EV Battery Replacement Cost
Battery technology is changing at an astounding rate. The cost of batteries is going down and expected to continue to drop. Plus, EV battery packs have a warranty from the automaker of eight years or 100,000 miles. Add to that the fact that today’s batteries are built to last longer than the cars they serve. Chances are that you will sell your EV for another zero-emission vehicle long before you need to replace the battery.
But that’s not the question, is it? The question on the table today is, what would it cost to replace the battery pack in your EV? Let’s find out.
The Cost to Replace an EV Battery
Depending on the EV you drive, replacing the battery pack could be free if your car is still under warranty, or it could cost up to $20,000, or more, depending on the make and model of car.
The batteries used in hybrid vehicles such as the Toyota Prius are smaller and less expensive to replace than the large and heavy battery packs found in vehicles such as the Ford F-150 Lightning pickup truck or Tesla Model S sedan. For instance, replacing the battery in a Prius might only cost you $2,700 while replacing the battery pack in that Tesla could set you back tens of thousands of dollars.
As of this writing, battery replacements are vey rare, in the single-digit percentage range – less than the chances of something major going wrong with a gasoline engine. As such, there isn’t much information out there on costs to replace EV batteries. So, consider that the cost of batteries will continue to drop as more people purchase EVs. The price you pay today will likely be more than if you replaced the battery ten years from now when it is showing signs of battery degradation.
The Department of Energy’s Vehicle Technologies Office estimates the cost of electric vehicle lithium-ion battery packs have declined 89 percent between 2008 and 2022, using 2022 constant dollars – and the price of lithium as a raw material continues to drop. A recent report by McKinsey & Company suggests that EV batteries could drop a further 70 percent in price by 2025. According to this study, the price of lithium-ion EV battery packs could fall from $500-$600 per kilowatt hour today to around $160 by 2025 due to a rise in EV sales and a drop in component prices.
EV Battery Replacement Costs: Third-Party Batteries
So far, we have only talked about the replacement battery cost through the manufacturer. But third-party batteries could cost less. Companies such as hybrid2go and evsenhanced.com offer full-service battery replacement with lifetime warranties.
What would it cost to replace the battery in a few of America’s favorite all-electric cars, the Nissan Leaf and Chevy Bolt? As of this writing, the battery would cost approximately $6,200 for the Leaf and $16,000 for the Bolt. The popular BMW i3’s replacement battery runs around $13,500. However, you can find replacement batteries for both the Bolt and the i3 on eBay for as little as $2,500.
The vehicles that offer the most range, and therefore have the largest battery packs, obviously cost more to replace. The Tesla Model 3 will take you over 300 miles on a charge and the replacement battery costs around $16,000. Labor costs to replace that Tesla battery will run you an additional $2,300. That’s because swapping out the battery pack on most electric cars is a complicated task, similar to replacing the engine in a gasoline-powered car.
While the physical labor only takes a day or so, getting the replacement battery can take weeks. Also keep in mind that not all battery replacements mean that you need to replace the entire battery pack, Sometimes the mechanic can just replace the defective cells to save you time and money.
Should I Worry About Batteries Failing?
While the price of a replacement EV battery can be shocking, data from industry researchers Recurrent Autos shows that EV drivers have little to worry about in terms of battery failure. Using data from around 15,000 drivers signed up to the company’s platform, their team of scientists discovered that battery replacements were very rare, with only about 1.5 percent of EVs needing a replacement – and almost all of those replacements were under warranty. U.S. law mandates at least 8 years and 100,000 miles of coverage – meaning battery warranties are significantly longer than new-car warranties.
Furthermore, Reccurent's data shows that concerns about battery degradation over time – similar to how your smartphone’s ability to hold a charge deteriorates – are largely unfounded. Only early Nissan Leaf models showed significant battery degradation after 10 years, with most EVs tracked retaining over 90 percent of their original capacity even after heavy use. And, outside of two models – the Chevrolet Bolt EV and EUV and the Hyundai Kona Electric – which were subject to large battery recalls, and had replacements provided under warranty – replacement rates remained very low, with no more than 5 percent of EVs requiring a new battery.
