Head of Skoda Australia, Matthew Wiesner, said the move was prompted by the increased cost of running a vehicle in Australia.
“We knew that rising costs were becoming an issue for car buyers across the board, so we simply removed the problem,” Mr Wiesner said.
The Skoda brand has been slowly gaining traction in Australia since its launch in 2007.
In 2008, Skoda delivered 818 vehicles, which then increased to 1252 in 2009. Through the first 11 months of 2010, Skoda has delivered 1501 new vehicles, easily breaking its annual sales record.
The Octavia is the brand’s top seller with 1154 sales (including Octavia Scout), while the Superb has been the strongest improver in 2010, with sales up almost 200 percent between January and November.
The quirky and unloved Roomster was phased out earlier in 2010 after years of slow sales. It will be replaced by the equally polarising yet highly rated Yeti hatch in 2011.
In total, Skoda brand sales are 32.2 percent ahead of the same time last year, compared with the industry average of 11.8 percent.