This is default featured slide 1 title

Go to Blogger edit html and find these sentences.Now replace these sentences with your own descriptions.

This is default featured slide 2 title

Go to Blogger edit html and find these sentences.Now replace these sentences with your own descriptions.

This is default featured slide 3 title

Go to Blogger edit html and find these sentences.Now replace these sentences with your own descriptions.

This is default featured slide 4 title

Go to Blogger edit html and find these sentences.Now replace these sentences with your own descriptions.

This is default featured slide 5 title

Go to Blogger edit html and find these sentences.Now replace these sentences with your own descriptions.

Pages

Selasa, 04 Agustus 2009

Select the Right Hybrid

How to Select the Right Hybrid for You



By Andi Bintang
Planning to go green and buy a hybrid? You have to know a few things first to make sure that you're getting an efficient one that best suits your needs. Hybrid vehicles come in many forms today and also operate through various means and mechanisms. Here are some guidelines which will help you select the right one.

What Technologies are Available?

  1. Idle-off capability is when the engine automatically shuts down when the hybrid vehicle is braking, idling or coasting. The engine can also easily turn back on once the driver releases the brake and steps on the accelerator.
  2. Regenerative braking is when the electric motor takes over when the car is slowing down. It also doubles as a generator in which energy lost while the hybrid vehicle is braking can be converted into electric power that recharges the battery.
  3. Power assist and engine downsizing is when the electric motor kicks in to help move the car during acceleration. The size of the engine is virtually smaller since both the electric motor and engine combine in providing power.
  4. Electric-only is when the electric motor solely provides power for the vehicle when running at low speeds or when starting.
  5. Extended battery-electric range is when the electric motor can provide power for the vehicle when running over a distance of 20 to 60 miles. Afterwards, the battery can easily be recharged by plugging into an external electric power source. The gasoline engine kicks in after the range has been covered by the electric motor.
Learn how to define the type of hybrid vehicle you are getting. Mild hybrids use the first three technologies mentioned earlier while full hybrids use the first four. There are also plug-in hybrid vehicles that use all five but are not yet available to the general public.

There are muscle hybrids that come in the form of SUVs which are more cost-effective and environmentally friendly compared to their conventional counterparts. Some hybrid vehicles may use only one or two technologies but still aim to improve mileage and ecological effects.

Questions to Ask

Is it fuel efficient? What is the average range that the electric motor can cover before the gasoline engine kicks in? Does it have idle-off capability? Check the gas mileage and engine size to determine if the hybrid vehicle you are getting can truly help you save more. Some hybrid vehicles are very mild in which a minor technology may only be incorporated. Saving even 1 to 2 gallons of fuel a day more can be quite cost-effective.

Is it environmentally friendly? Check the emission of the vehicle. Hybrids should have very low or zero emission which minimizes the risk of exhausting greenhouse gases into the atmosphere. Find out the electric motor capabilities since these are the times when gasoline byproducts are prevented and reduced. There are various sources of power available which reduce pollutants like fuel cells, hydrogen and electricity. Find out if any of these are incorporated in your vehicle.

What are its other features? Check the interior and exterior of the hybrid vehicle just as you would when buying a conventional one. Determine if the size is right for your or your family, determine the quality of the materials used if the overall structure is safe for highway driving and compare the advantages and key features with other models. Some hybrids don't look as stylish as gas models but there are also hybrids that look exactly like their conventional counterparts.

How much is it? The initial sum of buying a hybrid vehicle is usually higher compared to conventional cars. However, you will discover that you can easily make up for the initial cost by saving more on fuel. Again, you need to check the mileage, rate of consumption and possible tax deductions to see if the hybrid can really be cost-effective in the years to come. Also consider repair and maintenance expenses in the future.

Advantages to Look for When Selecting

The United States Federal government provides significant tax breaks to individuals who opt for hybrid vehicles. The tax break will depend on the tax bracket once the buyer sends a file. There are states that provide special parking areas as well for hybrid vehicles so drivers get to save more on parking fees. Some insurance policies may provide special offers to owners of hybrids on repair and maintenance too.

