While they can be big money-savers to run, the AAA says electric vehicles can be costlier to own over the long haul.gettyWith AAA-reported gas prices at a national average of $4.45 per gallon of regular grade and $5.35 for premium (it's $6.38/$6.80 in California), it's a reasonable assumption that fuel economy is becoming an increasingly important consideration among new-vehicle shoppers. According to Kelley Blue Book, while consumer interest in full electric vehicles dropped slightly over the first half of 2026, hybrid vehicle consideration was up to 22% of those surveyed – and that's before gas prices took yet another Iran war-fueled surge.To be sure home EV and plug-in hybrid charging is far more affordable than filling up a gas tank these days. The AAA says electricity averages 18.0 cents per kilowatt hour, which makes charging a plug-in hybrid or EV battery about 66%-to-70% lower than per-mile fuel costs for traditional gas vehicles (though it's higher for anyone who relies frequently or solely on public charging stations).But while cheaper running charges certainly do have an effect on an electrified ride's long-term costs, it seems they don't tell the entire story. A given model's depreciation, of which EVs are notorious deficient, can easily negate thousands of dollars in charging savings over a typical ownership period.Depreciation is the costliest ownership expense among all vehicles and it represents how much of a car, truck or SUV's original value is lost over time. According to the 2026 edition of the AAA's annual Your Driving Costs report, average depreciation among all new models is estimated at $4,422 per year over a five-year period, yet EVs in this regard, will suffer much higher drops in value. This is due largely to rapid technological advancements from one model year to the next, concerns about battery longevity and higher market prices. While the average midsize gas-fueled sedan is estimated to lose $3,330 in value per year over a half decade, a comparable EV's value will drop by $6,786 annually.The bottom line here is that the gas-powered midsize sedans studied will cost an average $10,582 per year to own, which is $3,080 less than comparable EVs. Despite electric models having lower maintenance costs, the spread is due to a combination of higher depreciation, insurance, registration fees and finance costs, with the latter a result of their steeper up-front prices.Hybrids, on the other hand, are a better long-term deal. The report finds gas/electric-powered models generate meaningful fuel savings with smaller ownership-cost tradeoffs than full EVs. They also tend to cost somewhat less annually to own than gas-powered midsize sedans, compact and midsize SUVs and pickup trucks.Their data shows that a full-electric midsize sedan will cost an average $13,662 to own annually, while it will be $10,582 with a conventional gas-powered model and $10,204 with comparable a hybrid-powered model. The difference narrows a bit among compact SUVs, however, at $11,888 for EVs, $11,656 for gas-powered and $11,202 for hybrids.EVs actually come out slightly ahead among midsize SUVs at $14,332 annually, vs $14,431 for conventional fuel, though the money savers in this category are hybrids at an average $13,698.For the sake of fairness, the AAA notes that one's driving habits, annual mileage, charging access, incentives, financing and expected ownership period can sway the bottom line one way or the other in any gas vs. hybrid vs. electricity comparison. The bottom line is to closely compare the full range of ownership costs when shopping for a new vehicle, regardless of the size, style or source of propulsion.To that end, the AAA maintains a handy personalized Your Driving Costs online calculator here.