Chuck
05-25-2006, 11:47 AM
Well, there you go again...
That was my reaction to this Newsweek article on The Hybrid Savings Hype (http://www.msnbc.msn.com/id/12958916/site/newsweek/).
It immediately mentioned the Accord hybrid - of course it's not an economy hybrid, or any other hybrid outside of the Prius, HCH, Insight (maybe the FEH). The author recommended spending under $20,000 on a conventional compact that gets 30mpg in the city or better - can't disagree with that. He estimates that all the alleged interest in the hybrid will not result in sales until they are priced to within $2,000 of their conventional counterparts to make financial sense.
He was pretty hard on hybrids. I have to disagree on his analysis on recovering the hybrid premium on any vehicles.
My 1988 CRX HF was getting FE in the mid 30s. Comparing the 100,000 miles I'll soon have on my Insight at 58mpg vs maybe 33mpg on that CRX (if it could have lasted) - I've saved $2,612.33 at an average price of $2 a gallon. If it was really an average of $1.75 over those years, the saving were still $2285.79. Today, if someone swaped a 33mpg vehicle for a 58mpg one over the next 100,000 miles savings would be...
$3918.50 at $3.00 a gallon
$4571.58 at $3.50 a gallon
$5224.66 at $4.00 a gallon
$5877.73 at $4.50 a gallon
$6530.83 at $5.00 a gallonWhile I might have just broke even (and even penalize me $600 for the hybrid battery pack replacement recently), I think it's clear if I were to choose today between a conventional Civic or 5-speed Insight, I'd be ahead in five years easily, and that's not counting tax credits.
That was my reaction to this Newsweek article on The Hybrid Savings Hype (http://www.msnbc.msn.com/id/12958916/site/newsweek/).
It immediately mentioned the Accord hybrid - of course it's not an economy hybrid, or any other hybrid outside of the Prius, HCH, Insight (maybe the FEH). The author recommended spending under $20,000 on a conventional compact that gets 30mpg in the city or better - can't disagree with that. He estimates that all the alleged interest in the hybrid will not result in sales until they are priced to within $2,000 of their conventional counterparts to make financial sense.
He was pretty hard on hybrids. I have to disagree on his analysis on recovering the hybrid premium on any vehicles.
My 1988 CRX HF was getting FE in the mid 30s. Comparing the 100,000 miles I'll soon have on my Insight at 58mpg vs maybe 33mpg on that CRX (if it could have lasted) - I've saved $2,612.33 at an average price of $2 a gallon. If it was really an average of $1.75 over those years, the saving were still $2285.79. Today, if someone swaped a 33mpg vehicle for a 58mpg one over the next 100,000 miles savings would be...
$3918.50 at $3.00 a gallon
$4571.58 at $3.50 a gallon
$5224.66 at $4.00 a gallon
$5877.73 at $4.50 a gallon
$6530.83 at $5.00 a gallonWhile I might have just broke even (and even penalize me $600 for the hybrid battery pack replacement recently), I think it's clear if I were to choose today between a conventional Civic or 5-speed Insight, I'd be ahead in five years easily, and that's not counting tax credits.