There are SULEVs or super ultra low-emission vehicles, ULEVs or ultra low-emission vehicles and PZEVs or partial zero emission vehicles that are very clean and quiet. Drivers get to enjoy smooth and peaceful driving without the environmental hazards and risks. Some of the largest automobile manufacturers are greatly investing in hybrids with very stylish and powerful models that can go up against the best gasoline-powered ones.

Senin, 03 Agustus 2009

"Over a Barrel" - Part II

Picking up where I left off in Friday's posting addressing the issues raised by ABC's recent "Over a Barrel" report, concerning what Americans ought to know about oil, let's turn to the products that we get from it. Over the course of a century and a half of production--this month marks the sesquicentennial of Drake's well--petroleum has provided us with a cornucopia of fuels, lubricants, and raw materials for industry, many of which grew out of the search for substitutes for other, scarcer commodities or the availability of low-value byproducts from earlier, less-sophisticated refining techniques. In recent years, however, we've acquired a greater awareness of oil's adverse consequences, and it has attracted its first serious competition in many decades in its primary transportation fuels market.

The gasoline we put in our cars, the diesel that fuels trucks and buses and heats many homes, especially in the Northeast, and the jet fuel we can sometimes smell when the plane on which we're traveling has just refueled together accounted for 74% of the 19.5 million barrels per day of petroleum products consumed in the US last year. Throw in propane, lubricants, asphalt, petrochemical feedstocks and solvents, and you're up to around 90%, with most of the remainder coming out as heavy fuel oil for ships, petroleum coke (a solid, coal-like fuel,) and the fuel used by refineries in their processing. The average US refinery is 90% efficient, meaning that 90% of the energy that goes into it comes out in the products it sells, while the other 10% is consumed along the way. Greenhouse gas emissions follow a similar pattern, with the majority occurring not during processing but in the subsequent use of the products.

That's a crucial factor in the effort to reduce emissions. In the recent estimate of last year's US CO2 emissions, nearly 80% of oil's 42% share of the CO2 emitted by fossil fuels came from the combustion of transportation fuels. That means that by far the largest opportunities to reduce emissions from oil are associated with vehicle efficiency, not changes in refinery processes, which are already quite efficient. So while reducing direct refinery emissions by 1/3 would only cut total oil-related emissions by about 3%, increasing the efficiency of cars, trucks and planes by 1/3 would reduce those emissions by 26%. That is a realistic possibility, because most of our vehicles use these fuels so inefficiently. Although we can't easily reduce the 20 lb. of CO2 emitted from the combustion of each gallon of gasoline, we can certainly reduce the number of gallons we burn per mile.

If you asked most people why gasoline has been such a successful fuel for the last century, you'd get a variety of answers, including some entertaining conspiracy theories, but relatively few would zero in on the fuel's remarkable capacity to deliver lots of energy in a compact and easily portable form. Every gallon of E10 gasoline (10% ethanol blend) you put into your car carries roughly 110,000 BTUs, compared to 82,000 BTUs for the E85 ethanol/gasoline blend, or 66,000 BTUs for an 85% methanol/gasoline blend. Those extra BTUs translate into range and convenience, even though the typical internal combustion engine vehicle throws away roughly 80% of them as waste heat and other losses. That's why there's such a big opportunity for hybrids, advanced engines and transmissions, and other technologies to improve the fuel economy of most cars, if consumers are willing to pay the higher up-front costs. It's sobering to think that the advanced battery pack for GM's highly-anticipated Volt plug-in hybrid will hold the energy equivalent of just a half-gallon of gasoline, though the car's electric motor will use that energy much more efficiently than an internal combustion engine would.

