The economic cost of car ownership

Date: Sat, 05 Feb 2000 16:05:59 -0400
From: johnkaren pearce <jk.pearce@ns.sympatico.ca>
Organization: LLLC/T2000
To: sustainable maritimes <sust-mar@chebucto.ns.ca>
Precedence: bulk
Return-Path: <sust-mar-mml-owner@chebucto.ns.ca>

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Some thoughts on what it costs you to own (or not own) a car.  Forget
about the very real social and environmental costs - these are just
personal economic costs $$$$!

The $7800/year to own and operate a car quoted by Better Environmentally
Sound Transportation (BEST from Vancouver) fits our Transport 2000
figures.  Sometimes
it's helpful to itemize the total for disbelievers.

First the Canadian Automobile Association says it costs 50c per mile to
run a car. If we
drive 15,000 miles (per car) each year this amounts to $7500 per year.
Most suburban and rural commuters to Halifax core will drive much more
than this.

Alternatively, my personal rough breakdown of costs gives:
Leasing or depreciation @$250/month =                             $3000
Insurance (esp. if under 25 dependent or accident prone)    $1500
Repairs & Labour + 15% GST (e.g. Fuel Pump $500,
  Brakes $350, Water pump $250, Set of Tires $300,
  Minor Rust Repair and Painting $500-1000, exhaust $150
  Minor Uninsured Accidents $500-$1500 etc.)  =               $1000
(average)
Gasoline (15,000 miles, 25 miles/gal., $3./gal)    =              $1800
Total  $7300   (not including miscellaneous: Rust Check, licences, MVI,
bridge tolls, parking meters etc)

Transportation (mostly auto) takes a larger part of an average Canadian
family's budget than food! (StatsCan has a breakdown of a family budget
-                              they should know the Code Number).

Don't forget that 60% of driving takes place within one's own hometown,
but the municipality gets NO share of provincial gas taxes.  It has only

the "property tax" base to pay for roads, and this is NOT user pay like
gas taxes.  You pay even if you don't own a car. Car drivers are heavily

subsidized in metro.  (You could take the costs for metro road
building and repair, traffic police, snow plowing, traffic signals etc.
and divide it by the # of cars and light trucks to get this figure) .

John Pearce,
Transport 2000 Atlantic.  Box 268, Dartmouth   B2Y 3Y3
Ph: 469-3474   Fax 469-3637   jk.pearce@ns.sympatico.ca



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