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With gas prices soaring, Consumer Reports’ latest
analysis of owner costs shows that drivers can save
anywhere from $500 to $4,250 over a five year ownership
period by choosing selected hybrids rather than similar
conventional gasoline-powered vehicles. Six of the
12 hybrids CR experts looked at — Toyota Prius and
hybrid versions of the Chevrolet Malibu, Chevrolet
Tahoe, Ford Escape, Saturn Vue, and Toyota Camry —
can save consumers about $500 to $4,250 even without
tax credits, and pay back their price premium after
only one year. For several of these hybrids, owners
can save even more by taking advantage of federal
tax credits. CR experts compared the five-year owner
costs of 12 hybrids with those of similar conventional
vehicles using Consumer Reports’ new-car owner-cost
estimates, introduced in the April 2008 issue.
The Toyota Camry hybrid, which gets 34 mpg overall
in CR’s tests, saves the most money, about $4,250
over five years compared with a similarly equipped
four-cylinder Toyota Camry XLE, which gets 24 mpg.
The Saturn Vue Greenline Hybrid can save about $3,000,
while the Toyota Prius and Chevrolet Tahoe save $2,000
and $1,500 respectively, when compared to their non-hybrid
counterparts. With tax credits, the Vue and Tahoe
come out ahead by about $4,500 and $3,700. Federal
tax incentives are no longer available for Toyota
and Lexus hybrids. The report, “Which Hybrids save
you money” is available in the redesigned October
issue of Consumer Reports, on sale September 2 on
newsstands and online at http://www.ConsumerReports.org.
The October issue of CR also features an analysis
of how drivers can save gas and money by opting for
a car with a stick shift. In recent tests, Consumer
Reports found that cars with a manual transmission
can improve gas mileage by a notable 2 to 5 mpg, compared
with an automatic transmission, and can cut a car’s
price by $800 to $1,200.
It
would take many years for most hybrids to pay back
their premium price just on fuel savings alone. But
fuel costs are a relatively small part — 25 percent
— of the overall owner costs in the first five years.
Other factors include depreciation, insurance, interest
on financing, maintenance and repairs, and sales tax.
Cost estimates were based on driving 12,000 miles
per year and paying $4 per gallon for regular gasoline
and $4.20 for premium. “Most of the hybrids tested
by CR have done really well, but hybrids have higher
initial upfront costs,” said Rik Paul, automotive
editor, Consumer Reports. “If you can afford that
initial cost, you can be better off buying one, and
driving one might make you feel greener.”
The
Honda Civic, Nissan Altima, and Saturn Aura hybrids
will cost drivers a little more than their conventional
counterparts — from $250 to $750 over five years —
but some consumers might find it worthwhile to drive
a more environmentally friendly car. With federal
tax incentives, all three come out ahead after just
one year. Three hybrids — the Lexus GS 450h and RX
400h and the Toyota Highlander Hybrid — cost more
than their counterparts in the first five years. They
show five year losses ranging from about $1,250 for
the Highlander to $5,500 for the GS. Hybrids vs. Conventional
Cars Interest in hybrids has been on a parallel trajectory
with gas prices.
Hybrid
sales jumped almost 40 percent last year. According
to a recent Consumer Reports survey, 32 percent of
active car shoppers are considering a hybrid for their
next vehicle. And this past summer, automakers had
a difficult time keeping up with demand for the most
popular models. 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. The 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. Consumer Reports advises people
to decide what type of vehicle is right for them and
then to choose one that gets good gas mileage for
its class and rates highly in CR’s road tests and
reliability, safety and ownership-cost ratings.
