Omari Gates
Fuel efficiency is a top priority for many Australian car buyers, especially those looking at used cars. While hybrid and electric vehicles are becoming increasingly popular, there are still many non-electric, non-hybrid cars that offer impressive fuel efficiency. The most fuel-efficient cars are often more expensive to purchase and maintain, but they can save you money in the long run. So, what is the most economical car in Australia? Well, there are a few contenders for the title.
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What You'll Learn
Electric vs. hybrid vs. petrol/diesel
Electric, hybrid, and petrol/diesel cars all have their own unique advantages and considerations when it comes to choosing the most economical option. Here is a breakdown of each type:
Electric Cars:
Electric vehicles (EVs) have become an increasingly popular alternative to traditional petrol or diesel cars. EVs are known for their low running costs, with estimates suggesting they cost 70% less per kilometre to run than petrol or diesel cars. Maintenance costs for electric cars are also estimated to be around 40% lower. Electric cars are generally quieter and offer improved technical performance, including faster acceleration due to their regenerative braking system. The range of electric cars can vary significantly depending on the model and battery, with some vehicles capable of travelling over 650 kilometres on a single charge. However, it's important to note that electric cars often come with a higher upfront cost, with the average price in Australia being around $10,000 more than the average petrol car.
Hybrid Cars:
Hybrid vehicles combine an electric motor with a petrol or diesel engine, offering improved fuel economy and reduced environmental impact compared to traditional petrol or diesel cars. They are typically more expensive to purchase than pure petrol or diesel cars due to the inclusion of the electric motor and battery. Hybrid cars have two main types: non-plug-in hybrids and plug-in hybrids. Non-plug-in hybrids create their own electricity through regenerative braking and can run on electric power at low speeds, while plug-in hybrids have a larger battery and use the petrol or diesel engine as a backup. Hybrid cars may also be eligible for discounts on stamp duty and registration charges in certain states and territories in Australia.
Petrol/Diesel Cars:
Petrol and diesel cars have been the mainstream choice for decades, but with growing awareness of carbon emissions, their market dominance may change over the next decade. Petrol and diesel cars still account for a significant majority of new car sales in Australia. They often have lower upfront costs compared to electric or hybrid options. When considering the most economical petrol or diesel car, factors such as vehicle size, type, and driving conditions can impact fuel efficiency. Smaller vehicles generally tend to have lower fuel consumption, and a fuel consumption of around 6-8 L/100km is considered good for a small or medium passenger car.
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Running costs
The good news is that cars are now more fuel-efficient than ever before. However, the most fuel-efficient cars are also much more expensive to purchase, have a lower range, and can be more difficult to maintain given the scarcity of parts and servicing knowledge. This means that the higher purchase price of the most fuel-efficient cars puts many of these vehicles out of reach for many Australians.
In general, smaller cars are more affordable, more fuel-efficient, and cheaper to service. However, this advice is of little help to families who need a bigger car.
Some of the most fuel-efficient cars in Australia include the Toyota Yaris, the Toyota Corolla, the Suzuki Baleno GL, the Toyota Camry Hybrid, the Mitsubishi Lancer, the Mazda3, the Honda Civic, the Hyundai Elantra, the Audi Q5, and the Hyundai Ioniq 6.
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Fuel efficiency
When it comes to fuel efficiency, several factors come into play. The size and type of vehicle, the type of fuel it uses, and driving conditions all impact a car's fuel economy. Generally, smaller vehicles tend to be more fuel-efficient than larger ones, and performance-focused cars consume more fuel than regular cars.
In Australia, the Toyota Yaris is known for its high performance and fuel efficiency. With a fuel consumption of 4.9 L/100 km, it offers an average driving range of 816 km. The Mazda2 is another popular small car model known for its fuel efficiency, with a fuel consumption of 5.4 L/100 km and an average range of 814 km.
For those seeking a compact and fuel-efficient car, the Suzuki Baleno GL light hatchback is an excellent choice. It topped the 2020 RACV's Driving Your Dollars survey as the cheapest car to run in Australia, considering initial purchase price, loan repayments, registration, insurance, fuel, and maintenance costs.
Hybrid and electric vehicles are also gaining popularity in Australia. The Toyota Corolla hybrid is a dependable, efficient, and quiet small car model with impressive fuel economy, as low as 4.0 L/100 km. The Hyundai Ioniq 6 offers a sleek alternative to traditional sedans and SUVs, and electric cars, in general, are more energy-efficient than hybrid models.
