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EV vs gas cost in Michigan: $832 a year saved at 12,000 miles
With Michigan electricity at 21.53¢/kWh and regular gasoline at $4.14/gal, a typical EV (0.3 kWh/mile, charged 80% at home) costs about 7.9¢ per mile to run versus 14.8¢ per mile for a 28 mpg gas car. That beats gas by $832 a year at 12,000 miles. Michigan ranks #40 of 51 (50 states + DC) for annual savings and #39 for lowest residential electricity price.
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What the Michigan numbers say
- Electricity: Michigan residential average is 21.53¢/kWh year-to-date through July 2026, 18% above the U.S. average of 18.19¢. It is up 8.8% from the same period in 2025. Latest single month (July 2026): 23.05¢.
- Gasoline: $4.14/gal (EIA regional series: Midwest (PADD2)), up $1.34 from a year ago. The U.S. average is $4.28.
- Cost-equivalent MPG: a gas car would need about 53 mpg to cost the same per mile as this EV in Michigan.
- If prices move: at 20% cheaper gas ($3.32) the yearly EV saving would be $477; at 20% higher electricity (25.84¢) it would be $708.
What this leaves out: purchase price, tax credits, insurance, maintenance, depreciation, home charger installation, time-of-use rates and cold-weather range loss. Your utility's own rate may differ from the state average. See the methodology.
Cost to run common things in Michigan
- Space heater (1,500 W): $0.32 per hour
- Electric blanket (200 W): $0.34 per 8-hour night
- Window air conditioner (1,000 W): $0.22 per hour
- Electric clothes dryer: $0.65 per load
- Dishwasher: $0.22 per load
- Refrigerator: $97 per year
- Gaming PC (300 W under load): $0.06 per hour
- EV home charging (per 100 miles): $6.46 per 100 miles
Heating this winter? In Michigan a heat pump costs about $25.24 per million BTU of heat vs $11.04 for a gas furnace and $28.02 for propane. Heat pump vs furnace in Michigan.