Your questions answered: Should I buy a PHEV or EV to replace my small ICE car?

Electric cars are still struggling in the sales race while hybrids continue to boom. Which is best for your situation will depend on your circumstances, as we’ve touched on this week for one reader who’s looking to get out of a petrol-powered small car.

There’s also one reader looking for a large electric SUV that won’t break the bank, and we’re looking at small SUVs, the different types of automatic transmissions and the reliability of mainstream European cars.

Got a question but don’t know where to find the information you need? Email us at editor@carsales.com.au

Question: I’m currently driving a 2020 Kia Cerato. It has 52,000km on the clock.

I’m looking to take advantage of the FBT exemption on EVs through a novated lease.

I travel a lot between the NSW South Coast, Ulladulla, and Sydney. I’m doing the 220km trip roughly fortnightly and often weekly.

I do not have a readily available option to charge a vehicle in Sydney and I don’t drive much while in Sydney.

I am looking to install solar panels in Ulladulla.

Should I consider a PHEV, as I do a lot of highway driving, or an EV?

Any suggestions of a small SUV in either class of vehicle would be appreciated. Price point under $50K drive away. – Megan

Answer: If you were doing 500km-plus in a day on a regular basis I’d steer you towards a plug-in hybrid EV (PHEV).

But for a 220km journey an EV will easily do it. Plus there’s plenty of fast charging available, both en route and when you arrive in Sydney.

Keep in mind, too, that you’ll end up having to recharge a plug-in hybrid a lot more often than an EV because of the significantly shorter range between charges. PHEVs need regular external charging to make the most out of their rechargeable hybrid system.

Anyway, download the PlugShare app to check out fast-charging locations, remembering that chargers producing higher power outputs should charge the car faster.

As for your shortlist, start with the BYD Atto 3. You’ll need the Premium with the bigger battery, which extends the range between charges from 345km (in the Essential) to 420km.

Even then, you can expect about 20 per cent less than that claim with freeway driving, so something like 330km, possibly a little more.

The Atto 3 is terrific value, especially following its recent price trim. And an update late last year improved value and fitted better tyres.

The upcoming Kia EV3 is also a good car, although it’s looking like being more expensive, likely closer to $50K.

If you want to stick with a name brand there are ex-demos of the Toyota bZ4X and Subaru Solterra (same cars, different badges) going for less than $55K. Some negotiating might get them closer to your budget.

They were very ordinary with price tags north of $70K but are starting to look better at closer to $50K.

And the FBT exemption applies to used vehicles, provided they have never paid luxury car tax. If you buy from a dealer the leasing company will be able to deduct the GST charged on the sale, too.

Question: We are interested in an EV but concerned about the price.

It’s ‘reduced’ to $100K, which comparatively seems great, but is a huge stretch for our budget!

How long are prices going to stay so high?

Will new tech and new models bring down the price?

Will we be kicking ourselves for paying so much when the prices drop in the near-ish future?

It feels like early adopter EV offers and rebates are over, and larger EVs are too expensive to attract rebates. – Tahnee

Answer: Don’t be afraid to look at the used market. carsales currently has some EV9s in the low-to-mid-$90K bracket. And remember you can always make a lower offer.

The Hyundai Ioniq 9 is coming soon and will provide a direct competitor to the EV9 (the two share architectures), so there could be some added competition there.

Unfortunately the large SUV market isn’t well catered for with EVs just yet, one of the reasons prices are high.

Around the $60K mark there’s loads of competition – and more coming – which has led to some impressive value.

But short story is, yes, new models – especially from China – promise to lower prices.

But I wouldn’t be holding your breath for a large SUV EV bargain in the next few months. It’ll likely be more like 2026 or 2027.

If you need to move a bit sooner keep an eye on second-hand options.

Question: I have very little knowledge regarding cars and could use some help choosing a car in the somewhat confusing space in which my husband and I find ourselves at the moment.

We are retired and the main use of the car would be city driving, perhaps the occasional interstate trip.

We currently have a Volkswagen Polo and would like something a bit bigger – a sedan or small SUV.

We have looked at the Mazda CX-30 but ruled that out due to its annoying infotainment system. We were made aware of that due to a caller into your show.

We would like to spend mid-$30,000 and would appreciate your recommendations. – Marie

Answer: The Mazda infotainment screens are frustrating these days. They work as touchscreens when stationary but only allow control via the rotary knob once you’re on the move (some of them allow you to activate part of the touchscreen functionality on the move, but it depends on the model you’re looking at). It can take a lot of twirls and clicks to get to what you’re chasing.

The sooner Mazda allows the touchscreen to operate as a proper touchscreen the better.

In terms of alternatives, look at the Hyundai Kona, Honda HR-V, Kia Seltos and Toyota Corolla Cross. Or if you think you could make an EV work a BYD Atto 3 is a good place to start.

Question:

Most salespeople tell me that what they sell is ‘the best’ and to avoid anything else. – David

Answer: All transmissions have good points and bad points. In short, all have compromises.
A torque converter and CVT are generally smooth and seamless, the latter particularly good because it never actually changes gears.

Dual-clutch autos are typically more efficient, which can lead to performance and fuel economy gains, but it comes at the expense of smoothness. Dual-clutch autos can also be clunky when they first engage; I’ve found the cars with smaller engines tend to have that unwanted grabbiness more than those with bigger, torquier engines.

Question: I enjoy country driving and my 2012 Volkswagen Passat.

I drove a Volkswagen Tiguan, but it lacks the acceleration I'm used to.

My top limit is $30,000, and I’m looking for a five-seater with a generous boot.

My question to you is, why not? What’s your opinion? – Jan

Answer: If mechanics don’t like Skodas then they won’t like Volkswagens either because it’s the same stuff beneath the skin. Skoda is part of the Volkswagen Group and many components – engines, gearboxes, electronics and more – are shared between the two brands.

As for reliability, I’ve heard similar things from some in the industry suggesting things can get costly on Volkswagens, especially with engines and transmissions.

And the latest JD Power survey on dependability (ranked on cars in the US, many of which aren’t sold here) had Volkswagen towards the bottom.

Japanese brands tend to have a better reputation for longevity and reliability and Toyota is generally at the pointy end of the bunch.

But, of course, you’ve had first-hand experience of a Volkswagen seemingly not having many issues. You’re not alone.

And, of course, Skoda and Volkswagen often make up points with the driving experience, especially dynamically. And there are many other positives.

As for alternatives, look at a Toyota Camry, which has a reputation for being bland but delivers in many ways, including how it drives.

You could look at a Kia Cerato for something that’s great value and has the backing of a seven-year warranty.

A Mazda3 could be a way to get a mainstream car with a more upmarket cabin and good driving manners.

Got a question but don’t know where to find the information you need? Email us at editor@carsales.com.au

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