October 2008
Hybrids vs. conventional cars
The conventional vehicles with which we compared the hybrids are the closest available alternatives when considering all factors,
including performance, reliability, safety, and features. Most hybrids were compared with a similarly equipped all-gas version
from the same model line. The Toyota Prius was compared with a Toyota Corolla XLE.
Gas savings over five years range from about $1,500 for the Chevy Malibu, Lexus GS, and Saturn Aura hybrids to $4,500 for the Tahoe Hybrid, based on driving 12,000 miles per year and paying $4 per gallon for regular gasoline and $4.20 for premium.
Depreciation makes up a whopping 45 percent of owner costs in the first five years, though it can be less for hybrids because of the high demand for used models. We factor in depreciation, assuming that owners will trade in their vehicles after five years, a typical ownership period. But you'll realize savings over a conventional model (available to subscribers) if you trade in your hybrid anytime after the payback period.
Many hybrids are eligible for federal tax rebates. But the incentives phase out once an automaker produces 60,000 hybrids, including all of its brands. As a result, hybrids built by Toyota (which includes Lexus) are no longer eligible. Honda also passed 60,000 last year, so federal rebates on the Civic Hybrid will disappear by Dec. 31. Current incentives range from $525 for the Civic Hybrid to $2,350 for the Altima Hybrid. To check out the latest federal tax incentives, go to www.fueleconomy.gov/feg/taxcenter.shtml . But people who are subject to the Alternative Minimum Tax (AMT) might not be able to get the full credit, if any. Regional incentives are also available in some areas.
In addition to being thrifty with fuel, hybrids emit less pollution, with some models classified as Partial Zero Emission Vehicles by the California Air Resources Board. They also release fewer greenhouse gases because each gallon of gasoline not burned prevents the emission of 19 pounds of carbon dioxide.
Many hybrids are also very good overall packages. The current ones from Honda, Lexus, Nissan, and Toyota earned very good or excellent overall scores in our testing, and all of those except the Altima and Highlander hybrids (which are too new for us to have data) have an excellent predicted—reliability rating. The Prius and Camry Hybrid were also among the top models in our 2007 owner-satisfaction survey.
In some states, hybrid drivers can use special carpool lanes regardless of the number of occupants in the vehicle, a considerable benefit in traffic-clogged areas.
Bottom line
With higher gas prices, many hybrids now provide a definite benefit in overall owner cost, despite an initial price premium. Still, if saving money right out of the gate is important, some conventional cars provide good fuel economy and cost less than hybrids. Decide what type of vehicle is best for you. Then choose one that gets good gas mileage for its class and rates highly in our road tests and in our reliability, safety, and owner-cost ratings. In the hot pursuit of saving at the pump, you don't want a car that will let you down in other areas.
Gas savings over five years range from about $1,500 for the Chevy Malibu, Lexus GS, and Saturn Aura hybrids to $4,500 for the Tahoe Hybrid, based on driving 12,000 miles per year and paying $4 per gallon for regular gasoline and $4.20 for premium.
Depreciation makes up a whopping 45 percent of owner costs in the first five years, though it can be less for hybrids because of the high demand for used models. We factor in depreciation, assuming that owners will trade in their vehicles after five years, a typical ownership period. But you'll realize savings over a conventional model (available to subscribers) if you trade in your hybrid anytime after the payback period.
Many hybrids are eligible for federal tax rebates. But the incentives phase out once an automaker produces 60,000 hybrids, including all of its brands. As a result, hybrids built by Toyota (which includes Lexus) are no longer eligible. Honda also passed 60,000 last year, so federal rebates on the Civic Hybrid will disappear by Dec. 31. Current incentives range from $525 for the Civic Hybrid to $2,350 for the Altima Hybrid. To check out the latest federal tax incentives, go to www.fueleconomy.gov/feg/taxcenter.shtml . But people who are subject to the Alternative Minimum Tax (AMT) might not be able to get the full credit, if any. Regional incentives are also available in some areas.
In addition to being thrifty with fuel, hybrids emit less pollution, with some models classified as Partial Zero Emission Vehicles by the California Air Resources Board. They also release fewer greenhouse gases because each gallon of gasoline not burned prevents the emission of 19 pounds of carbon dioxide.
Many hybrids are also very good overall packages. The current ones from Honda, Lexus, Nissan, and Toyota earned very good or excellent overall scores in our testing, and all of those except the Altima and Highlander hybrids (which are too new for us to have data) have an excellent predicted—reliability rating. The Prius and Camry Hybrid were also among the top models in our 2007 owner-satisfaction survey.
In some states, hybrid drivers can use special carpool lanes regardless of the number of occupants in the vehicle, a considerable benefit in traffic-clogged areas.
Bottom line
With higher gas prices, many hybrids now provide a definite benefit in overall owner cost, despite an initial price premium. Still, if saving money right out of the gate is important, some conventional cars provide good fuel economy and cost less than hybrids. Decide what type of vehicle is best for you. Then choose one that gets good gas mileage for its class and rates highly in our road tests and in our reliability, safety, and owner-cost ratings. In the hot pursuit of saving at the pump, you don't want a car that will let you down in other areas.
Posted: September 2008 — Consumer Reports Magazine issue: October 2008
