It is becoming more and more unaffordable to keep your car on the road, though there is one way to dramatically reduce costs. But there is a catch.
As fuel costs rise to record highs, Aussie motorists are considering ditching their current cars to save cash.
New research from car subscription service Carbar has shown that fuel is the biggest ongoing cost for car owners. E10 and 91 RON unleaded fuel is close to $1.90 a litre, while premium fuels are north of $2.
On average the survey showed motorists paid on average about $2000 a year on fuel. This was more than the cost of depreciation ($1758), maintenance ($1024), insurance ($970) and registration ($925).
Two thirds of all respondents said the rising cost of fuel was putting a strain on their household budget.
The high-running costs associated with petrol and diesel vehicles have Aussie buyers considering a switch to an electric car.
Many Aussies said they would consider ditching their petrol/diesel cars and buy an electric car in the next two years.
However, the high cost of electric cars at the moment would be a considerable hurdle for many new car buyers.
Carbar chief Des Hang agrees that the cost of electric cars are a big roadblock.
“Clearly, rising petrol prices are encouraging more Australians to look into EVs. But with many EVs still costing Australians over $40,000 to own, there is some hesitancy,” he said.
Australians bought about 5150 electric cars in 2021 according to the Federal Chamber of Automotive Industries. This is a rise of close to 200 per cent on the previous year.
This figure doesn’t include Tesla, which doesn’t report its sales figures publicly, but is estimated to have sold about 10,000 vehicles in the past year.
Hyundai’s Ioniq 5 was award News Corp’s Car of the Year, the first time the accolade was given to an electric car.
Despite the sharp rise electric cars still represent a small part of total sales. And the lack of emissions targets and government incentives has lead manufacturers to hold some of the best and most desirable new electric cars from the Australian market.
Volkswagen is one maker that has prioritised markets such as Europe for its range of new vehicles including the more affordable ID.3 and the ID.4 that was named World Car of the Year.
Currently the cheapest electric car on sale in Australia is the MG ZS EV. The Chinese electric SUV is priced from $44,990 drive-away.
Aussie outfit Carbar gives Aussies keen on an electric car a chance to get in one for less.
The subscription service gives owners access to an electric car for a set weekly fee that includes registration, insurance, maintenance, servicing and roadside assistance.
The weekly costs are high compared to leasing a petrol-powered car, but the service gives users the ability to swap cars and there are no lock-in contracts so you can cancel anytime.
Extracted from News.com.au