We seem to be confusing two issues here. First why is electrcity cheaper than gasoline as a power source? The overall efficiency is slightly higher (not “wildly”) with coal powered electricity that with gasoline. Due to engine warmup, and overall lower engine efficiency, we have more losses, so a gas powerd motor may have an overall efficiency of 25% maximum, while coal fired electricy from a large plant approaches 42%, with an electric motor efficiency of 95% in the car. So we are comparing .95x.42=39.9% for the electric with 25% for the gas engine.
At this stage we’re not counting the regenerative braking, which can further increase the electric car’s efficincy if it had a large battery.
As for cost, coal is a very cheap source of power, and there is no road tax on electric power for your car. Where I live nearly all power is generated from coal (at about 12 cents per kilowatt-hour) and an electric car would cost about half as much as a gas powered car to fuel and operate.
However, if we do a “source to wheels” analysis of carbon dioxide generated, we get MORE CO2 with an electric car using 100% coal generated power. This fact is conveniently ignored by uninformed environentalists, and informed ones, such as Al Gore. In other words, the US public is being lied to by the Sierra Club, Green Peace, and others as well as politicians. The Coal Lobby strongly supports electric cars, for good reason. Most US power is still gerated by coal and that will be true for many years to come.
Just went to a car show where they had 4 electric cars, and no one manning the displays had a clue as to how much Carbon was saved, if any by buying an electric car.
But, if you live in Washington state where most power comes from hydro sources, you can drive an electric car with a clear conscience. A big benefit of electric cars anywhere is the lack of URBAN pollution, since the pollution, if any, is generated far away and better controlled, at the power cource.