Other notable mentions for fuel-efficient cars in Australia include the Mitsubishi Lancer (2012-2015 models), Honda Civic (2013-2016 models), Hyundai Elantra (2013-2016 models), and Ford Focus (2012-2015 models).
While electric and hybrid vehicles offer improved fuel economy, they often come with a higher purchase price and more expensive parts. However, as technology improves and government regulations incentivize green-friendly cars, these costs may become more manageable over time.
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Purchase price
The purchase price of a car is a significant factor in determining its overall cost-effectiveness. While fuel-efficient cars are often more expensive to buy, they can offer long-term savings on fuel costs. This is especially true for hybrid and electric vehicles, which are generally more expensive to produce and purchase than petrol-only cars. However, the higher purchase price of fuel-efficient cars can be offset by lower running costs, and in some cases, government incentives for green-friendly cars.
Small cars are generally more affordable to buy and run, and are also more fuel-efficient. For example, the Suzuki Baleno GL light hatchback is one of Australia's cheapest cars, with a purchase price of $18,990. The Toyota Yaris is another small car with a low running cost of $171.90 per week. The Mazda2 is also a popular small car model in Australia, known for its fuel efficiency.
In contrast, larger cars tend to be less fuel-efficient and more expensive to run. For instance, the Toyota LandCruiser heavy-duty four-wheel drive costs $29,369 per year to keep on the road, or $565 per week.
It's worth noting that the initial purchase price of a car is not the only financial consideration. Running costs, including fuel, insurance, registration, and maintenance, can significantly impact the overall cost of ownership. Additionally, the fuel efficiency of a vehicle can vary depending on driving conditions, vehicle weight, and driving style.
When purchasing a fuel-efficient car, it's essential to consider the balance between the higher purchase price and the potential long-term savings on fuel costs. While fuel-efficient cars can be more expensive upfront, they may offer a more cost-effective option over the vehicle's lifetime, especially for those who drive frequently.
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Small cars vs. family cars
When it comes to choosing a car, there are many factors to consider, especially when it comes to small cars vs. family cars. While small cars are typically more fuel-efficient due to their smaller engines and lower weight, family cars offer more space and may be a safer option in an accident. Here's a more detailed look at the pros and cons of each type of car.
Small Cars
Small cars, also known as superminis, are typically very fuel-efficient due to their smaller engines and lower weight. They are also more environmentally friendly as a result. Models like the Toyota Yaris, Mazda-2, and Renault Clio are known for their high fuel efficiency. Small cars are also easier to park and manoeuvre, especially in city traffic and tight spaces. They can be zippy and comfortable at any speed, making them ideal for both city driving and longer motorway trips. Additionally, small cars are often more affordable and cheaper to run.
Family Cars
Family cars, on the other hand, offer more space for passengers and luggage. They are typically mid-sized hatchbacks with seating for five adults and a spacious boot. Models like the Skoda Octavia are known for their generous boot space. Family cars may also be safer in an accident due to their larger size and weight. They are also future-proof, meaning you won't need to upgrade if your family grows. While family cars may be less fuel-efficient, the rise of hybrid and electric options helps improve fuel economy in this category.
In conclusion, the choice between a small car and a family car depends on individual needs and lifestyles. Small cars offer excellent fuel efficiency, manoeuvrability, and affordability, while family cars provide more space, safety, and future-proofing. Ultimately, the most suitable option will depend on personal preferences and specific requirements.
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Frequently asked questions
The most economical car in Australia is the Suzuki Baleno GL light hatchback, which starts at $18,990 and has been named the cheapest car to run in Australia by the RACV’s Driving Your Dollars survey.
Other fuel-efficient cars include the Toyota Yaris, Toyota Corolla, Toyota Camry Hybrid, Audi Q5, Audi A4, Mazda CX-60, Mazda-2, Honda Civic, Hyundai Elantra, Ford Focus, Mitsubishi Lancer, and Suzuki Swift GL.
While hybrid and electric cars are more energy-efficient than petrol cars, they are often more expensive to purchase and maintain due to higher production costs and less popularity.
The fuel efficiency of a car can depend on various factors such as the size and type of vehicle, the type of fuel, and driving conditions. Smaller vehicles tend to be more fuel-efficient, and performance-focused cars generally consume more fuel.
