Car Running Costs
in Australia 2020

The total annual costs of transport depend on where you live in Australia. The following costs are separated into two categories, city and regional households. The average household is calculated to have two vehicles in use. The average regional household pays more for costs relating to the greater distances travelled, such as fuel and maintenance costs. The city household is more likely to pay more for registration, CTP and different taxes and charges such as toll roads.

The time of year a car is purchased affects the cost of buying a new car and subsequently the loan amount and interest rates. In 2019, transport cost decreases were seen in the area of car loan repayments. The average weekly two-car household cost in major cities around Australia for car loan repayments was $130.90 and the regional city average weekly cost in Australian was $130.85.

Registration, CTP and licensing costs remain consistently lower in regional cities around Australia, as a result of New South Wales, Victoria and South Australia implementing different policies that allow for different pricing structures in regional and metro areas.

The average weekly cost for households in major cities around Australia was $29.53 and the average weekly cost in regional cities around Australia was $27.90.

Comprehensive insurance is an optional insurance that covers vehicles in the event of damage to the vehicle, theft, collisions, vandalism or weather damage. 34% of fatal accidents occur in metropolitan cities around the country, which could contribute to lower insurance costs for those that live outside of major cities.

The average weekly cost for a two-car household in major cities around Australia was $24.87 and the average weekly cost in regional cities around Australia was $19.73.

These costs are dependent on the amount of wear and tear driving has on the vehicle. Experts recommend tyres be inspected if not replaced every 5 years. Services are recommended every 12 months or every 15,000 kilometres, whichever comes first.

The average weekly cost for a two-car household in major cities around Australia was $29.41 and the average weekly cost in regional areas around Australia was $27.86.

Increases to fuel prices have contributed the most to the rising car ownership costs. Fuel prices increased in 2019 throughout all capital and regional centres except for Alice Springs. 

The average weekly cost in major cities around Australia was $76.23 and the average weekly cost in regional areas around Australia was $79.82.

A toll road can either be a private or public road which requires a fee from users. Tolls are usually put in place to recoup the cost of road construction and maintenance. Only three states in Australia have toll roads in operation, New South Wales, Victoria and Queensland and only in the major cities.

These cities had recorded average spend on road tolls in Australia: Sydney, Melbourne and Brisbane. Sydney came in with the highest average spend on road tolls at $84.60 a week, followed by Melbourne at $50.80 and Brisbane at $51.90.

The national average for roadside assistance in 2019 was $2.08 a week. Roadside assistance is an optional cost designed to help with vehicle breakdown costs such as minor mechanical repairs, towing, flat tyre and battery problems, emergency fuel delivery and lockout service. The fee is usually paid as a one-off annual fee. There is usually no difference between metropolitan and regional cities as roadside assistance providers offer standard statewide pricing.

Source: https://www.aaa.asn.au/wp-content/uploads/2020/02/Affordability-Index-Q4-2019.pdf

Source: https://www.aaa.asn.au/wp-content/uploads/2020/02/Affordability-Index-Q4-2019.pdf

Sydney was the most expensive city for total transport costs, with an average spend of $22,250.88 in 2019 per household. This was an increase from $22,108.61 in 2018. Transport costs counted for 14.4% of the average total household income in Sydney.

The average yearly total transport costs for a household in Wagga Wagga was $13,601.50 in 2019, making it the most affordable regional city in the country for total transport costs. Transport costs counted for 9.7% of the average total household income in Wagga Wagga, which was the best rate for regional cities in Australia.

Melbourne was the second most expensive city for total transport costs, with an average spend of $20,865.73 a year. This was an increase from $20,115.52 in 2018. Transport costs counted for 15.3% of the average total household income in Victoria.

The average yearly total transport costs for a household in Geelong was $13,601.50 in 2019, making it the most expensive regional area in Australia for total transport costs. Transport costs counted for 12.2% of the average total household income in Geelong.

The average yearly total transport costs for a household in Brisbane was $20,582.23 in 2019. This was an increase from $19,844.71 in 2018.Transport costs counted for 16.3% of the average total household income in Brisbane.

