Hybrid prices are coming down and people are getting more comfortable with them everyday and then Renault-Nissan and Project Better Place annouce their strategies for an 100% zero emissions car with a new battery and more power by 2011.

A little confusing for the consumer to keep up with but great for the planet!

Announcement:

“Renault-Nissan and Project Better Place pursue their strategy of zero-emission vehicles in Denmark

The Renault-Nissan Alliance actively supports the initiative of Project Better Place which announced today its second deployment in Denmark.

Renault will provide Danish customers with 100% electric vehicles at European standards in 2011, providing zero emission mobility while at the same time offering driving performance similar to a gasoline engine.

Nissan, through its joint venture with NEC, has created an advanced lithium-ion battery pack that both meets the requirements of this electric vehicle and can be mass-produced.
In Denmark, the conditions necessary for electric vehicles to be successfully mass-marketed are being brought together. The Danish government will provide tax incentives on 100% electric vehicles, Renault will supply the electric vehicles and, Better Place Denmark will construct and operate an Electric Recharge Grid across the entire country.

This announcement follows the January 21st 2008 signature of an MOU in Jerusalem by Renault and Project Better Place for the first mass-marketed electric vehicles. This second deployment illustrates the major role played by the Renault-Nissan Alliance to bring to mass-market zero-emission cars.”

If they can come up with a decent battery and power system I think people might hold out for a bit before they go hybrid and jump right to zero emission, but then there is the price…

rom AutoNews24h.com

Autodata, a statistical data provider says, “automakers are hoping better incentives will lure buyers to showrooms. Last month, the average rebate topped $2,435, or 8.4% higher than a year earlier, according to Edmunds.com.”

“No doubt, it is a buyer’s market for cars and it likely will continue,” says Dana Johnson, senior vice president and chief economist for Comerica Bank. “Auto sales will likely continue to soften and automakers will respond by offering better deals, and car buyers will find more willingness of new-car sales people to negotiate.”

To find the market’s best 2008 auto deals, we calculated cash rebates as a percentage of the base MSRP. We then identified the best deals among pickup trucks, minivans, SUVs, convertibles, sedans, coupes and wagons. Financing was not measured, as most incentives offer buyers an either/or option.

Edmunds.com analysis of February incentive deals, which include cash rebates, low finance rates and special lease deals as a percentage of average sticker price for each segment shows large trucks averaged the highest, at 14%, and luxury sports cars averaged the lowest, at 2.9%.

The 2008 Nissan Titan pickup offers the highest rebate–$5,000–17% of the $30,100 base Manufacturer Suggested Retail Price. Buyers of the Mitsubishi Endeavor may choose a $3,500 rebate, 13% off the $27,599 base MSRP.

Family sedans aren’t exempt. Both the Mitsubishi Galant V6 and the Hyundai Sonata have rebates of $3,000 each, representing discounts of 16% and 11%, respectively.

And there are bargains among convertibles, like the Saab 9-3 and the Chrysler Sebring; both offer rebates of $2,500, or discounts of 6% and 9%, respectively.

Numbers Game

Recent interest rate cuts by the Federal Reserve made it possible for automakers and lending institutions to offer lower-cost loans. The national average for new car loans is 6.77% for 36 months, down from 6.86% a week ago, and 7.14% for 72 months, down from 7.19% a week ago.

Many automakers are offering low or no-interest financing. You can’t mix cut-rate financing with cash rebates, however; you have to choose one or the other. The Nissan Titan, for example, offers qualified buyers the option of 0.9% financing for up to 60 months and 1.9% for up to 72 months, or the $5,000 cash rebate.

Luxury automakers have also dropped rates. Audi and Infiniti are offering 2.9% financing for 60 months on select models and BMW is offering 3.9% for the same term on select 3- Series models.

The discount fever has even spread to high-end luxury makers like Bentley, which just this week began offering low-financing rates on select models. Buyers can choose from an array of terms, including 4.99% for 60 months or 6.39% for 84 months.

Some automakers are taking more drastic steps to boost sales. Subaru is offering on its 2008 Forester a combo package that includes a $2,000 cash rebate for buyers who secure financing through Subaru’s lending agency. The same buyer can take advantage of low financing rates from zero to 4.9% over a 12- to 72-month period. That’s a bit unusual, because cash rebates are typically offered as an option for low-finance rates.

Car buyers who don’t mind buying a 2007 model will find even deeper discounts, particularly on gas- guzzling SUVs and pickup trucks. Toyota, for example, is offering a $5,000 rebate on the Tundra pickup; that’s 23% off the $21,395 base MSRP.

