Fuel at $3.35 a litre and rising. Maintenance costs that favour EVs by $1,000–$4,500 over five years — and $0 if your brand covers servicing. Battery warranties that span the entire COE cycle. And a government that is quietly, methodically, making petrol ownership more expensive every year through VES tightening, carbon tax escalation, and infrastructure investment that only benefits EVs.
No single factor is a knockout blow. But they compound. Fuel savings plus maintenance savings plus warranty coverage plus a policy environment tilting one way — it adds up to a widening gap that isn't going to reverse.
Whether you're planning to switch, sell, or just figure out where you stand — the first step is knowing your car's real market value. Not the listing price on classifieds. Not the lowball offer from a dealer who saw you coming. The actual, data-backed number that reflects where the market is heading, not just where it's been.
Anyway. Good luck out there.
FAQ
How much more expensive is petrol vs EV per kilometre in Singapore?
At current March 2026 prices, petrol runs you roughly $0.24 per km (95-octane, 14 km/L). An EV costs about $0.05–$0.10 per km depending on whether you charge at home or use public DC fast chargers. So you're looking at a 2–5x difference. For the same distance. I'll let that sink in.
Will petrol prices come down soon?
Probably not quickly. Even if Middle East tensions ease tomorrow, existing supply contracts, refinery costs, and inventory cycles don't unwind overnight. Singapore imports nearly all its fuel, so we're basically at the mercy of global prices. Anyone telling you prices are "about to drop" is guessing.
Are EVs really cheaper to own overall in Singapore?
Over a 10-year COE cycle, a mid-range EV can be $15,000–$25,000 cheaper in total running costs (fuel plus maintenance) compared to a similar petrol car. Higher road tax and insurance eat into that, but don't eliminate it. The real variable is your annual mileage and charging access. If you drive a lot and can charge at home, the savings are substantial. If you barely drive and rely on public chargers, the gap narrows considerably.
How do fuel prices affect used car values?
Rising petrol costs tend to dampen demand for thirsty cars and push buyers toward EVs and hybrids. This accelerates depreciation for petrol cars with high fuel consumption, while propping up resale values for efficient models. It's basic supply and demand — when running costs go up, the cars that cost less to run become worth more.
Do EVs cost more to maintain than petrol cars?
Less overall, but it's not a clean sweep. EVs save significantly on servicing (no oil changes, fewer parts to wear out) and brakes (regenerative braking means pads last 2–3x longer). But they chew through tyres 30–50% faster due to weight and torque, and specialist high-voltage labour costs more. Net result: EVs save roughly $1,150–$4,500 over five years on maintenance alone. And if you buy a BYD, GAC Aion, or XPeng, they include up to 10 years of free servicing — which essentially eliminates the servicing cost line entirely.
How long do EV batteries last in Singapore's climate?
Modern EV batteries are designed for 8–15+ years and 150,000–300,000 km. Singapore's average annual mileage of about 14,000 km means you'll do roughly 140,000 km over a 10-year COE cycle — comfortably within every manufacturer's battery warranty (8–10 years across all brands). Hot climate can accelerate degradation slightly, but active thermal management in modern EVs handles this. The honest answer: most Singapore owners will never need a battery replacement during the COE period.
Will the Singapore government make petrol cars more expensive?
No dramatic bans are coming before 2040. But the direction is unmistakable. VES surcharge bands keep tightening (making new petrol cars pricier to register). The carbon tax is legislated to rise from $25 to $50–80 per tonne by 2030, which flows through to fuel costs. ERP 2.0's satellite-based system can technically charge different rates by emission class. And the Green Plan targets all new registrations being cleaner-energy by 2040. None of this is overnight — Singapore moves incrementally — but every year the policy tilt gets steeper.