Should You Buy an EV With CA Gas at $6? A PG&E Guide

Quick answer: For most PG&E customers who can charge at home, yes, an EV is now much cheaper to fuel than a gas car. California regular gas averaged $6.08 a gallon on October 22, 2026, up from $4.61 a year earlier (AAA). At that price a 30-mpg car costs about 20 cents a mile in fuel. An EV charged on PG&E's EV2-A rate between midnight and 3 p.m. costs about 6.4 cents a mile (at 3.5 miles per kWh). The catches: the federal EV tax credit is gone, the big state rebate (CVRP) is closed, and charging at the wrong hour on the wrong plan can cost more than double the cheap rate.

The math, rate plans and incentives below all link to their sources. Rates are PG&E bundled rates (PG&E generation). If a CCA such as MCE, EBCE, SVCE or Peninsula Clean Energy supplies your power, your generation portion is priced differently. See Community Choice Aggregation explained.

How much have gas prices gone up?

Sources: AAA, Oct 22, 2026 (California, regular); EIA, week of Oct 19, 2026 (U.S. average, regular).

Prices have eased slightly in the last week (AAA's California average was $6.24 a week earlier), but they are still far above last year. In Bay Area metros AAA shows San Francisco at $6.15 and Oakland at $6.11.

Gas vs. charging: cost per mile, with the math

Assumptions (change them to match your car):

• Gas car: 30 mpg, paying the California average of $6.08/gal.
• EV: 3.5 miles per kWh, a typical efficiency for a compact or mid-size EV. Check your model's rating at fueleconomy.gov.
• Electricity: PG&E bundled rates from the EV2 tariff, E-TOU-C tariff and E-ELEC tariff.
• Not included: charging losses (some energy is lost between the wall and the battery, so real cost runs somewhat higher), fixed daily charges, and public charging prices.

Formulas: gas cost per mile = price per gallon / mpg. EV cost per mile = price per kWh / miles per kWh.

What it means: 1,000 miles takes 33.3 gallons in the gas car and 285.7 kWh in the EV. Charging off-peak on EV2-A costs about a third as much per mile as gas at today's prices. Even the worst case in the table, EV2-A summer peak, is still below gas, but it throws away most of the savings. When you charge matters almost as much as whether you drive electric.

These are illustrative numbers, not a promise of savings. Your result depends on your car, your miles, your plan, your CCA and when you plug in.

Choosing the right EV for a PG&E household

1. Can you charge at home? This is the biggest question. The cheap numbers above assume you plug in at home overnight or midday. If you rely on public fast charging, your cost per mile depends on the network's pricing and can be much higher. Renters and condo owners should confirm parking and outlet access before buying.

2. Range: buy for your real week, not your longest trip. Add up a typical weekday commute plus errands. If your car can cover several days on one charge, you can confine charging to the cheapest hours and skip the occasional expensive day. Road trips can use public fast charging.

3. Charging port. Many 2025-and-newer EVs use the NACS (Tesla-style) port, while many older non-Tesla EVs use J1772. Match your home charger to your car, or plan on the right adapter.

4. Consider used. A used EV lowers the upfront cost, which matters now that the federal credit is gone. Check battery health with a pre-purchase inspection or the car's own battery report, confirm remaining battery warranty, and look at the incentives below. MyFirstEV gives $1,750 on qualifying certified pre-owned EVs, and PG&E lists a pre-owned EV rebate.

5. Plug-in hybrid? A PHEV qualifies you for PG&E's EV rates, but it does not qualify for MyFirstEV, which covers zero-emission vehicles only.

Home charging setup: Level 2 basics

• Level 1 is a regular 120V outlet. It is slow, but some low-mileage drivers get by with it.
• Level 2 is 240V, the same kind of circuit as an electric dryer or range. It refills a typical daily commute in a couple of hours, which makes it easy to fit all charging into EV2-A's midnight-3 p.m. off-peak window.
• Plug-in vs. hardwired. A plug-in charger uses a NEMA 14-50 or 6-50 outlet. A hardwired charger connects directly to a circuit and can run at higher amperage. Either way, have a licensed electrician check your panel capacity and pull a permit where required.
• Scheduling. Set the charge schedule in your car's app or the charger's app so it starts at midnight, not 9 p.m. On EV2-A, 9 p.m. to midnight is part-peak.

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• Simple, durable plug-in charger: Grizzl-E Classic Level 2, 40A, NEMA 14-50 plug. Adjustable 16/24/32/40A, 24-foot J1772 cable, metal enclosure. It has no app, so set your charging schedule in the car.
• Smart, hardwired charger: ChargePoint Home Flex, hardwired, up to 50A. Wi-Fi app with scheduling, adjustable 16-50A, 23-foot J1772 cable. Needs an electrician to install.

Both use J1772 connectors. NACS-port cars need an adapter. Before you buy, check PG&E's charger rebate rules (below) so you pick an eligible model and keep your receipt.