Dealers want to move these vehicles off the lots to make way for 2009 models that will begin to roll into dealer lots as early as this spring. That means many deals are in effect only through March. Some incentives, though, are renewed and some are replaced with new and better deals.

“It’s a car buyer’s market,” says Jesse Toprak, executive director of industry analysis for Edmunds.com, “and that will likely be true for months to come.”

I removed the touchy feely parts so we can get right to the nuts and bolts of the argument:

“In this article, we are going to focus on the economics of the three different scenarios. To get information for specific makes and models of cars, use Edmunds.com’s True Cost to Own which projects buying and related costs over a five year period. We’ll look at start-up costs for the initial purchase (or lease) and how the costs change over the subsequent five years.

Later in this article, we’ll look at what you have left after five years of leasing or buying. What you’ll see is that the full economic picture isn’t revealed until you look at a five-year span of car-related expenses. This timeframe was chosen because the five-year mark is when people typically change cars.




The Three Common Car Ownership Experiences

The three scenarios we’ll be looking at in this article are as follows:

-A new car purchase
-A leased car
-A used car purchase

In some cases we needed to estimate and project figures to complete the comparison. Sales tax and DMV fees were based on Southern California rates, where Edmunds.com is located. Expenses for people living in other sections of the country will probably be lower.

New Car Purchase

Owning a new car has traditionally been the preferred choice of the American public. However, the cost of new cars has risen faster than the earning power of most people. As the cost of new cars has risen, the length of loans has increased. Cars were once financed for two or three years, meaning that when the car was fairly new it was completely paid off. Now, however, new car loans are stretched as long as five or six years (60 and 72 months) to keep the monthly payments lower. In our example, we’ve chosen a three-year loan so we can more easily compare it to a three-year lease contract. Furthermore, the best interest rates are offered on shorter loans; a six-year loan would probably carry a higher interest rate.

For the purposes of these examples, we assumed that the owner would drive 12,000 miles a year. Here is how the expenses stacked up for the first year of ownership of a $20,000 new car.

New Car Ownership — First Year ( 3-year loan @ 6%)

Down Payment = $3,000
Monthly payment $608.00 per month = $7,296
Insurance = $1,140.00
Maintenance & repairs = $100.00
DMV Fees (included in monthly payments for first year) = $300.00
TOTAL = $11,536

In the above example, the buyer made a down payment of $3,000 to reduce the monthly payments. This required a large lump sum of money to drive away in the car. Clearly, during the first year of ownership, the costs were very high.

What happens over the five years the owner drives this car? For three years, the payments are high. However, there isn’t the big hit of the $3,000 down payment each year. Then, once the loan is paid off, the car is still fairly new and expenses are lower. By the end of the five years, here’s how the totals look:

New Car Ownership — Five Year Total ( 3 year loan @ 6%)

Down Payment = $3,000
Monthly payment $608.00 per month = $21,888
Insurance = $5,700
Maintenance & repairs = $1,100
DMV Fees ($300 included in monthly payments for first year) = $1,000
TOTAL = $32,388

As you can see, quite a lot of money went toward interest — $18,900 was financed (sales tax and DMV fees were $1,900) and yet the total amount of the 36 car payments was $21,888. This means a total of $2,988 was spent on interest. A significant amount of money was spent on insurance. Yearly DMV fees started high but leveled off over time and only added up to $1,000 for the five years.

When viewing car expenses, it’s important to consider them in light of how long you usually keep a vehicle. In the above example, the car belonged to the owner after three years. If he wants to continue driving the car, he can do so, and without a monthly payment (assuming it is still in good operating condition). His only expenses will be for insurance, gas, maintenance and repairs, and DMV fees.

Vehicle Leasing Expenses

As the cost of new vehicles has risen, the popularity of leasing has also increased. Leasing presents several advantages that can be appreciated now that we’ve looked at the ownership scenario. Here are the main economic benefits to leasing:

Low — or no — down payment
Lower monthly payments
Lower sales tax (tax is only paid on the amount of the car’s value used — over three years this is half the amount of the car’s total value)

The three points listed above are beneficial because it means you can get a car without a big shock to your budget. You pay little money out of pocket, and you make smaller monthly payments. Keep these points in mind as you look at the numbers. Again, we chose a $20,000 vehicle and examined the cost of a three-year lease, assuming it would be driven 12,000 miles a year.

