Hybrid SUVs: Good Idea or Oxymoron?

BY Nicholas Gill, Tuesday Jun. 03, 2008

from geognerd via flickrSUVs, the uneconomical gas hogs adored by families all over the U.S., have long been the bane of environmentalist circles. They are, simply put, the anti-eco. But could hybrid models—which many consider an oxymoron—change the image? Detroit seems to think so, but so far few are taking the bait.

GM’s two offerings, the Chevy Tahoe and GMC Yukon, have only accounted for 1,100 of the 100,000 or so total hybrid models sold in the U.S. this year. Sales for the GM models were projected to hit 12,000, but don’t hold your breath. With gas topping $4 a gallon, sales of large cars are down in general. Americans are buying half as many SUVs now as they were just a year ago and on June 3, GM announced they’ll be closing four plants that make non-hybrid SUVs.

The fact may be that consumers are looking to save money before they’re looking to save the environment. Hybrids are expensive, and downsizing to a smaller vehicle that just gets better mileage is a much surer bet for saving a few bucks on the lot and at the pump. The hybrid Tahoe runs about $4,000 more ($53,000 total) than a standard Tahoe and other models have similar price increases. While city mileage is about 50% better (20/21 mpg up from 13/14 mpg), highway mileage is about the same (20/22 mpg). So for an extra four G’s up front, you’ll save a little bit on gas? It’s a hard sell.

Time will tell if consumers will bite when it comes to larger model hybrids as the whole concept becomes more mainstream. In the next couple of years the market will see hybrid Escalades, Durangos, Saturn Vues and Chevy Volts hit the market.

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