So what are you buying when you fill up at the pump? If you watched "Over a Barrel", you probably got the impression that you are paying for an entirely generic fuel, a moderate slice of taxes and dealer margin, and a whole bunch of advertising and other marketing expenses. That's misleading on a couple of levels. It's true that the basic fuel is indeed generic--"fungible" in industry parlance--for the very good reason that this facilitates efficient pipeline shipment and inter-company purchases and exchanges to cover refinery problems and demand fluctuations, while reducing bulk transportation costs. However, there are real differences in the additives injected when the tank truck picks up a load of fuel at the distribution terminal, when the fuel becomes some company's branded product. If you own a newer car with a sophisticated engine, spending a little more to get a major oil company's additive package could pay off in better performance and reduced maintenance costs down the line.

But while the company from which you buy your gas might not have refined every gallon themselves, they must still stand behind it, and in my estimation that's the most important extra you're paying for. If you get a tank of bad gas or one blended with 20% ethanol instead of 10% and need to have your car's entire fuel system rebuilt, you stand a much better chance of getting compensated for the repair by a major gasoline brand than an independent or discount station. I consider myself fairly thrifty, but that's worth an extra 5-10 cents per gallon to me. I'll admit to a bias against buying gas from even a big supermarket chain for the same reason.

Finally, in terms of competition, it's ironic that the most viable competitor to gasoline at the moment is another petroleum product, diesel, which has captured half the new-car market in Europe and is getting a closer look here, thanks to some new technology. While biofuels hold great promise, they are still only available in relatively modest quantities, as explained in Friday's posting, and more as "hamburger helper" for traditional fuels than as fully independent alternatives to oil. While ethanol advocates would doubtless take issue with the characterization of E85 as a failure, so far, its sales have probably been hampered more by its poor value proposition--offering fewer miles per dollar than conventional fuels--than by infrastructure constraints and limited numbers of flexible fuel vehicles. In the long run, electricity looks like the strongest challenger, assuming battery prices come down and mainstream consumers find the trade-offs involved in recharging in hours rather than refueling in a few minutes acceptable.

If "Over a Barrel" accurately reflected Americans' frustration at being dependent on a commodity they feel they no longer control, it also highlighted oil's continuing indispensability. Petroleum and its products aren't about to disappear any time soon, though their dominance is starting to slip. From all indications, US oil demand has peaked, and the industry's remaining growth prospects are centered on developing Asia. The pressure to reduce oil consumption in developed countries is growing, and alternatives that were once dismissed will soon erode oil's share of the transportation energy market. However, absent a technology breakthrough, that transition seems likely to stretch out for decades, and it's a virtual certainty that the economics and geopolitics of oil will continue to frustrate us for many years to come.

Minggu, 02 Agustus 2009

Structures of Hybrid Vehicles

Structures of Hybrid Vehicles



By Andi Bintang

Global warming has become a major issue in the past year. Although environmental issues are recognized, they are not given that much attention on a wider scale. Now, more and more people are becoming aware of how much mankind has affected the planet. The need for solutions is recognized more than ever to address environmental issues. Due to this hybrid cars are becoming increasingly popular to consumers.

The shift from conventional cars is not just because of environmental concerns but also due to soaring gas prices. Hybrid vehicles bridge the gap between using an SUV and caring for the environment. There have been lots of improvements in the hybrid technology as the millennium came and it will be just a matter of time before it dominates the fuel dependent dominated automobile industry.

The hybrid vehicle drive train

Hybrids come in different types depending on their structures. Although they may differ in some aspects all of them are made with the same purpose. These vehicles are designed to reduce fuel consumption, reduce pollution and noise emissions and provide an alternative for customers.

They come in three structures. The parallel hybrid system has a diesel engine and an electric motor that is connected to a mechanical transmission. A large electrical generator and a motor are combined to replace the starter motor and the alternator.

A series hybrid system has a similar design with a electric battery vehicle. It is also referred to as the Range Extended Electric Vehicle. The difference is the diesel engine drives the electric generator instead of the vehicle's wheels. The electric generator in turn charges the battery and powers the electric motor which propels the vehicle. A super capacitor or a flywheel can be added to recapture braking energy which reduces the losses in the battery.