Best PG&E rate plan for EV owners, and when to charge

Sources: Schedule EV2, Schedule E-ELEC, Schedule E-TOU-C. Summer is June 1-September 30. Peak and part-peak apply every day, weekends and holidays included.

How to pick:

• EV2-A usually wins for households that can do almost all charging between midnight and 3 p.m. and keep heavy home use out of 4-9 p.m. It applies to the whole house, not just the car. Full breakdown: EV2-A vs E-TOU-C.
• E-ELEC is open to homes with an EV, battery storage or a qualifying heat pump. Its winter rates are low across all hours, which can suit homes with heat-pump heating.
• E-TOU-C can still win if your EV miles are low and much of your household usage falls within baseline.

When to charge: start at midnight on EV2-A and E-ELEC, never 4-9 p.m. On E-TOU-C, any time outside 4-9 p.m. is off-peak. More on the time windows: PG&E time-of-use rates and PG&E rate plans compared.

EV incentives in California right now (October 2026)

Federal tax credit: gone for new purchases. The IRS says the new clean vehicle credit (30D), the used clean vehicle credit (25E) and the commercial credit (45W) are not available for vehicles acquired after September 30, 2025 (IRS). The home charger credit (30C) ended for property placed in service after June 30, 2026 (IRS FAQ).

CVRP: closed. California's Clean Vehicle Rebate Project closed to new applications on November 8, 2023 (CARB).

MyFirstEV: open while funding lasts. First-time zero-emission vehicle buyers get $3,500 off a new ZEV with an MSRP up to $50,000, or $1,750 off a used ZEV priced up to $25,000 through a manufacturer's certified pre-owned program. It is applied at the point of sale by participating automakers, is first-come first-served, is not retroactive, and excludes plug-in hybrids and anyone who has owned a ZEV before (CARB FAQ, Governor's office, Oct 16, 2026).

Clean Cars 4 All: income-qualified, scrap-and-replace. Up to $10,000 (up to $12,000 in designated disadvantaged communities) toward a new or used EV, PHEV or fuel-cell vehicle when you retire an eligible older car, through your local air district or the statewide Driving Clean Assistance Program. Household income must be at or below 300% of the federal poverty level. As of August 2026, DCAP's separate Financing Assistance pathway was closed, while its Clean Cars 4 All pathway remained open (DCAP, CARB CC4A FAQ). Apply before you buy.

PG&E Residential EV Charging rebate. Standard customers can get up to 50% of the purchase price of an eligible charger back (apply within 180 days of purchase). Income-eligible customers can get up to $2,000 for charger installation, or up to $5,000 for a panel upgrade plus installation, but must apply before a Trade Ally contractor buys the equipment. CCA customers are eligible (PG&E). PG&E's older Empower EV program closed December 31, 2024.

PG&E Pre-Owned EV Rebate. PG&E lists up to $4,000 back on a used EV (PG&E rebates). Check current eligibility and funding on PG&E's site before counting on it.

Your CCA may offer its own EV or charger rebates. Check its website.

FAQ

Is it cheaper to charge an EV or buy gas in California?

At home on PG&E, usually yes. With California gas at $6.08/gal, a 30-mpg car costs about $0.203 per mile. An EV getting 3.5 mi/kWh on EV2-A off-peak ($0.22558/kWh, midnight-3 p.m.) costs about $0.064 per mile, before charging losses.

How much does it cost to charge an EV in California?

At 3.5 mi/kWh, 1,000 miles uses about 286 kWh. On PG&E bundled rates that is about $64 on EV2-A off-peak, $81-$95 on E-ELEC off-peak, $114 on E-TOU-C summer off-peak, and $154 on EV2-A summer peak. Public fast charging prices vary by network.

Is it cheaper to charge an EV at night?

On EV2-A and E-ELEC, the cheapest window starts at midnight. 9 p.m. to midnight is part-peak, and 4-9 p.m. is peak every day. EV2-A off-peak runs midnight to 3 p.m.

What is the best PG&E rate for an EV?

EV2-A has the lowest off-peak rate and usually wins when you charge in that window. E-ELEC can win for homes with heat pumps in winter. E-TOU-C can win for low-mileage drivers. See EV2-A vs E-TOU-C, or compare with your own bill in the free audit.

Is there still an EV tax credit in California in 2026?

The federal new and used EV credits ended for vehicles acquired after September 30, 2025, and CVRP closed in November 2023. MyFirstEV gives first-time ZEV buyers $3,500 off new or $1,750 off used at participating automakers, and Clean Cars 4 All helps income-qualified drivers.

Should I buy an electric car now or wait?

If you can charge at home and qualify for MyFirstEV, current gas prices make the fuel savings large now, and MyFirstEV funding is first-come, first-served. If you can't charge at home, run the numbers with public charging prices first.

Related guides: EV2-A vs E-TOU-C · PG&E time-of-use rates · How to lower your PG&E bill · PG&E rate plans compared · Why is my PG&E bill so high? · Home energy monitor guide