The debate over whether electric vehicles (EVs) are better than gasoline cars, and whether the grid can sustain increasing EV demand, is becoming irrelevant. The reality is, the century-old electric grid, as we know it, is on its way out.

A Parallel to Landline Phones

Think about landline phones. When was the last time you used one? Many homes abandoned them over a decade ago, and while some still serve niche purposes like alarm systems, even those are shifting to cellular solutions. The grid will follow a similar trajectory—outdated and unnecessary within the next decade, if not sooner.

The Rise of Solar and Batteries

Why? Because solar panels and batteries are becoming ubiquitous, eliminating the need for traditional grid infrastructure. Let’s look at the numbers:

• • Electricity Costs: The global average electricity price is around $0.12 – $0.15 per kWh.
  • EV Efficiency: The average EV has an 80 kWh battery and a 300-mile (500 km) range.
  • EV Charging Cost: At $0.12 per kWh, driving 500 km costs about $12.

Compare that to gasoline:

• • Gasoline Costs: The global average price is $1 per liter.
  • Gas Car Efficiency: An average car with a 50L tank has a 750 km range.
  • Gasoline Driving Cost: For 500 km, you need 33 liters, costing $33—almost 3x more expensive than electricity.

The Grid’s Fatal Flaw: Delivery Costs

Half of your electricity bill isn’t for the energy itself—it’s for delivery. The wires, poles, transformers, and infrastructure that bring electrons to your home account for 50% of the cost. Even if energy generation became free (through nuclear fusion or other advances), grid costs wouldn’t drop below half of what they are today. Worse, these grids are managed by bureaucratic, slow-moving monopolies that operate on cost-plus models, guaranteeing themselves profits while consistently raising rates above inflation.

Solar & Batteries: Already Cheaper Than the Grid

The numbers make it clear:

• • Solar panels: $0.20 per watt.
  • Battery storage: $0.15 per watt-hour.

Let’s do the math:

• • Solar panels generate electricity for about 3 hours per day (conservatively).
  • $0.65 of investment (solar + battery) produces 3 watt-hours of electricity daily.
  • Over 365 days and a 20-year lifespan, that investment generates 20 kWh.
  • Effective amortized cost: $0.65 / 20 kWh = 3 cents per kWh.
  • Doubling this for financing over 20 years still results in 6 cents per kWh.

That’s less than half the worldwide average of 15 cents per kWh—and dramatically lower than California’s 40 cents per kWh rates.

It’s important to note that these numbers do not include labor costs, which can more than double the total system price in some regions. However, the key trend is that solar panel costs have fallen 15x in the last 15 years, and battery costs have dropped 5x in just the last five years. Like all technology-driven industries, these costs will continue to decline, making the economics of grid independence even more favorable in the coming years.

Conclusion: The Grid is Unsustainable

With solar and batteries already cheaper than the grid, the traditional utility model is doomed. Just like landlines, centralized power distribution will become a relic of the past. The future is distributed, autonomous, and powered by cheap, abundant solar energy stored in batteries everywhere. The grid, as we know it, is already on borrowed time.