The combined hybrid system, as it names suggests is a combination of the parallel and the series system. It is incorporated with power split devices so that the power paths placed from the engine to the wheels can be either electrical or mechanical. This is done to decouple the power supplied by the diesel engine from the power needed by the driver.

If a consumer wishes to convert his or her vehicle aftermarket kits are available. The owner has the option of buying a glider and a hybrid or an electric motor from the automaker. He or she will then receive the vehicle installed with the hybrid drive train structure.

Jumat, 31 Juli 2009

"Over a Barrel" - Part I

I finally caught up with last Friday's broadcast of an ABC News special entitled, "Over a Barrel: The Truth About Oil." The subtitle gives a strong hint at the tone of the piece, though Charles Gibson and his crew did a reasonable job of lining up some talking heads who could offer a balanced perspective, along with the more predictable exponents of suspicion and conspiracy. My former employer, Chevron, also provided access to several facilities and got some good exposure in the process. Rather than dissecting the entire program and its arguments, I thought it might be more useful to take essentially the same starting point and create my own quick summary of the basic facts about oil that informed Americans ought to know, referring to the show when appropriate. That's a tall task, since the subject is clearly too complex to cover in much detail in a single posting. As it is, I'll break it up into two segments, with today's focused on oil and a subsequent posting looking at gasoline, other products, and the impact of climate change.

1. Oil is finite, but production matters more than reserves, at least when it comes to influencing prices. Nor are reserves an especially good predictor of future production, since they reflect a static view at a given level of price and technology, both of which constantly evolve. That explains the apparent paradox that since 1859 the US has produced just shy of 200 billion barrels from reserves that never exceeded 40 billion barrels. So when you hear, as Mr. Gibson reminded us, that the US consumes 23% of the world's oil but possesses under 3% of proved reserves, you should also consider that we produced 10% of global petroleum output in 2008. And that 23% of demand doesn't look quite so disproportionate, when you recall that the US makes up roughly 24% of the world economy.

2. Contrary to widely-held perceptions, overall net US energy independence, considering all the different forms of energy we produce and consume, import and export, currently stands at 74%. That's less than it once was, but not so bad compared to some of our economic competitors around the world. While China is about 90% independent (but falling,) the EU is at around 50%, and Japan is only 16% energy independent. When we talk about energy independence, though, we tend to focus on oil, because it is so important for the economy and accounts for 84% of US energy imports--a vulnerability that had been growing at an alarming rate in the last 15 years.

3. While we certainly cannot drill our way back to energy independence--a condition we have not enjoyed since the 1950s--the US still has substantial untapped oil and gas resources that are not counted in current reserves, along with many other forms of under-utilized energy that are beginning to reach a useful scale. Although I don't see us becoming truly energy independent again, or even needing to, the only potentially insurmountable obstacles to restoring a more comfortable and sustainable level of energy security are of our own making. That potential 2 million barrels per day (MBD) of additional production that T. Boone Pickens described in his interview, which awaits only unimpeded access and capital, would make a serious dent in our net petroleum imports of roughly 10 MBD, down from 12 MBD in 2007 as a result of the recession.

4. Oil still supplies vastly more energy than biofuels, wind, and solar power, and that comparison cannot change very quickly, no matter how fast these alternatives grow--and they are growing rapidly indeed. That's because of the enormous scale of our oil use and the sheer quantity of energy in each barrel. Last year the US consumed roughly 300 billion gallons of gasoline, diesel and other petroleum products. That figure includes 9.6 billion gallons of ethanol and 320 million gallons of biodiesel. After adjusting for ethanol's much lower energy content, biofuels thus met just 2% of our petroleum needs, equivalent to 400,000 barrels per day. That's not inconsequential, any more than the output of new US offshore oilfields would be. Biofuels won't close the oil import gap anytime soon, however, because the targeted 36 billion gallons of ethanol and biodiesel expected to be produced under the national Renewable Fuel Standard in 2022 works out to only about 1.5 MBD on an oil-equivalent basis. (For comparison purposes, the 29,440 MW of wind turbines currently in place in the US generate the equivalent of roughly 0.3 MBD of oil, assuming it displaces natural gas in gas turbine power plants.)

