Based on your outside picture and the fence panels, if you had roughly the same width view a 5MP plus camera you should be able to read the licence plates from the images at the distance of the red vehicle, you probably could read the licence plates on the current camera if licence plate is wher the kid on the bike is or closer, during the night its unlikely you would be able to read them.
The still wont make much a difference, the higher the number of frames the camera is viewing the better chance of a decent still, also don't use compression.
The still wont make much a difference, the higher the number of frames the camera is viewing the better chance of a decent still, also don't use compression.