New Car Lease — First Year ( 3 year lease @ 6%)

Down Payment = $1,000
Monthly payment $350.00 per month = $4,200
Insurance = $1,380
Maintenance & repairs = $100
DMV Fees (included in monthly payments for first year) = $300
TOTAL = $6,680

You will quickly notice that the out-of-pocket expenses of leasing a car, $6,680, is less than the $11,536 spent on a new car during the first year, despite the fact that insurance on a lease car is usually higher. In the second year of leasing the costs drop, but not dramatically (the reduction is due to the absence of the $1,000 drive-off fees and lower DMV fees). However, in our five-year scenario, a second three-year lease must be initiated. This would require paying drive-off fees again, which would be at least $1,000. Also, since it is three years later, the lease payment will probably be higher, too. So, for the remaining 24 months of the five-year cycle, we have increased the monthly payments to $385. Additionally, when the second lease begins, the DMV fees rise for the first year.

New Car Lease — Five Year Total (Two 3-year leases @ 6%)

Down Payment = $2,000
Monthly payment $350 /month for 36 months = $21,840
$385 /month for 24 months
Insurance = $6,900
Maintenance & repairs = $800
DMV Fees (included in monthly payments for first year) = $1,230
TOTAL = $32,140

Looking at the figures above, you’ll see that maintenance costs are only $800. This is because, in the first three years of a car’s life, we’re assuming that only a brake job and oil changes are required (everything else is covered by the warranty). Even tires usually don’t wear out on a car that is leased for three years.

Used Car Ownership

After the shock of seeing the cost of new car ownership and the expense of leasing, it’s time for some good news. In this example, we assumed that a person bought a used car for $10,000 by making a $2,000 down payment and paying off the balance over three years at an 8 percent interest rate (used car loans are financed at higher rates).

Used Car Ownership — First Year (3-year loan @ 8%)

Down Payment = $2,000
Monthly payment $285 per month = $3,420
Insurance = $850
Maintenance & repairs = $300
DMV Fees (included in monthly payments for first year) = $200
TOTAL = $6,570

As you can see, the first year expenses are not exceptionally low. But at the end of three years the picture improves — the car is paid off and expenses remain almost level. We increased the maintenance and repairs cost for each ensuing year. However, the cost of insurance can be lower than when buying or leasing a new car, particularly if you opt to waive theft and collision coverage and go with just liability (once the loan is paid off).

The real savings of owning a used car comes from all the years of potential service it provides after it’s paid off up until “the wheels fall off.” Over five years the totals look like this:

Used Car Ownership — Five Year Total (3-year loan @ 8%)

Down Payment = $2,000
Monthly payment $285 per month = $10,260
Insurance (rates drop after first three years) = $3,430
Maintenance & repairs = $2,700
DMV Fees ($200 included in monthly payments for first year) = $650
TOTAL = $18,390




Comparing Ownership Scenarios

So far, the used car scenario looks best at $18,390 for five years. Leasing comes in second with a five-year total of $32,140. New car buying appears to be the most expensive at $32,388. However, the two people who bought their cars now own them and can benefit from the value in the cars. They will benefit either by continuing to drive the cars and getting practical value from their purchase, or they might decide to sell their cars.

We’ve estimated that the person who bought a new car will have a car worth $7,000 after five years. The person who bought a used car for $10,000 will have a car worth $2,000. The person who is leasing has no equity, and in another year, will have no car. If the value of the cars are figured back into the new and used-car buying formula, a different result is revealed.

New Car Ownership - Adjusted Total

-Cash out-of-pocket = $32,388
-Value of the car now owned = $7,000
-Adjusted cash out-of-pocket = $25,388

Used Car Ownership - Adjusted Total

-Cash out-of-pocket = $18,390
-Value of the car now owned = $2,000
-Adjusted cash out-of-pocket = $16,390

Lease Car - Adjusted Total

-Cash out-of-pocket = $32,140
-Value of the car now owned = $0
-Adjusted cash out-of-pocket = $32,140

Conclusions

Now we see that leasing becomes the most expensive way to drive — in the long run. Here’s how leasing compares to the two ownership scenarios:

Leasing vs. Buying New — Using the figures presented in this article, it is $6,752 more to lease a new car over a five-year period, than it is to buy the same car outright. This breaks down to $1,350 more per year to lease rather than to buy a new car.

Leasing vs. Buying Used — It is $15,750 more to lease a new car over a five-year period than it is to buy and operate a used car for the same amount of time. This is an additional yearly cost of $3,150.

