EVs after the RUC exemption: do the numbers still work?
The NZ Angle
From 1 April 2024, light electric vehicles lost their RUC exemption and now pay $76 per 1,000km, the same rate as diesel vehicles in that weight class. For anyone who bought a used Nissan Leaf partly on the strength of near-zero running costs, that is a meaningful shift. A Canterbury driver doing 14,000km a year, a reasonable average for a regional city with genuine winter commuting, is now looking at around $1,064 in RUCs annually before they've spent a dollar on electricity or servicing. The Clean Car Discount also closed at the end of 2023, so the upfront subsidy that made a $18,000–$22,000 used Leaf feel like a bargain is gone too. BYD's Atto 3, which sits higher in the market at $30,000–$38,000 used, carries the same RUC obligation from the moment you buy it. Neither vehicle is exempt, neither qualifies for any current central government incentive, and both now need to justify themselves purely on consumption costs, reliability, and real purchase price against what a 2019–2021 Toyota RAV4 Hybrid or Corolla Hybrid can offer in the same budget. That is the comparison worth doing.
The free ride on road user charges is over for light EVs. We crunch the real running costs of a used Leaf and BYD Atto 3 against a petrol hybrid for a Canterbury buyer doing average ks.
The RUC exemption for light EVs was always a temporary measure, and it ended. Since April 2024, any EV under 3,500kg gross pays $76 per 1,000km in road user charges. That rate will likely increase as the government works to recover roading revenue it has been deferring for years. So the question for a Canterbury buyer in 2025 is straightforward: does a used Nissan Leaf or BYD Atto 3 still beat a petrol hybrid on running costs, once RUCs are in the equation?
The honest answer is: it depends on which hybrid, which EV, and how far you drive. But the gap has closed substantially, and in some comparisons it has closed entirely.
The Leaf at current prices
A 2018–2019 Nissan Leaf with the 40kWh battery is selling for $16,000–$21,000 in Christchurch right now. The 30kWh cars are cheaper at $12,000–$16,000 but real-world range on an older pack, especially in Canterbury winters where battery capacity drops 15–20% in cold weather, makes them awkward for anything beyond local errands. Stick with the 40kWh.
At 14,000km per year, RUCs on a Leaf cost around $1,064. Home charging at the average NZ residential rate of roughly $0.30 per kWh, and assuming the Leaf uses about 18kWh per 100km in mixed Canterbury driving, electricity costs add another $756 annually. Total energy-plus-RUC spend: approximately $1,820 per year.
Servicing on a Leaf is genuinely cheap. No oil changes, no transmission fluid, brake wear is minimal thanks to regenerative braking. Budget $300–$400 a year for a WoF, tyres when due, and cabin air filter. The known issue at high mileage is battery degradation. A 2018 Leaf with 80,000–100,000km may be showing 10–12 bars on the battery capacity display rather than 12, which translates to real range loss. Get it checked before you buy. Replacement battery packs from Japan are available through specialist importers but cost $5,000–$8,000 fitted. That is not a small number.
The Atto 3: more car, more money
BYD's Atto 3 sits in a different price bracket. Used examples from 2022–2023 are currently trading at $30,000–$38,000. The 60kWh battery gives genuine 350–400km real-world range, which removes the range anxiety that still dogs the Leaf for anyone doing occasional longer trips to Queenstown or the West Coast.
RUC costs are identical: $76 per 1,000km, so $1,064 at 14,000km. Energy consumption on the Atto 3 runs closer to 20kWh per 100km in real conditions, so electricity at $0.30/kWh adds roughly $840. Total energy-plus-RUC: around $1,904 per year, slightly more than the Leaf.
The Atto 3 is a newer car with a longer remaining warranty window if bought early in its used life. Parts availability is improving but still behind Japanese brands. Servicing through BYD dealers is straightforward, but the dealer network outside Auckland and Wellington is thin. In Christchurch you have options, but it is worth confirming before you commit.
What a petrol hybrid actually costs
A 2019–2021 Toyota RAV4 Hybrid in Canterbury is sitting at $28,000–$35,000 depending on spec and kilometres. A 2020–2022 Corolla Hybrid sedan or hatch can be found at $22,000–$27,000. These are direct budget comparisons to the Atto 3 and upper-end Leaf respectively.
The RAV4 Hybrid returns around 5.5–6.5L per 100km in mixed driving. At $2.70/L for 91 petrol, that is $2,079–$2,457 in fuel annually at 14,000km. Add annual servicing on a Toyota, which is more involved than an EV: oil changes, spark plugs eventually, transmission fluid. Budget $700–$900 per year across the WoF, oil, filters, and occasional dealer items. Total annual running costs land around $2,800–$3,400.
The Corolla Hybrid does better on fuel: 4.0–4.8L per 100km is achievable. At 14,000km that is $1,512–$1,814 in petrol. Add servicing at $600–$800 annually. Total: $2,100–$2,600 per year.
Compared to the Leaf at around $2,120–$2,220 all-in, the Corolla Hybrid is now in genuinely similar territory once you account for RUCs. The gap used to be obvious. It no longer is.
What the numbers actually mean
If your priority is the lowest possible running cost and you can live with a 40kWh Leaf's range limitations around Canterbury, the Leaf still edges ahead of an equivalent-age Corolla Hybrid, but not by the margin EV advocates were citing two years ago. Figure on saving $300–$600 a year, not $1,500.
The Atto 3 versus RAV4 Hybrid is closer to a wash on running costs. The Atto 3 wins on comfort and technology for the money. The RAV4 wins on parts availability, resale certainty, and the knowledge that Toyota hybrids routinely pass 250,000km without drama.
Anyone buying a used EV in Canterbury in 2025 needs to price in RUCs from day one, check the battery health thoroughly, and stop assuming the running cost advantage will fund the purchase price difference. It might. It might not. Do the maths for your actual kilometres, your actual electricity tariff, and the actual condition of the specific car.
By Auto Luxe. See our editorial standards or email sales@autoluxe.co.nz with corrections.
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