5. In the absence of any realistic means of becoming 100% energy independent, energy security should be the main focus of government oil policies. Happily, this outcome is not nearly as unattainable as self-sufficiency, though it can seem awfully elusive at times. The principal source of our energy security today, aside from our very large production of non-oil energy sources, derives from our diverse mix of suppliers. Crude oil imports are dominated by Canada and Mexico, which together contributed 32% last year, compared to 24% from the Persian Gulf. Meanwhile, over half of our substantial net imports of petroleum products came from Canada, the EU and the US Virgin Islands. The US Strategic Petroleum Reserve, which presently contains 724 million barrels of oil, constitutes an important emergency back-stop in case of a disruption in these supplies, though it is long overdue for a fundamental re-think.

6. The oil market is global, and prices are not set by oil companies or even mainly by traders on the New York Mercantile Exchange, though the latter play their part. The price level for oil is mostly determined by the interaction between global demand and the two key components of supply: OPEC and non-OPEC production. When non-OPEC output is growing faster than demand, prices tend to fall, while any increment of new demand or shortfalls in non-OPEC output that boosts OPEC's market share tends to raise prices. If you want to understand why oil has rebounded above $60 with the global economy still in recession, look no farther than the roughly 3 million barrels per day of oil that OPEC has managed to keep off the market, in an uncharacteristic display of cohesion and discipline.

Although I've omitted numerous other important aspects of the situation, we would have a more fruitful national dialogue on energy if our leaders and the electorate just understood these six points. Reasonable people differ as to how best to respond to these facts, as demonstrated by a long succession of US administrations that have pursued a variety of energy approaches, seeming consistent only in their lack of a coherent strategy with respect to oil, or at least in their inability to find one that could be sustained from one administration to the next. And before my readers inundate me with comments reminding me that any comprehensive discussion of oil must now incorporate climate change, I intend to cover that when I address the petroleum products side of this story, since most of oil's emissions result from consumption, not production.

Kamis, 30 Juli 2009

Midsize Hybrid Cars

Midsize Hybrid Cars on the Market



By Andi Bintang

There are 4 competing midsize hybrid electric vehicles on the market: Honda Accord Hybrid, Toyota Camry, Lexus GS 450h, and the Nissan Altima Hybrid.

Honda Accord Hybrid. Even before the release of the Hybrid, the Honda Accord was the second best selling car in the country. But the Accord Hybrid did not live up to the title "best-seller". After soaring success in 2005, car sales plummeted when its rival the Toyota Camry Hybrid hit the market. In 2007, the hybrid version of the Accord was discontinued.

However, buying an Accord Hybrid will give you a good 30mpg/37mpg fuel rating. Accord is run by a powerful 3.0 L engine that produces 240-hp and 232 lb.-ft at 5000 RPM of torque. The electric motor is 16-hp with 100 lb.-ft at 840 rpm of torque. The sticker price of the Honda Accord Hybrid is approx. $30,000. You cannot buy a brand new Accord Hybrid from Honda but that's not the only place where you can buy a car, right?

Toyota Camry Hybrid. Camry is known for its comfort, safety, and dependability. And surely, these characteristics are carried out with the Toyota Camry Hybrid. Powered by 2.4-liter four-cylinder gasoline engine and 105-kW electric motor and 244-volt battery pack, the Camry can deliver a total of 192 horsepower. It promises to run 33mpg in the city and 34mpg on the highway. The Camry's sticker price is at approx. $25,200. (The second generation Toyota Prius is classified as a midsize car.)

Lexus GS 450h. If you think that a hybrid should have a small engine, then, the Lexus GS 450h will change the way to think. This hybrid has 24-valve, 3.5-liter gasoline engine that produces 297-hp. That's just the half of it. The electric motor-generator produces 197 hp giving the driver of this car the power and sheer adrenaline rush. But don't be fooled, the Lexus GS 450h may perform like a sports car but it definitely has the luxury features you want in a midsize car. And why not? At the price of $55,000, you surely have to set high expectations.