Buying Used vs. Buying New — Not surprisingly, it costs a lot less to buy and drive a used car over a five-year period than a new car. In this example, it is $8,998 less for five years or $1,799 less per year.

The figures we’ve presented here indicate that buying a car — whether it is new or used — is more economical than leasing a car. However, some people might point out that, while driving a used car costs less, the pleasure of driving an older car is lower, too. To be fair, you can’t put a dollar value on the fun of driving a new car. As we said before, the benefits of new/leased/used vehicles can be argued many different ways. The purpose of this article was to look at the numbers involved in typical examples and let the figures speak for themselves.”

Also, take a look at his website in the author bio after the article, he has some more great information that will help you save money at the pumps.

“A Costly Mistake at The Gas Pump You Can Avoid!”

“The costly mistake many drivers make when filling their car with gas is to overfill it by topping it off. When the gas pump nozzle clicks off, do you stop or do you keep pumping? Are you trying to add more gas your tank after the shutoff trying to stuff as much in as possible? Are you pumping more gas after the shutoff to round your total cost to the nearest full dollar amount? If either of these scenarios are true, or if any other reason causes you to top off your tank you have developed a bad habit that is costing you money and is contributing to air pollution.

Most gas stations are equipped with pumps that have vapor recovery systems to recover gas vapors keeping those vapors from getting into the air. If you top off your tank it will cause you to pay for gas that is drawn back into the gas station’s vapor recovery system.

The extra gas you are trying pump may be drawn back through the vapor recovery system into the station’s tanks. Then in essence you are paying for fuel that is not going into your tank but is going into the gas station’s tanks. This, of course, raises your cost of gas.

When you overfill your gas tank it is almost a certainty that gasoline will evaporate or will be spilled. If either of these or both of these occur it means buying gas that is not getting into your car. That has to hurt you in the wallet.

There are more undesirable situations that can happen when overfilling your gas tank. Gas expands as it warms up. This is certainly something to keep in mind in the summer or in areas with warm weather. Gas in underground tanks will be cooler than the air as the ground insulates it from the heat. As the fuel in your tank gets warmer it expands. As the fuel expands it has to have more room.

If you overfill your car, there is no room for the fuel to expand. As the gas expands it has to go somewhere. It could easily find it’s way into the vapor collection system of your own car. This may foul the vapor system causing it to malfunction.

The fuel that expands is lost gasoline that you have paid for. You paid for gas that you are not able to use. The result: your cost of gasoline goes up. But that is not the end of your increased costs! If the expanding fuel ends up in your car’s vapor collection system it will negatively affect the system. If that occurs your vehicle will become much less efficient.

A vehicle that runs inefficiently burns more fuel which translates into spending more money on gas. That is a double hit in the wallet, once for the fuel that is lost directly and second for the additional gas your vehicle uses because it is running inefficiently.

Gas vapors add toxic substances such as benzene to the air. This is a major contributor to days that are designated ozone warning days. Fuel vapors are detrimental for your health and harmful to you if inhaled. When you overfill your tank you end up with vapors added to the air right where you are pumping. This will cause you to inhale toxic fumes.

The next time you stop to fill your vehicle, when the pump stops don’t try to add any more gas, your tank should be quite full. Don’t overfill it! Don’t top it off! You will save yourself fuel and money but you will also contribute to preserving your good health and preserving the environment!”

Scott Siegel is the author of a 143 page manual of industry insider information on saving gas and money at the pump (beatthegaspump.com). Visit us to learn how you can get better gas mileage. Find out how to increase gas mileage.

“The flying car has been a dream pursued by inventors since the dawn of aviation and a fantasy long held by commuters wishing they could soar above traffic like George Jetson.

Engineers and eccentrics have patented more than 70 designs since 1918, and even the U.S. government and Henry Ford tried to build flying cars. But success has been elusive, the challenge too great, and such machines have remained the stuff of science fiction.

Until now.

An aeronautical startup called Terrafugia has developed a small airplane called the Transition that it says can take to the sky as easily as the road. It is about the size of a large SUV and features innovative folding wings that collapse with the press of a button. Terrafugia calls it a “personal air vehicle.”

The team behind the Transition still has to design a drivetrain to propel the craft and a mechanism to transfer power from the propeller to the wheels, but it expects to begin flight tests late next year.

Production could begin as early as 2009, and Terrafugia says it’s already received more than 30 orders.

