However it is very likely that fuel will continue to grow as a dominant cost of car ownership. This makes a vehicle's fuel consumption an even more important factor when choosing your next car
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Perth, WA (PRWEB) August 20, 2008
New statistics released by the RAC show motorists are spending up to $50* a week more to run their car than they did last year. The results of a vehicle operating costs survey shows four wheel drive owners being the hardest hit with the rising costs of fuel.
4WD owners are the hardest hit with the rising cost of running a car with some likely to pay $2,400 more to own and operate their vehicle this year than last but the owners of smaller cars are also paying at least $430 a year more.
In the past year, overall costs have increased by about seven per cent; however the cost to run some vehicles has increased by up to 12 per cent.
The growing costs can be attributed to a 25 per cent rise in fuel prices in the past year and the increasing price of servicing and repairs which has jumped by up to $7 a week for some classes. Recent interest rate hikes are also taking their toll on motorists, with interest up by almost $23 a week for some classes.
The RAC's Executive Manager Member Advocacy David Moir said fuel was now second only to vehicle depreciation in the total costs across all categories. Last year, fuel was the third highest cost in owning and operating a vehicle.
"On average, fuel now makes up 20 per cent of the total cost; depreciation counts for between 30 and 50 per cent," Mr. Moir said. "The RAC's report shows that while the rising cost of fuel is very high on motorists' minds the hidden cost of depreciation is still the biggest cost in owning and operating a vehicle."
"However it is very likely that fuel will continue to grow as a dominant cost of car ownership. This makes a vehicle's fuel consumption an even more important factor when choosing your next car," Moir continued. The other standing costs of car insurance and registration make up eight to 12 per cent and finance 14 to 20 percent.
In 2007 the owner of a Nissan Patrol would have paid an average weekly cost of $274; this year the same vehicle is again the cheapest in its class but it now costs an average of $325 a week to run; a difference of about $50.
"Small car drivers fare better than those with people-movers and 4WDs. While a Hyundai Getz costs about $120 a week to run, Toyota Landcruiser drivers are paying more than triple those costs -- about $405 a week," Mr. Moir said.
However Mr. Moir said when buying a car, people needed to be aware of the car safety rating as well as its cost efficiency. "The RAC recommends that people purchase vehicles with a four or five star safety rating. Some of the cheaper vehicles like the Hyundai i30, which costs its owner $152 a week on average to run, also have a four or five star safety rating," he said.
LPG vehicles are cheaper than petrol, saving drivers up to $20 a week compared to petrol. However, diesel and hybrid vehicles, despite their better fuel consumption and other environmental benefits, are more expensive to run than petrol versions; it costs up to $30 a week more to run a diesel car than it does to run its petrol equivalent.
This year and last, the hybrid Toyota Prius has been the most expensive small car. In 2007 it cost $203 a week to run. However this year the same vehicle costs its owner $215 a week; an increase of about $12 a week.
RAC offer a range of car insurance and vehicle information. For the full list of cars surveyed visit the RAC website.
*Please note: All figures are rounded to the nearest dollar.
For each vehicle in the following guide, average costs are based on private vehicle ownership over five years from new, with an average annual distance travelled of 15,000 kilometres and a cumulative average of 75,000 kilometres. The vehicles selected are the major sellers in each class.