Jaguar devours diesel premium

Good news for diesel fans as the unfair premium charged on diesel powered models takes another blow thanks to Jaguar, which is introducing its first diesel option at the same price as the petrol equivalent.

At €39,000 excluding delivery the new front-wheel-drive X-Type 2-litre common-rail diesel will sell at the same price as the 2-litre V6 petrol model.

Other manufacturers have charged a premium on the new car price of diesel models, effectively cancelling out any benefits owners may have gained from the better fuel consumption, at least for the first few years.

The welcome news coincides with Jaguar's first foray into the diesel market, part of an overall expansion of the Jaguar line-up that will also see an estate version coming on stream in the near future. It's been a long time coming and answers the growing calls from the motoring press and continental distributors for an oil-burning option in the Jaguar range.

While a small minority of traditionalists may baulk at the thought of diesels selling under the big cat marque, the Ford-owned car firm - part of the Premier Automotive Group - is taking a far more pragmatic approach to the future and realises it's missing out on some crucial growth areas.

Diesel sales have doubled in some States over the last 10 years and while Jaguar find themselves topping some premium end segments with its petrol range, it's losing out in terms of diesel. The Italian market, for example, is poised to become the sixth European country to sell more diesel-powered vehicles than petrol-fueled ones. In the past four years, the diesel share of western Europe sales grew from 24.8 percent in 1998 to 40.3 percent in 2002.

Even the true petrol-heads at Honda are launching a diesel version.

So, at long last, Jaguar has a diesel option, a Ford derived 128 bhp two-litre common-rail diesel engine introduced to its X-Type model range. Jaguar claims a fuel consumption figure in the region of 50 mpg and a 0-60 mph of 9.5 seconds.

But it's only the start. Jaguar is also to benefit next year from its parent's five-year alliance with Peugeot and Citroën (PSA) with the arrival of a new 24-valve turbocharged V6 engine offering the latest common-rail direct-injection fuel system. Developing 207 bhp, a 2.7-litre unit will be fitted in the S-Type and is out to challenge the likes of BMW's 530d and Mercedes E270 diesel. There's tough competition ahead.