The QUESTION : Beat Petrol (or) Diesel:
Related Facts :
1. Premium for a Diesel Variant :
Chevy Beat Petrol : PS Model :On Road Price : 4,43,585 (Car wale website / Chennai Price)
Chevy Beat Diesel : PS Model : On Road Price : 5,36,514 (Car Wale website / chennai price)
Extra Diesel Premium : Rs 92,929.00
2. Running Cost / KM :
Chevy Beat Petrol : City mileage : 12 (on the higher side) / Highway mileage : 17(on the higher side)
Cost per litere of petrol (Chennai) : Rs 70
Rate per KM : City : 5.83 / Highway : 4.11
Chevy Beat Diesel : City Mileage : 16 (on the higher side) / highway mileage : 23(on the medium side)
Cost per litre of diesel (chennai) : 50
Rate per KM : City : 3.12 / Highway : 2.17
Excess Cost incurred by pertrol beat for every KM:
Amount saved by diesel beat for every KM:
City : 2.17 (5.83 - 3.12)
Highway : 1.95 (4.11-2.17)
3. Resale Premium Factor for diesel :
It is highly important to note that diesel cars command a higher resale price in the second hand market.
So the premium we will bepaying for a diesel engine Rs92,929 - A huge part of it will be recoverd when you dispose your vehicle.
Recovery ratio of the premium can be any where between 60% to 75%. (if sold in the 5th year)
By opting the least to 60% recovery , the premium you can demand for a diesel is at Rs 55,757 extra for the diesel model.(92929@60%)
So your NET Outflow for the diesel model will come down to Rs 37,171 (92929 - 55757)
4. Other factors to be considered :
Interest Loss on diesel premium paid : Rs 1o,222 for every year of owner ship (92929 @ 11%)
Note : Now a days Maintenance cost for diesel cars are in the same line with petrol, so it can be ignored.
The ULTIMATE Decision:
Basis : 5 years ownership :
Extra cost incurred for diesel car:
POINT 3 : Rs 37171 (initial premium for a diesel - net outflow)
POINT 4 : Rs 10222*5years = Rs51110 (Interest cost indirect outflow @ 11% on diesel premium paid)
NET EXCESS capital outflow for a diesel : Rs 88281 - For 5 years
For 1 year : Rs 17656 (88281/5)
Now it is only this above amount you will be Indirectly paying extra on a diesel car in one year ,
Now adjust the cost Rs 17565 with the savings in running cost as mentioned in POINT no 2 above:
It works out as below:
BREAKEVEN KM for a DIESEL BEAT: (For a year)
FULL CITY USE : 8136KM (Rs17656/2.17)
FULL HIGHWAY USE : 9054KM (Rs17656/1.95)
Its advisable to buy DIESEL - if you plan to use more than 20 KM per day of usage on an average :
My Advice :
Instead of looking at how much you will be saving by buying a diesel car, Just look into this fact - you will not lose much in owing a diesel car ( even your usage is low)
Just consider the satisfaction & smile one will be having when refilling a diesel car.
Note : I will opt for a petrol car under only one circumstance - If im short of budget & cannot spend more than 4.5 lakhs for a car.
If u can stretch ur budget to more than 5 lakhs - Then Close ur eyes buy a DIESEL car.
No doubt - Diesel cars gonna rule the future. Also i personally love DIESEL fuel - Reason its 40% more efficient than petrol . So i can even argue " Go Green - Buy Diesel Car"
Thanks & Regards