Nissan Altima Hybrid. If you don't like the Toyota Camry and can't afford a Lexus GS 450h, then you can go for the Nissan Altima Hybrid. It is powered by a large 2.5-liter engine that produces 198 horsepower and 162 lb.-ft at 2800 RPM of torque. The Altima is only available in selected states including Vermont, Rhode Island, New York, New Jersey, Massachusetts, Maine, Connecticut, and California. Fuel economy is impressive considering the size of the engine. It is rated at 35mpg/33mpg and priced at approx. $25,100.

Selasa, 28 Juli 2009

Speculation and Physical Oil Prices

The story above the fold on the front page of this morning's Wall St. Journal suggested that the Commodity Futures Trading Commission (CFTC) is about to issue a report tying last year's oil price spike to speculation by non-industry participants in the oil futures, options and swaps markets. This would reverse the agency's previous finding that speculation had not played an important role in influencing the record-breaking prices we experienced in 2008. Although I plan to assess the report with an open mind, the dissemination of such contradictory conclusions--separated mainly by the handoff from one administration to another--hints that a jaundiced eye might be in order regarding both. More important than any politics that might be involved, however, is the deeper question of whether the futures-market speculation the CFTC has apparently uncovered actually harmed the real economy by spreading its contagion to the markets for physical oil with which consumers interact. The answer to that question has serious implications not just for the justification of stricter regulation of energy markets, but for overarching policies and trends affecting the production and consumption of real energy.

As I noted in a posting last summer, the growth of the futures exchanges over the last two decades has fundamentally changed oil trading. Most oil is now bought and sold on price formulas pegged to the futures prices, or to published market reports strongly influenced by them. What traders are agreeing to when they do a deal is not a fixed price, but a differential above or below a particular futures contract during a set period, usually aligned with the time when the shipment will be loaded or delivered. So while these differentials fluctuate due to a variety of factors, the price that refiners pay for crude oil remains directly tied to the futures price. That means that anything that drives up the futures market, whether a disruption in supply, higher demand, or speculation by a new class of commodity investors, has a direct impact on what we all pay for the products that refineries make.

When I discussed this issue last summer, I was careful to note that if the prices for physical grades of oil moved in lock step with the futures price, that might not by itself absolve speculators from driving up those prices, along with the futures. Other factors could produce a similar result, even if the futures were mainly driven by speculation. However, when I now look at last year's price relationships for two of the most important crude oil streams in the country, I see evidence that goes beyond a neutral result and undermines the notion that anything other than the fundamentals of supply and demand was driving prices in the run-up to oil's peak of $145 per barrel last July.

The chart below tracks the price difference between two important grades of physical oil and the monthly-average NYMEX futures price for West Texas Intermediate, which is the focus of the CFTC's investigation and the principal grade of oil against which most US oil--and indeed much of the world's--is typically priced. I chose Alaskan North Slope crude and West Texas Sour because both are produced in substantial quantities, are representative of the medium-gravity, medium-sulfur crudes that many US refineries turn into gasoline, and cannot be delivered into the NYMEX WTI contract. While there might conceivably be some degree of speculation in these grades, anyone buying them would be required either to take physical delivery themselves or sell to a refiner or other physical buyer before the oil was delivered. If futures market speculation had been driving the prices of these grades of oil last spring and summer, we'd expect to see their discounts either remain steady or widen, indicating that they were being dragged along by frothy futures. Instead, between March and July 2008 we see these grades strengthening relative to WTI--their discounts shrinking--both sequentially and relative to their average discounts since 2004. In other words, in that period the prices of these grades of physical oil appear to have been stronger than the futures market that was thought to be driving them.



