Nov 23, 2012 06:12 PM
153528 Views
(Updated Jan 10, 2013 04:49 PM)
There is always lot of debate and confusion over Petrol car and Diesel car. This is a complete review to clarify all doubts about a petrol and diesel cars in economic aspects. Now a days 58% of the passenger cars in all segments are Diesel variant. People blindly go behind with out considering break even point of diesel car .Most of the persons simply calculate the kilometer expenses only.Diesel cars will have always high mileage & better resale value. Its running cost will be almost half of a petrol car.
Roughly a petrol car running cost is Rs.5/KM where as Diesel car running cost is Rs.2.5/Km. This only simple arithmetic, There is lot more economics which is not at all considered by a common man is involved. I am trying to find out the Interesting calculations of a Petrol/Diesel car. A Diesel car will give viable profit only your usage is high. A person with annual usage of 5000 km to 6000 Km can very well buy PETROL CAR. He need not worry about the petrol price hike and even it touches Rs.100/- also he will be benefited .Keeping in mind that the difference of petrol and diesel is maintained almost 25-35% for last two decades.
After lot of calculation and detailed analysis I understood that person with average monthly usage of 500 KM can very well buy a petrol car and it shall be benefit for him even if the petrol price touch century( keeping in mind the that the difference of petrol and diesel is always maintained, it may even narrow in future).One simple example I shall explain.
Let a person have a petrol car. His monthly usage is 500 Km and average is 15 KM/L. Assume the petrol price is Rs.70/L. His yearly expense shall be Rs.28000 for fuel, Rs 2000 for maintenance and service charges Assume that he have a petroll Ritz car of Rs.5.5 Lakhs. If the same person can buy a diesel Ritz car pay paying 6.5 Lakhs and his average is 18KM/L. The diesel cost is Rs.50/L/. His yearly fuel expense shall be 16666 and for fuel and Rs.4000/- as maintenance and service charges and also Rs.1000 /- extra as insurance charges.Here we can see that if he have petrol car his yearly expense is Rs.30000 and in case of diesel car he has to spend only Rs.20666/-. But had he opted for petrol he could keep an amount of Rs. 100000/- in FD @ 9.5% annually This fetch Rs 9500/- as interest . Now we can see that the above said petrol car owner have to spend Rs.20500/-(28000+2000-9500) annually where as Diesel car owner have to spend Rs.21666/-(16666+4000+1000). Resale value of diesel car is always higher, but petrol car case extra one lakh amount is in bank so less worry and stress about is the bonus of a petrol car owner. The resale value of diesel car may change erratchandru021y depends on the decision of central government.
In following tables I have given two examples of petrol and diesel car cost comparison. One is annual usage is 5000 Km and and other is 10000 Km. We can see that in both cases petrol car is cheaper than Diesel car. One can buy a petrol car without worry unless his yearly usage is more than 10K. Readers are requested to post their valuable commends/corrections.
Moushshut .com is providing a good opportunity to the consumers to write their reviews about any product and this has helped me to study about lot of products. This is my second review. Thanks for all readers for their overwhelming response for my first review" A Complete Review RITZ ZXI & a Guidance for Buying New Car" and the link is:
https://mouthshut.com/review/Maruti-Suzuki-RitZ-review-mrmumsrsnr# . Many readers contacted me and informed their feedback, gratitude and opinion about my review and I am happy to know that it has provided adequate information and clarification to many readers. Due to that only I am writing this review. My kind request to the readers is that write your commends and feedback so that it can be discussed in common forums. I want to upload some Excell sheets. But not able to do it. So same thing I copies in Word format and attached with this. Once again Awaiting the feedback from all rRajeev_Vermacted readers.
2012 Petrol Vs diesel Calculation/
Petrol car, Yearly usage 5000 Km
Petrol Price: Rs.70.40, Diesel Price Rs. 50.40( During November 2012)
PetrolSwiftVXI Expense 5000Km/Year
Vehicle cost 5.8Lakhs Interest@10% = 58000
5000k/m /year petrol exp@rs70, 18km/L=20000
Insurance =13000
Maintenance =2500
Interest for FD 70000s@10%(6.5L -5.75L) =7000
Total yearly expenses =86000
Petrol Car Monthly Exp 7166.66667
Note:Rs 75000 can be put in FD
Diesel ritzVDi Expense 5000km/year
Vehicle cost 6.5Lakhs Interest@10%= 65000
5000k/m /year Diesel exp@rs45, 20km/L= 11250
Insurance= 13600
Maintenance= 5000
Total Yearly Expense= 94850
== Diesel Car Monthly Exp 7904.16667==
Note: Diesel car requires Rs 8850 more than petrol car whose yearly usage is around 5000 KM.
Resale value 50000 more for Vdi to VXI
Petrol Car Expense 10000Km/Year
Vehicle cost 5.8Lakhs Interest@10% = 58000
10000k/m /year petrol exp@rs70, 18km/L =40000
Insurance =13000
Maintanace =2500
Interest for FD 70000s@10%(6.5L -5.75L) =7500
Total =106000
Monthly Exp Petrol car =8833.33333
Rs 75000 in FD
Diesel ritzVDi Expense 10000km/year
Vehicle cost 6.5Lakhs Interest@10% =65000
5000k/m /year Diesel exp@rs45, 20km/L =22500
Insurance =13600
Maintenance =5000
Total =106100
Monthly Exp Diesel car =8841.66667
Resale value 50000 more for Vdi to VXI
Note: Up to 10000 km yearly usage diesel car does not give any financial benefit to the car buyers.
Petrol car less NVH, good ride comfort, less strain to legs, good pickup, low maintenance, less starting trouble etc are the benefits of a petrol car owner can enjoy. Government may further increase Diesel price and deregulate diesel price. If it happens!? Think!