Not long after Henry Ford started building cars and the Wright brothers proved we could fly, an inventor and aviator named Glenn Curtiss built the first flying car in 1917. The Curtiss Autoplane wasn’t much to look at and it barely got off the ground, but it proved that it was possible to merge automobile and airplane into a single machine.

Still, the Autoplane and most of the “roadable” aircraft that followed had the same problem - combining the mechanics of an automobile with those of an airplane created something that didn’t work well as either. It also proved exceedingly difficult to design a machine light enough to fly but robust enough to drive without being blown off the road. There were some that worked - most notably the Airphibian and the original Aerocar, the only flying cars certified by the Federal Aviation Administration - but most were unstable cars and clumsy airplanes.

Advancements in composite materials and metal alloys have addressed many of those problems, and Terrafugia is in a race with several other companies to bring a flying car to market. They include Moller International, Aerocar and Urban Aeronautics.

The Transition isn’t so much a car you can fly but an airplane you can drive, and it is meant to be an alternative to driving for trips between 100 and 500 miles.

“This is not going to replace your Toyota Camry,” company founder Carl Dietrich told the Boston Globe. “You could take it to the store, but it doesn’t have the trunk space of your SUV.”

The preliminary specifications calls for an aircraft 19 feet long and 80 inches wide with the wings folded (the wingspan is 27 feet). It will have a 100-horsepower engine powered by unleaded fuel and a propeller at the rear. The airplane will cruise at 115 mph and have a range of about 460 miles, and it will have room for two people and 550 pounds of cargo. It will weigh 1,320 pounds.

The self-folding wings make the Transition unique, as past flying cars used wings that had to be removed or folded manually. The idea was to make the transition from airplane to automobile as quick and seamless as possible. The design team unveiled the folding wing design in July at the annual AirVenture aviation festival, where they opened and closed the wings more than 500 times without a problem. The wings feature several mechanical and electrical locks to ensure they don’t collapse in flight.

“Going into this, we knew our two biggest design challenges to make it practical would be the wings and the powertrain,” Anna Mracek, an engineer and chief operating officer at Terrafugia, told Technology Review. “By validating the durability of the wing’s construction and engineering, we’ve checked on major design challenge off the list, and now our focus is on the second.”

But the greatest challenge may be getting the Transition certified by the Federal Aviation Administration and the National Highway and Transportation Safety Administration. The aircraft will be classified as a light sport aircraft, and a sport pilot license will be required to fly it. Such licenses generally require less time to obtain than traditional licenses.

Mracek says the company has been working closely with the two agencies “to make working with them as painless as possible” and has made inroads toward certification. The FAA says “the concept of airplanes as personal transportation” is on its radar, so to speak.

Dietrich founded Terrafugia - Latin for “escape from land” - three years ago while still pursuing a doctoral degree in aeronoautical and aerospace engineering at Massachusetts Institute of Technology. He got his pilot’s license at 17, and even as a boy dreamed of building a flying car, and his design for the Transition was among a portfolio of ideas that earned him the prestigious Lemelson-MIT Student Prize last year.

He and the rest of the Terrafugia team believe the time is right for a flying car. They note that there are 5,296 public airports in the United States, and most people are within 20 miles of one. With many of those airports being underutilized and several studies, including the annual Urban Mobility Report, showing traffic congestion getting worse nationwide, Dietrich believes personal air vehicles may be the transportation of the future.”

Maybe Henry Ford was right after all when he said in 1940, “Mark my word - a combination airplane and motor car is coming. You may smile, but it will come.”

Hybrid cars are excellent choices for helping the environment by using less fuel and more efficiency, but hybrids also require less maintenance. Hybrid vehicles are designed to require less service and are made to last longer and run better made than a conventional car.

When deciding between a hybrid and a traditional car, all factors should be considered. Hybrid vehicles are lower on emissions, use less fuel and because they have fewer parts, tend to last longer. The following are three reasons by hybrids go in for less maintenance.

The generator of a hybrid can take on multiple tasks.

The generator on a hybrid is an important aspect of the car. A hybrid uses a separate gas engine that powers the generator. The engine on most hybrids are very small, usually a ten to twenty horsepower. It is designed to run at one speed to get maximum efficiency. The generator of a hybrid is able help to take on the tasks of several other parts of the car. This reduces wear and tear on parts that often need replacement on a conventional car. Because the generator takes on several tasks, the hybrid car is able to recapture energy when coasting or breaking to recharge the battery. This reduces battery usage and the battery in a hybrid will need to be replaced less often. Because the generator handles 80 percent of the braking, the brake life is extended, as well. Also, with a hybrid, there is the reduced chance of having warped rotors due to less heat to the generator doing more of the break work.

