FOR IMMEDIATE RELEASE
May 14, 2025

Contact:
Josh Valentine, jvalentine@swenergy.org

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[CARSON CITY, NV] – Drivers can save more money by switching to an electric vehicle (EV) in Nevada compared to any other state in the U.S. Southwest, according to new research by the Southwest Energy Efficiency Project (SWEEP), a non-profit organization working to save people money and promote clean transportation. 

“Transportation is the second-largest cost in a typical Nevada family budget,” said Caitlin Gatchalian, Nevada Representative for SWEEP. “Electric transportation is a huge opportunity to save money on getting around, and the opportunity is better in Nevada than in many other places.”

SWEEP found that over a 200,000 mile vehicle lifetime, a Nevada driver could save as much as $14,000 to $36,0000 on the total cost of vehicle ownership – a discount of 15-30% compared to similar models of combustion vehicles. This figure includes the $7,500 federal EV tax credit, which the U.S. House of Representatives is currently proposing to repeal. For comparison purposes, SWEEP calculated savings in terms of net-present value (in other words, how much would it cost to pay for 200,000 miles of vehicle ownership today). 

The savings potential depends on the type of vehicle. Electric pickups tend to offer the greatest overall savings, because they are much more fuel-efficient than gasoline pickups. The difference in fuel efficiency between an electric and a gasoline sedan is smaller, making the overall potential smaller. However, sedans also tend to cost less both up-front and overall than larger cars or trucks. (To explore the full results of SWEEP’s analysis, see this spreadsheet.)

This finding is counterintuitive, since Nevada does not have any state-level tax credits or up-front incentives for EV purchases or leases to draw consumers’ attention to the potential for cost savings. In comparison, Colorado offers a state tax credit of $3,500 and an additional $2,500 for EVs with a manufacturers’ suggested retail price of less than $35,000. In 2024, more than one in five new light-duty vehicles in Colorado were electric, compared to about 15% in Nevada. 

However, the overall savings potential of EVs in Nevada is higher than in Colorado. That’s because gasoline prices in Nevada tend to be on the expensive side. Additionally, NV Energy offers very inexpensive electricity rates for residential and business customers during off-peak hours (overnight and early morning). As a result, EV drivers can save more on fueling up in Nevada than in Colorado – as long as they have access to a power outlet at home or at work. (SWEEP offers a fuel savings calculator, linked here, to explore these factors in more geographic detail.)

Both Nevada and Colorado ranked in the top five nationally for light-duty EV sales in 2024, with Nevada 5th and Colorado 2nd. Nevada did even better than Colorado in medium-duty EV sales, ranking 4th nationally. (Medium-duty vehicles are larger and heavier than passenger vehicles, but not as big as semi-trucks. They are typically owned by commercial fleets, which tend to be looking out for ways to cut costs.)

“Electric vehicle incentives point people towards an opportunity to save money,” said Gatchalian. “The opportunity to save is much bigger than the incentive. The more people that are aware of that, the bigger the benefits will be.”

If Congress were to repeal federal EV tax incentives, more vehicle buyers would likely end up choosing to stick with combustion technology, because people tend to prioritize sticker prices over the total cost of vehicle ownership over time. For example, researchers at the Princeton REPEAT project estimate that nationally, EV sales would drop by 40% in 2030 without federal incentives. If that happened in Nevada, SWEEP estimates that drivers would lose out on $2.8 billion in consumer savings (net present value). (See this blog post for the methodological details behind SWEEP’s calculation.)

Additionally, if demand for EVs fell by that amount as a result of repeal of federal EV incentives, it would pull the rug out from billions of dollars of investments and thousands of jobs in the state – particularly in Northern Nevada, which is emerging as one of the nation’s most important centers for battery and EV technology and manufacturing. 

Potentially making matters worse, Congress is also poised to vote on whether to strike down states’ ability to enforce the Advanced Clean Cars and Clean Trucks programs in the coming days. These policies require manufacturers to deliver more electric and plug-in hybrid vehicles for sale to participating states. (Nevada adopted the Clean Cars program in 2021, but has not updated the regulations since and is not currently participating).

Republicans in the U.S. House of Representatives, joined in part by Nevada Representatives Horsford (D-04) and Lee (D-03), voted to disable this program earlier in May after an extensive campaign by petroleum interests. The U.S. Senate could take up the matter within days. Nevada Senators Rosen and Cortez-Masto will help determine the outcome.

“If Congress rolls back EV incentives or strikes down the Clean Cars and Trucks programs, we’ll waste more money on gas,” said Gatchalian. “States that opt-in are helping to make cost-saving electric vehicles more readily available. Without these tools, we’ll end up with more pollution and less savings.”

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The Southwest Energy Efficiency Project (SWEEP) is a public interest organization promoting greater energy efficiency, clean transportation, and beneficial electrification in Arizona, Colorado, Nevada, New Mexico, Utah, and Wyoming. swenergy.org