Skoda Octavia Elegance 2.0 TDI 2008 Review

RRP: $33,490
Price as tested: $46,700 (DSG $2300, metallic paint $630, sunroof $1730, leather/heated front seats $2830, front and rear park distance control $990, 17-inch alloys/sports suspension $1840, satellite navigation $2890)
Crash rating: Four-star (Euro NCAP)
Fuel: Diesel
Claimed fuel economy (L/100km): 6.4
CO2 emissions (g/km): 169
Also consider: Ford Mondeo TDCi, Volkswagen Jetta 2.0 TDI, BMW 120d

Overall rating: 3.0/5.0
Engine/Drivetrain/Chassis: 3.5/5.0
Price, Packaging and Practicality: 3.0/5.0
Safety: 3.5/5.0
Behind the wheel: 3.5/5.0
X-factor: 3.0/5.0

Is there any front-wheel-drive small car available in Australia that is so good it will support a pricetag of $45,000 plus? And if were it the case, would you buy it if it wore a Skoda badge?

The Skoda Octavia tested here is an object lesson on why buyers need to be careful not to be seduced by the options game with any European car.

The Skoda Octavia on test was effectively optioned up to replicate the $37,490 Octavia RS, the top Octavia model that virtually comes with everything including VW's turbo petrol engine but no DSG semi-auto or diesel options.

It seemed an odd specification because no one in their right mind would spend close to $50,000 on a car that starts as a $29,990 special and suddenly finds itself against some serious opposition -- including three really good siblings based on the same platform from the Volkswagen stable.

So the initial verdict of this test has to be blunt -- the Octavia is a good, even very good car, but not so good that it can realistically support a pricetag much over $35,000… Especially when its logical 1.8-2.0-litre petrol competition starts at $19,990. End of story. Next…

However, start from a more realistic base and the Octavia can add up. The Elegance variant with the 103kW diesel engine and six-speed manual is not excessive at $33,490. DSG (Volkswagen's benchmark twin manual/clutch package that works better than most autos), as good as it is, pushes it up to $35,790 at which point, most small car buyers want leather. In this case, leather only comes with heated seats.

Metallic paint is also a must have at this level for a small car except the option cost is more than double the usual ask but at least there is a choice of a red, white and blue before you tick the metallic option. Because the 17-inch alloy wheels come only as part of a sports suspension package which tries to change the Octavia diesel into something that it is not, the Elegance's standard 16-inch alloys are good enough.

An Octavia diesel with DSG makes much more financial sense as soon as it pulls up well under $40,000, a proposition that even Skoda has needed to face with recent driveaway deals.

The only problem left to cloud the issue is defining the Octavia's size. With pricing that is more consistent with an imported medium car range (it shadows the much bigger Ford Mondeo almost to the exact dollar) and a locally-built large car, it is still a small hatch no matter what Skoda says.

Although Skoda describes Octavia as a sedan, it is not -- the rear opens up as a hatch. Its 4572mm length, 2578mm wheelbase, 1462mm height and 1769mm width also define it as a small car, when the Corolla sedan figures are 4540, 2600, 1475 and 1760mm respectively.

However, its weight of 1370kg provides a clue to the Octavia's appeal. Although it scores a four-star safety rating in Europe, Australian authorities go to some lengths to point out that the local Octavia might exceed this when Australian deliveries feature side curtain airbags and intelligent front seat belt reminders not fitted to the EuroNCAP test car.

Come to terms with all this and it's not surprising that Skoda is rapidly building up a new local fan base when it has a tight, substantial feel not normally experienced in this size. It is one of the few test cars of late that I didn't want to give back.

If you wanted any country to engineer out the autobahn harshness of most modern European cars (especially Volkswagens) which compromises them for too many Aussie roads, you would normally head to Australia. After that, you would have to consider the Czech Republic as that country's roads have more in common with ours than its more developed Euro neighbours. Indeed, before communists excesses undermined Skoda's integrity, the marque had a strong Aussie following based on its suitability for local conditions. It's poised to do it again.

Even though the test Octavia had the firmer sports suspension and harsher 45 profile 17-inch tyres, its ride quality was still very good. On the standard 16-inch wheel and tyre combination, it must be exceptional even if handling on smooth surfaces might not be as direct or as crisp as some of its harsh-riding competition.

Its tight 10.2m turning circle, compact size and superb all-round vision makes city driving in an Octavia arguably more enjoyable than any other car in the mid-$30,000 price range. The Octavia very quickly becomes an extension of the driver, which is also a product of the DSG transmission fitted to the test car.

The way this transmission shifts gears faster and smoother than most good manual drivers -- without the slush and slip of an automatic -- is something to be experienced. With the powerful, torquey diesel, it is also hard to wrong foot this combination, no matter what you demand of it.

Overtaking is a seamless rush of diesel grunt followed by a machine gun-like sequence of gear changes as the diesel holds court in the fattest part of its torque-delivery.

It is an entirely different experience to a conventional high-performance petrol engine but no less impressive. The only drawback to DSG is that you cannot rush a switch from drive to reverse and back in a hurried three-point turn like you can in a true automatic.

Allowing for the rear seat that can't really cater for more than two full-sized adults comfortably (in terms of width), the cabin accommodation is outstanding for such a compact exterior. The luggage compartment is also cavernous and easily extended with 60:40 split fold rear seats.

If you are tired of harsh plastics and lack of storage in cheap small cars, you get what you pay for in the Skoda. It feels a class act when everything seems high quality with exactly the right storage compartment where you need it including a neat dash top unit. There is also a deep hidey hole under the front passenger's seat that came in very handy to protect a camera from the extreme heat encountered during the test period.

The Octavia feels expensive, an impression reinforced by the clear instrument cluster that includes a temperature gauge. Its dual-zone climate control in combination with the high mounted centre vents will cool the whole cabin without freezing the driver's hand.

The main jarring notes are the undamped flipper-style overhead grab handles and the dreadful CD-based SatNav system that is slow and not intuitive. You access it through an array of tiny buttons located around the screen that are fiddly, not always logical and seem to randomly change in function.

Add in the outstanding fuel economy that is consistent with the claimed figures, strong performance, benchmark DSG transmission, serene accommodation for four over most Australian road surfaces and it's no wonder that the Octavia diesel feels like a car you could point at the moon and keep going.

Even its conservative styling, which leaves the body with more than the usual parking protection and not susceptible to passing trends, has something enduring about it and certainly generated more than its fair share of kerbside enquiries.

Providing you keep an eye on the final price, there are compelling reasons why the Octavia with its Czech chassis priorities and solid build backed by VW engineering integrity might be a better choice for a wider range of Australian needs than many other Europeans.