Another advantage of having less wear on the break system from the generator is that the brake fluid life is extended because there is minimal contamination of fluid due to less heat build up. Break pads on a hybrid tend to last longer, as well.

A hybrid vehicle has less car parts to wear out than a traditional car.

Because of the way hybrids are built, they use less auto parts. Less auto parts means less vehicle wear and replacement. This type of technology also does away with a regular starter. Not having a starter makes one less component that will need to be replaced over time. With no starter, there is no way to accidentally grind the flywheel.

The battery and motor of a hybrid do not require any maintenance over the life of the car. The engine is also designed to last longer and does not require any more maintenance than a traditional car.

The air conditioning system used in a hybrid car works by electricity and non-hybrid cars use a traditional pulley driven off a gas motor. Because the car is not running the gas motor to cool the car, there is no air conditioning belt to wear out. In addition, there is no belt required for the steering. Because the steering is electric and not hydraulic, is has minimal kickback when driving over rough or uneven roads.

There is usually no valve adjustments needed in a hybrid either. Because the motor is not constantly running, it does not wear the valve system out, if present in the car. Also, injectors in a hybrid may never need to be cleaned. There is less deposit over time on the injectors, requiring less maintenance.

Shop and Compare top selling Hybrid cars

Hybrid cars usually come with longer warranties.

Many makers of hybrid cars such as Honda and Toyota offer longer warranties on hybrids than on traditional cars. The Honda Insight offers an eight year or 80,000 mile warranty on hybrids. This includes the batteries and the power train. The Toyota Prius offers buyers with an eight-year or 100,000 mile warranty on the battery and the hybrid system. Longer warranties on these cars make an attractive feature for buyers looking for a more efficient way of driving.

When choosing between a conventional car and a hybrid look at all of the long-term possibilities. Hybrid cars can offer drivers a longer lasting car because they are built to last longer. Hybrids are also worth considering because they require less maintenance than a regular car. They offer better fuel overall efficiency, have less parts that wear out over time and many makers of hybrids offer longer warranties.

As the number and type of hybrid cars grow, consumer interest in these vehicles increases as well. What initially appealed to a select group of environmentalists is now being bought and considered by more mainstream buyers.

But let’s face it: The sticker price of a hybrid vehicle is significantly higher than its gasoline-powered counterpart. Does the improved fuel economy offset the extra cost? What happens if the hybrid drivetrain breaks?

We looked at a variety of issues and talked with hybrid owners and manufacturers to learn the real costs of owning one of these high-tech cars.

Higher Purchase Price
Hybrid cars cost an average of $2,500 to $3,000 more than comparably equipped gasoline vehicles. However, buyers can offset that premium with a federal tax credit, part of the Energy Policy Act of 2005. The tax credit provides a dollar-for-dollar reduction in the tax bill, and ranges from $250 for the Chevrolet Silverado/GMC Sierra two-wheel-drive hybrid pickups to $3,150 for the Toyota Prius.

The hitch? Once a manufacturer sells 60,000 vehicles, the credit gradually decreases over a period of 15 months until it is phased out entirely. While the act keeps the tax credit in effect until 2010, Toyota has already reached its cap, and credit for Toyota and Lexus vehicles has been phased out. Honda’s credit is still in effect but will only be good through 2008. (More details on hybrid tax credits are explained here.)

Making the deal even sweeter, several states offer tax deductions for hybrid purchases. Lee Boughey of Highlands Ranch, Colorado, received a $3,600 state tax credit as well as a $2,000 federal deduction when he purchased his Honda Civic Hybrid. “[The state and federal tax deductions] made me much more comfortable with purchasing the new technology because I was able to offset the cost,” says Boughey.

A list of available hybrid incentives (federal, state and private) is available at Hybrid Center.

Lower Insurance
Preliminary research by insurance companies indicates that drivers of hybrid vehicles have a lower risk of being involved in an accident than drivers of non-hybrid vehicles. As a result, Farmers Insurance currently offers a 5 or 10 percent discount to hybrid vehicle owners depending on their state, while Travelers Insurance offers a 10 percent discount to hybrid owners nationwide.

