Whether you’re environmentally conscious or not, when buying a car most people consider fuel economy as part of their purchase decision. However, it might not be saving you the money you think it is.
The reality is hybrids and electric cars cost more to produce than those that run on petrol. They’re also still less popular, which means not only do you have a higher purchase price but the parts are also more expensive.
Take the Mitsubishi i-MIEV. It was released in Australia in 2011 at a purchase price of $65,000 with a total battery range of 100-160km that an equivalent sized petrol car cost $12,990. By the end of that same year Mitsubishi dropped the price to $48,800 to stimulate sales but it didn’t work. The car has now been withdrawn from the Australian market.
Therefore choosing fuel efficiency becomes a more personal choice of priorities: is your aim to pay less overall or reduce your impact to the planet? If you said bottom-line cost, then you need to factor in all costs, not just fuel.
There’s no doubt this will change over time as government regulations in Australia catch up to incentivise green-friendly cars (as they do in many other countries) and technology continues to advance. However, for now at least, it remains that small electric cars aren’t always suitable or the most cost effective options.
Here’s an overview of the overall five-year cost of the top 10 most fuel-efficient cars in Australia, compared with the top 10 most popular cars.
Australia’s Top 10 most fuel-efficient cars:
| Fuel type | Fuel consumption L/100km | Base purchase price | Annual finance cost | Annual registration cost | Annual insurance cost | Annual fuel cost | 5-year maintenance and repair cost | Total cost over 5 years | ||
| 1 | BMW i3 | Electric | 0 | $63,900 | $15,732 | $284 | $1,864 | $0 | $8,820 | $98,220 |
| 2 | Mitsubishi i-MIEV | Electric | 0 | $48,800 | $12,012 | $232 | $1,720 | $0 | $3,600 | $73,420 |
| 3 | Nissan Leaf | Electric | 0 | $39,990 | $9,840 | $284 | $1,430 | $0 | $4,441 | $62,211 |
| 4 | Holden Volt | Hybrid | 1.2 | $59,990 | $14,772 | $433 | $1,490 | $229 | $3,276 | $87,896 |
| 5 | Audi A3 | Hybrid | 1.6 | $62,490 | $15,384 | $232 | $1,263 | $305 | $6,732 | $92,652 |
| 6 | Mitsubishi Outlander PHEV | Hybrid | 1.9 | $47,490 | $11,688 | $433 | $1,139 | $362 | $4,811 | $75,093 |
| 7 | BMW i8 | Hybrid | 2.1 | $299,000 | $73,608 | $284 | $2,798 | $400 | $13,230 | $398,680 |
| 8 | Porsche Panamera | Hybrid | 3.1 | $296,900 | $73,092 | $433 | $2,906 | $591 | $12,980 | $398,090 |
| 9 | Porsche Cayenne | Hybrid | 3.4 | $139,200 | $34,272 | $433 | $2,804 | $648 | $11,992 | $220,249 |
| 10 | Toyota Prius | Hybrid | 3.9 | $32,490 | $8,004 | $284 | $1,127 | $743 | $5,494 | $56,284 |
Australia’s Top 10 most popular cars:
| Fuel type | Fuel consumption L/100km | Base on-road purchase price | Annual finance cost | Annual registration cost | Annual insurance cost | Annual fuel cost | 5-year maintenance cost | Total cost over 5-years | ||
| 1 | Toyota Corolla | Petrol | 6.1 | $24,440 | $6,012 | $433 | $1,080 | $1,164 | $5,868 | $49,302 |
| 2 | Mazda 3 | Petrol | 5.7 | $24,490 | $6,012 | $433 | $1,008 | $1,092 | $4,992 | $47,715 |
| 3 | Hyundai i30 | Petrol | 7.3 | $24,490 | $6,024 | $284 | $1,068 | $1,391 | $4,992 | $48,826 |
| 4 | Holden Commodore | Petrol | 9.0 | $34,980 | $8,616 | $433 | $1,540 | $1,715 | $5,976 | $67,491 |
| 5 | Toyota Hilux | Diesel | 7.3 | $53,990 | $13,296 | $433 | $1,490 | $1,653 | $3,840 | $88,201 |
| 6 | Mazda CX-5 | Petrol | 6.4 | $32,990 | $8,124 | $433 | $1,161 | $1,219 | $8,448 | $62,382 |
| 7 | Toyota Camry | Hybrid | 5.2 | $30,490 | $7,248 | $433 | $1,128 | $991 | $4,574 | $53,574 |
| 8 | Volkswagen Golf | Petrol | 5.4 | $23,490 | $5,784 | $433 | $1,128 | $1,032 | $5,424 | $46,562 |
| 9 | Ford Ranger | Diesel | 6.9 | $47,690 | $11,736 | $433 | $1,487 | $1,314 | $5,784 | $82,447 |
| 10 | Mitsubishi Triton | Diesel | 7.1 | $39,490 | $9,720 | $433 | $1,279 | $1,391 | $3,840 | $67,956 |
When you compare the five-year running cost of the most popular car in Australia (the Toyota Corolla) to the cost of the greenest car in Australia (the BMW i3) the difference is an outstanding $48,918 more expensive to go green. Unfortunately, the higher purchase price of the most fuel efficient cars puts most of these vehicles out of reach for most people, with the more cost-effective of these vehicles tending to be too small and impractical for most Australian families.
Unfortunately at present, fuel efficiency doesn’t always mean cheaper. Hopefully one day it will be, but until then if your priority is reducing your bottom-line costs then you need to factor in more than just fuel efficiency for your next car purchase.
For more auto related tips and tricks from The Blue Toro Blog, check out these stories:
- Will Your Car Survive Your Next Road Trip?
- Why You Need To Check Your Spare Tyre
