Hybrid vs. Gas: Which Is Actually Cheaper for You?

If you are choosing between the gas and hybrid version of the same car, you are really asking one question: will the fuel savings pay back the higher price before I sell the car? You do not need to be a car person to answer it. You need three numbers.

How they differ, in one paragraph

A gas car burns fuel for every kilometre. A regular hybrid adds a small battery and electric motor that recover energy when you brake and help the engine when you pull away. You never plug it in, and you drive it exactly like a gas car. The difference is that it uses less fuel, especially in stop-and-go traffic, where a gas engine is least efficient. (If you are also considering a plug-in, read Hybrid vs. Plug-In Hybrid.)

The three numbers you need

1. The price difference. Compare the hybrid and gas trims with similar features. Hybrids are often only offered on mid or upper trims, so compare like for like.
2. The fuel economy of each, in L/100 km. Use the combined rating on the window sticker or on our vehicle pages.
3. How far you drive in a year. The Canadian average is somewhere around 15,000 to 20,000 km.

The quick math

Annual fuel savings = kilometres per year × (gas L/100 km − hybrid L/100 km) ÷ 100 × price per litre.

For example, a compact SUV rated 8.0 L/100 km as a gas model and 6.0 L/100 km as a hybrid, driven 20,000 km a year with fuel at $1.75 a litre:

• 20,000 × 2.0 ÷ 100 = 400 litres saved per year
• 400 × $1.75 = about $700 saved per year

If the hybrid costs $3,500 more, it pays for itself in roughly five years. Drive more, or pay more for fuel, and that number drops. Our fuel cost calculator does this for you with real vehicles.

When a hybrid makes the most sense

• You do a lot of city or suburban driving with frequent stops.
• You drive more than average, or you have a long commute.
• You plan to keep the car for five years or more.
• You like a quieter, smoother drive in traffic. Many hybrids pull away on electric power.

When gas can be the better call

• You drive very little, so fuel savings stay small.
• Most of your driving is steady highway speed, where hybrids have less of an edge.
• The hybrid is only available on an expensive trim you would not otherwise buy.
• You tow regularly. Check towing ratings, since some hybrids are rated lower.

Common worries, answered

"Won't the battery die and cost a fortune?" Hybrid batteries are designed to last the life of the car for most owners, and they carry a separate, longer warranty than the rest of the car. Many manufacturers cover them for 8 to 10 years. Check the exact coverage in the warranty booklet.

"Are hybrids more expensive to maintain?" Generally no. Brakes often last longer because the electric motor does much of the slowing down. Oil changes and other routine service are similar to a gas car.

"Do hybrids work in a Canadian winter?" Yes. Fuel economy drops in the cold for every car, hybrids included, but they start and drive normally.

The bottom line

A hybrid is not automatically the smarter choice. It is the smarter choice when you drive enough to earn back the difference. Run your own numbers, and if the payback is within the time you plan to own the car, the hybrid is usually worth it.