For comparison purposes, we looked at the estimated five-year insurance cost for a 2008 Toyota Camry Hybrid versus a 2008 Toyota Camry XLE (the closest gas-powered counterpart) using Edmunds’ True Cost to OwnSM calculations. The upshot? Over a five-year period, the average U.S. consumer will spend an estimated $770 less to insure the hybrid than either the four- or six-cylinder gas-powered cars.

Repairs — No Worries
Hybrid critics warn of potentially expensive repairs associated with the hybrid-specific parts, such as battery packs. “I was a little concerned initially,” said Lydia Segal of Alexandria, Virginia, who owns a Lexus RX 400h, “but Toyota’s had its hybrid technology out for quite a while now. Plus, I did a lot of research on the Internet and couldn’t find anyone who had a problem with the hybrid system.”

And there doesn’t seem much reason to worry. All the hybrid-specific components in every hybrid vehicle currently on the market are covered under warranty for eight years/100,000 miles or 10 years/150,000 miles, depending on the state, but these components have been shown to have a much longer lifespan in testing. Toyota, for example, reports that its battery packs have lasted for more than 180,000 miles in testing. Every hybrid manufacturer reports that it has conducted testing of hybrid components in extreme temperatures and with repeated charge/discharge cycles with no ill effects on the hybrid system.

Regular Maintenance — a Draw
Most hybrid cars do not require any additional regular maintenance on the hybrid-specific components. An exception is the air filter on the battery system of the Ford Escape Hybrid, which needs to be replaced every 40,000 miles.

The gasoline engine in a hybrid vehicle requires the same maintenance that it would if it were the only power source driving the vehicle. That means oil changes every 5,000-10,000 miles depending on the vehicle and the driving conditions.

In ordinary vehicles the brake pads need to be changed regularly. But the hybrids’ regenerative braking systems and their reduced heat means their brake pads typically last much longer. “We’ve seen customers go 85,000 miles before they needed to replace their brakes on their Prius vehicles,” says Toyota’s Smith.

Fuel Economy — Hybrid’s Strength
Until the EPA changed its methods for calculating fuel economy for 2008 model-year vehicles, there had been a large discrepancy between the EPA fuel economy ratings listed on the window sticker and the “real-world” results most drivers experience. While all vehicles are affected by this discrepancy, hybrid vehicles appear to be more affected by it because their EPA estimates start off higher. “For example,” explains Robert Bienenfield, product planning manager at American Honda, “a vehicle that has a fuel economy rating of 20 mpg may only get 18 mpg, while a vehicle that is rated at 50 mpg may only get 45 mpg. This seems like a bigger issue for the more fuel-efficient vehicle, but in reality both vehicles are off by 10 percent.”

The EPA’s new methods have brought fuel economy ratings more closely in line with real-world driving. For example, the 2007 Toyota Camry Hybrid had EPA-estimated fuel economy of 40 city/38 highway. For 2008, those numbers have been revised to 33 city/34 highway. But the new EPA’s fuel economy ratings still can’t show how widely numbers can vary based on an individual’s typical driving route.

“Short trips are the harshest on fuel economy, so anyone who drives just a few miles in his typical trip will see lower mpg numbers than someone who drives, say, 15 miles to work,” says Bienenfield. And no matter which car you buy, a “lead foot” will always cost more in gas than a light touch on the accelerator.

Nonetheless, driving a hybrid will always save money over its gas-fueled counterpart. The difference is more significant for some models than others, so look at the 2008 EPA ratings carefully when comparing.

Costs Vs. Benefits
On the surface, it appears that the added costs of purchasing a hybrid are offset by federal and state tax benefits, reduced fuel costs and (potentially) lower insurance rates. Thus far, maintenance and repair costs for hybrid cars seem to be a wash. Of course, much depends on the vehicle you choose, where you live, your insurer and your driving habits.

Shop and Compare top selling Hybrid cars

There are plenty of other reasons to buy a hybrid, including reduced emissions for the environment and a long list of perks, both financial and otherwise. But for the hybrid car owners we spoke with, any additional up-front costs were outweighed by their love for their cars. Linda Sutherland, of Hermosa Beach, California, says her Toyota Highlander Hybrid was the right choice for her family because it can carry plenty of passengers and cargo to their mountain cabin — without being a gas guzzler on her 150-mile daily commute.

Now that she’s owned the vehicle for a couple of years, she expects hybrid vehicles are in her family for good. “When we get ready to buy our next vehicle, we’ll look for a hybrid convertible. Hopefully one will be available by then,” she says.

