Costs of running vehicle rise 3%

RESEARCH by the RACT has revealed the average cost of owning a car is now more than $217 a week — 3 per cent higher than last year.

The survey analysed the cost of ownership, taking into account running costs such as fuel and maintenance, plus car prices, registration and insurance.

“Higher fuel prices was the main contributor to the rise,” RACT general manager mobility services Darren Moody said yesterday.

“In recent months, fuel prices have rapidly risen to 2014 levels, and despite newer vehicles using on average 9 per cent less fuel than they did four years ago, the significant increase at the pump has driven ownership costs above annual CPI increases.”

Hobart families are feeling the pinch after fuel prices reached their highest point since 2014 this month, with no relief in sight.

The weekly average price of unleaded petrol rose to 158.3c a litre in Hobart – the highest level in 3½ years, according to Commsec senior economist Ryan Felsman.

The large SUV car category saw the biggest increase with costs jumping an average of $11.50 a week to run compared to last year, again directly reflecting higher fuel consumption of that category and the increasing cost of fuel.

The most expensive petrol car was a Mercedes E200 saloon, costing $433 a week, while the Tesla Model S electric vehicle was $385.85 per week. Despite the Tesla’s higher cost on the initial purchase, recharging and servicing was less than half the price of a traditional engine vehicle.

The Mitsubishi Mirage in the micro car category was the cheapest car costing, just more than $105 per week to operate.

“Buyers are in a strong position to negotiate a new car purchase at present with dealers carrying stock as new cars sales slow,” Mr Moody said.

The RACT analysis was based on a five-year ownership where the car is driven an average of 12,000km a year.