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Rising Interest in Fuel-Efficient Vehicles Among Australians
In recent findings from Compare the Market, it has been revealed that over a third of Australians, specifically 38.1%, are contemplating purchasing a new car within the next three years. While a majority, 56.5%, are inclined towards conventional petrol or diesel vehicles, those considering hybrids or full-electric models are poised to save substantially on running costs.
David Koch emphasises the potential financial benefits of choosing fuel-efficient hybrids or fully electric cars, highlighting that motorists can save nearly $1,000 annually by switching to models like the Toyota RAV4 Hybrid over the petrol version of the Mitsubishi Outlander. Furthermore, individuals deciding on the fully electric BYD Sealion 7 can expect savings of nearly $1,500 a year when charged at home under the average single tariff electricity plan.
Car Ownership Costs
The Australian Car Ownership Index, published annually, assists motorists in comprehending the expenses involved in owning and maintaining a vehicle.
Below is a comparison of three popular car models, outlining their costs for potential buyers:
| Cost Category | Mitsubishi Outlander Exceed (ICE) | Toyota RAV4 Hybrid Cruiser (HEV) | BYD Sealion 7 Premium (BEV) |
|---|---|---|---|
| Purchase Price | $57,050 | $55,088 | $56,780 |
| Car Loan Repayment (5-year term) | $13,147 | $12,379 | $12,722 |
| Annual Servicing (average of first 5 visits) | $340.00 | $270.00 | $351.40 |
| Fuel/Charging Costs | $2,247.75 | $1,304.25 | $778.08 |
| Comprehensive Insurance (average) | $1,827.10 | $1,978.27 | $1,840.25 |
| Registration and CTP (QLD) | $708.35 | $708.35 | $646.70 |
| Total Cost per Year | $18,270.40 | $16,640.07 | $16,338.83 |
These figures reveal that selecting a hybrid or electric vehicle can translate to significant savings in both fuel costs and annual maintenance, proving advantageous in the long-run.
Loan Considerations and Green Options
With 28.1% of respondents planning to finance their next vehicle with car loans, considerations around loan terms are critical. Many lenders now offer reduced interest rates for purchasing hybrids and electric cars, which could lead to savings of hundreds or even thousands of dollars over the life of the loan.
In addition, eligible individuals might also benefit from government incentives through novated leases for select electric vehicles, which in turn could translate to substantial tax exemptions.
The Importance of Shopping Around
However, prospective car owners should remain vigilant about insurance costs, which can vary significantly among different models and insurers. Thus, diligent research and comparison are crucial to secure the best deals on fuel, electricity, and car insurance.
Conclusion
In conclusion, as the automotive landscape in Australia evolves, there is a growing trend toward greener, more fuel-efficient vehicles. This shift not only aligns with environmental objectives but also offers long-term cost-saving benefits. With new models arriving on the market and incentives becoming more prevalent, many Australians may find hybrid and electric cars to be a financially sound choice for their next vehicle purchase.
For further insights on car ownership and costs, readers can refer to Compare the Market’s research.
