The Downs (and Ups) of Hybrid Vehicle Ownership

Wars in oil producing countries hit Americans where it hurts-in their wallets. Feverish summer heat intensified fears of global warming. More drivers see hybrid electric vehicles, hev, as a quick fix to the byproduct of global crisis.

Hybrids' sales rose from 9,500 sold in 2000 to 212,000 sold in 2005. Hevs, or driving green, are no longer for Birkenstock clad environmentalists, but affects everyone who takes to the road. But does driving green keep green in your wallet?

If you are looking for a quick way to save a few bucks on gasoline switching to a hybrid is not it. Data shows it takes five years of hev ownership to break even. Repair costs, gas prices, msrp, auto insurance, and tax credits are figured in.

The Energy Policy Act of 2005 gives hybrid owners a onetime, dollar-for-dollar reduction in taxable income up to $3400. Tax credits tipped the scales in hybrids' favor for many buyers. The amount of tax credit depends upon the vehicle manufacturer. Credits are given for the first 60,000 hybrids sold per manufacturer. Afterwards, credits decrease until completely phased out in 2010. Toyota is expected to hit the 60,000 mark sometime in 2006. Future hybrid owners will miss this benefit.

Hybrids' costs average $3,000 more than comparable gasoline vehicles. Soaring popularity makes stealing one below sticker price a hard buy.

Consumers are shocked by their hev's gas mileage; some disappointed with the lower than expected numbers. All vehicle types suffer from discrepancies between advertised fuel economy and real world results. These discrepancies are more evident in hybrid vehicles. According to Robert Bienenfield, senior manager of product planning at American Honda, "a vehicle that has a fuel economy rating of 20mpg may only get 18mpg; while a vehicle that rated at 50mpg may only get 45mpg. This seems like a bigger issue for the more fuel efficient vehicle..." Real world results show hevs mpg is 20%-50% lower than EPA estimates.

Expensive vehicles have expensive repairs. Hybrids are in the long line of new vehicles with doodads like rear backup cameras, keyless remotes, and navigation systems making us wonder how we drove before their invent. But then they break leaving behind a $500 bill. Edmunds.com poll showed 44% of shoppers are "extremely concerned" about hybrids' repair expenses. Differences in the drivetrain, continuously variable transmission, and battery packs are a few of the costly repairs worrying consumers. Finding mechanics able the electrical components may be difficult. Repairs performed at dealerships cost consumers 11% more than independent mechanics.

Hybrid owners pay 5% more for auto insurance. Higher repair costs lead to higher insurance costs. Few insurance companies offer discounts to green drivers.

Although data shows it takes five years to reap monetary benefits driving green pays for itself in other ways. All the hype about hybrids emitting less pollution is true. This includes noise pollution. Electric engines are notoriously quiet as they cruise through parking lots and city streets.

States have also designated perks for hybrid drivers. For example California and Virginia allow hybrids that meet set criteria in the hov lane with only the driver. Some cities are giving hybrid drivers discounts on garage parking. In downtown San Jose, CA, hybrid drivers are allowed to park for free in metered spaces.

Driving green has spawned a new subculture influenced by celebrities such as Tom Hanks and Whoopi Goldberg. The Toyota Prius, with 50% of the hybrid market, has experienced six month waiting lists.

Hybrids' sales growth proves that saving money at the pump is not Americans only motivation for driving green. Consumers and experts consistently rank them overall as best buys. Porsche and Mercedes are developing their own ulta luxe gas sippers. Now we know that hybrids are here to stay.