Abstract:

Due to the inadequate public transit system in Brunei Darussalam, personal transportation is common. Brunei has started a national effort to lessen the effects of climate change because the country is not immune to its effects. As electric vehicles are presently very rare in Brunei, this article seeks to determine the total cost of ownership of internationally popular electric vehicles (EVs) and internal combustion engine vehicles (ICEVs) to put things in perspective for the Brunei market. The methodology investigated how the total cost of ownership (TCO) is affected by depreciation, interest repayment, maintenance and repair, fuel costs, taxation, and insurance premiums. The authors have determined that, without any subsidies, TCOs of EVs are predictably higher than popular ICEVs; however, they are comparable to TCOs of European premium brands. The Tesla Model 3 has a TCO of USD 760 per month, whereas a Mercedes Benz C200 has a TCO of USD800 per month. The authors have suggested that a 30% subsidy on the showroom price of EVs be introduced and to improve charging infrastructure as this would be vital to governmental policy planning as Brunei seeks to increase the ownership of electric vehicles to 60% by 2035.