Why is that important? First, the argument for stricter regulation of the commodity markets, beyond the very sensible suggestion to increase the transparency of participants' trading positions, depends on a finding that speculators not only influenced the futures markets in which they participated directly, but also the price of the physical oil purchased by refiners and thus the prices of the petroleum products that consumers, trucking companies, school districts, airlines and others purchased, to the detriment of the economy and our trade deficit. If speculation was driving oil futures but not the price of physical oil, the necessity for clamping down on it aggressively begins to resemble a fever remedy that works by banning thermometers that read above 99 degrees.

Of greater significance, I believe, is the psychological effect on our expectation of oil prices in the future. If we convince ourselves that $145 oil and $4 gasoline were mainly the fault of big, bad speculators, and that regulating them will avert such an outcome in the future, we foster a dangerous illusion that supply and demand will somehow always result in prices more congenial to our preferences and lifestyles. That's arrant nonsense, and you don't have to be an ardent believer in Peak Oil to see how unrealistic expectations of low future oil prices can stimulate demand and stifle expensive oil projects, with their long inherent time-lags. That would eventually lead to precisely the outcome we wish to avoid: much higher oil prices.

Since the summer of 2007 I have been arguing that speculation might have been influencing oil prices around the edges, but that with or without it the narrowing gap between growing demand and straining supply was the main factor behind high prices. The sudden inversion of those forces--the sharp drop in oil demand caused by the recession and the growth of inventory and restoration of adequate spare production capacity--equally and fully explains the price collapse that followed, pummeling exposed speculators and index investors. Whatever the CFTC concludes about last year's price spike, it shouldn't distract us from the necessity of investing in expanding oil production and alternative energy sources, while working hard to improve the efficiency with which we use energy, and particularly oil. Blaming it all on Wall St. would be the quickest way to undermine the gathering momentum for improving our real energy security.

Buying a Hybrid Car

Main Issues You Should Know Before Buying a Hybrid Car



By Andi Bintang

Price. One of the biggest issues of people who want to buy a hybrid car is the price. Buying a hybrid car can cost you several thousand dollars more than its gasoline-engine counterpart. The cheapest hybrid is around $20,000 while the luxury models are well over $100,000. It is predicted that the cost of hybrid vehicles will go down in the coming years as the production cost will decrease and the supply will increase.

Fuel Economy. A hybrid car is known for fuel economy. In fact, if you drive a hybrid, you can save as much as 60% on fuel. A fuel-efficient hybrid car can run from 35 to 50 miles on a gallon. However, high end hybrid models such as Chevrolet Tahoe Hybrid and those from Lexus that are built for performance still offer relatively good fuel economy.

Vehicle Option. Hybrid car models are very limited today. If you can't live by the available options, you can wait a year or two as many manufacturers have announced the release of newer hybrid cars.

Maintenance Cost. With a more complicated internal structure, the common belief is that hybrid cars are more expensive to maintain. The fact is, maintenance cost for hybrid cars is comparable to conventional vehicles. Many also fear that the battery replacement is very expensive. While the cost of battery replacement is said to be between $2,000 and $5,000, there has yet to be a report of a battery needing to be replaced due to defect or malfunction.

Safety. Hybrid cars are in general, as safe as conventional cars but there is a concern that electric shock can happen. This is a possibility but hybrid cars have been around for 10 years and there are no reports of this incident.

Luxury and Convenience. Since the price of a hybrid car is 25% to 50% higher than its gasoline counterparts, most hybrids are upscale and involve the latest gadgetry and luxury amenities.

Interior Space. Hybrid has almost become synonymous with the Toyota Prius and Honda Insight. As a result the word "hybrid" is perceived as cars with small interior space and the use of electric motors and gasoline engines. While the latter is true, the former is not entirely accurate.

Since the first release of the Prius, the market has seen several hybrid cars with more interior space. The Honda has Civic and Accord (discontinued) have a good interior space. So with Toyota's Camry, Highlander (SUV), and second generation Prius (midsize), Ford Escape hybrid, Mercury Mariner Hybrid, and Chevrolet Tahoe Hybrid among others.