The average yearly total transport costs for a household in Townsville was $13,960.44 in 2019. This was an increase from $13,578.52 in 2018. Transport costs counted for 11.6% of the average total household income in Townsville.

The average yearly total transport costs for a household in Perth was $17,993.95 in 2019. This was an increase from $17,830.67 from 2018. Transport costs counted for 13.8% of the average total household income in Perth.

The average yearly total transport costs for a household in Bunbury was $15,668.64 in 2019. Transport costs counted for 13.1% of the average total household income in Bunbury. Bunbury was the most expensive region for registration, CTP, license costs and fuel.

The average yearly total transport costs for a household in Adelaide was $16,896.91 in 2019. This was an increase from $16,282.62 in 2018. Transport costs counted for 14.1% of the average total household income in Adelaide.

The average yearly total transport costs for a household in Mount Gambier was $14,880.54 in 2019. This was an increase from $14,495.59 in 2018. Transport costs counted for 13.9% of the average total household income in Mount Gambier.

The average yearly total transport costs for a household in Hobart was $16,166.64 in 2019. This was an increase from $15,747.11 in 2018. Transport costs counted for 16.8% the average total household income in Hobart.

The average yearly total transport costs for a household in Launceston was $14,815.88 in 2019. Transport costs counted for 16.9% of the average total household income in Launceston, which is the highest rate out of all considered regional towns.

The average yearly total transport costs for a household in Darwin was $16,529.86 in 2019. This was an increase from $16,376.91 in 2018. Transport costs counted for 13.5% of the average total household income in Darwin.

The average yearly total transport costs for a household in Alice Springs was $15,887.16 in 2019. This was an increase from $15,643.60 in 2018.  Transport costs counted for 13.8% of the average total household income in Alice Springs.

The average yearly total transport costs for a household in Canberra was $17,478.65 in 2019. This was a decrease from $17,513.10 in 2018. Transport costs counted for 12.3% of the average total household income in Canberra.

Due to the ACT’s small size and minimal differentiation between suburbs, no regional location was used for analysis of average costs.

What type of car you drive plays a large part in determining the total yearly running costs. Fuel consumption and type, the initial costs of the car, how old the vehicle is, depreciation and maintenance issues all affect the amount a car owner pays for the vehicle.

E.g. Audi A1, Suzuki Ignis, Skoda Fabia

• The average initial cost of a city car is $20,593
• The average fuel costs for a city car over 15,000km are $926
• The average fuel consumption for a city car is 4.6L/100km

E.g. Suzuki Swift, Volkswagen Polo 66TSI, Kia Picanto

• The average initial cost of a small car is $15,890
• The average fuel costs for a small car over 15,000km are $967
• The average fuel consumption for a small car is 4.9L/100km

E.g. Citroen Cactus, Renault Captur, Mazda CX-3

• The average initial cost of a small SUV is $24,623
• The average fuel costs for a small SUV over 15,000km are $1003
• The average fuel consumption for a small SUV is 5.1L/100km

E.g. Toyota Camry, Mercedes-Benz C200, Hyundai Sonata

• The average initial cost of a medium car is $40,960
• The average fuel costs for a medium car over 15,000km are $1217
• The average fuel consumption for a medium car is 6.2L/100km

E.g. Mitsubishi Outlander PHEV, Peugeot 3008 GT, Ford Escape

• The average initial cost of a medium SUV is $42,823
• The average fuel costs for a medium SUV over 15,000km are $797
• The average fuel consumption for a medium SUV is 4.1L/100km

E.g. Lotus Elise, Porsche Boxster, Toyota 86

• The average initial cost of a sports car is $74,626
• The average fuel costs for a sports car over 15,000km are $1464
• The average fuel consumption for a sports car is 7.2L/100km

E.g. Audi Q7, Mercedes-Benz S500e, Porsche Panamera

• The average initial cost of a luxury car is $303,366
• The average fuel costs for a luxury car over 15,000km are $502
• The average fuel consumption for a luxury car is 2.5L/100km