Peace of mind is one of those things that are hard to put a price tag on, but it’s something that can influence a prospective auto purchaser more so than any option package or powerful engine that might be available. Chances are, your vehicle is one of the most expensive things you own- and after investing thousands of hard-earned dollars on purchasing one, flawless performance is something you would understandably expect and Buick promises to deliver.

Ensuring that their vehicles deliver just that, Buick has taken quality and reliability very, very seriously. Most recently, they’ve been the first brand in some 12 years to tie Lexus in the area of used vehicle dependability. The results, represented in the JD Power and Associates Used Vehicle Dependability study, are based on a survey of owners who drive models which are a few years old.

“Consumers don’t necessarily need to pay premium prices to obtain high quality and dependability”, said Neal Oddes, director of product research and analysis for J.D. Power and Associates. “Automakers may reap numerous benefits from producing dependable vehicles—not only in higher residual values, decreased warranty costs and opportunities for remarketing their vehicles, but also in higher customer satisfaction and increased likelihood of customers recommending or purchasing newer dependable models,” he adds.

A vehicle which ranks higher in this study will also be more likely to retain a higher residual value as well. For instance, the study indicates that vehicles with strong dependability will retain up to 15% more of their value after 3 years. This in turn can increase the purchase price when that same vehicle is sold as a used car. These more dependable machines also become an asset to dealers, who may be able to sell a machine several times over its life cycle.

Of course, top-notch production and assembly facilities serve to help a carmaker build with confidence. Buick shoppers can rest assured that they’re getting the full advantage of cutting edge production engineering and assembly facilities - a fact that is substantiated by the fact that Buick has won a dozen facility quality awards since 2002. Obviously this just stands to emphasize the craftsmanship and meticulous attention to detail Buick puts into all aspects of its business.

Each and every Buick (as well as every other GM model) also carries a comprehensive powertrain warranty that covers over 900 components related to engine, transmission, transfer case and final drive assemblies, as applicable including any internally lubricated transmission component, torque converters, transfer case components, axles, constant velocity joints and hub bearings.

This comprehensive powertrain coverage applies for 5 years or 160,000 kilometres- one of the best in the Canadian market.

Arturo Elias, GM Canada’s President, cites a successful ten year focus on achieving industry-leading quality and durability for the warranty, which reflects the confidence of GM Brands in their current product lineups. “This coverage is a reflection of the hard work of our employees, unions, dealers and suppliers, to achieve high quality standards in GM vehicles, including engines and transmissions manufactured in Canada. This recognition for quality brings our customers a new level of confidence in GM” Elias adds.

GM Connection

GM’s Safety Feature Tour shows that Cadillac puts protection first for owners.

Adaptive cruise control, intelligent airbags, Stabilitrak are just a few of the features that help to ensure Cadillac vehicles deliver safe and confident performance.

Some features on a car can be operated and enjoyed every day. Things like the car’s stereo system, climate control, seating and other functional features comprise the interface between man and machine, and ultimately that vehicle’s character.

Then again, there are features that owners hope they never have to use. Airbags and crumple zones, for instance, are there for a reason- though they aren’t the type of feature you’ll ever want to test. Thankfully, there are also features like stability control and adaptive cruise control to help ensure you never do.

Here’s a look at a few key technologies that Cadillac proudly offers to keep owners safely in control.

StabiliTrak: A stability control system, StabiliTrak keeps an eye on various vehicle systems to gauge the driver’s intentions and the attitude of the car on the road. By monitoring speed and steering inputs, the system is able to instantly detect a situation which could cause a loss of control or a skid, and correct it before it becomes a bigger problem. By reducing engine power, paralyzing the throttle, or applying selected brakes to help re-gain control, StabiliTrak works with your safe driving to act as an electronic guardian angel.

Adaptive Cruise Control: On models fitted with adaptive cruise control, the car can automatically slow itself down as it approaches another vehicle in traffic, allowing drivers to keep their hands safely on the wheel and adding convenience and peace of mind to the driving experience.

All Wheel Drive: Providing additional traction for inclement weather, Cadillac’s intelligent all wheel drive (AWD) system provides a deeper grip on the road while requiring no driver input for its operation. It seamlessly, intelligently and automatically divvies up engine power between the axles, leaving owners little more than to sit back and enjoy the ride.

Lane Departure Warning: A built-in alarm can warn careless, dozy or inattentive drivers when they’re straying from their lane on the highway. A beeper sounds, indicating that the vehicle has left its marked lane without a signal. Everyone can use a hand once in a while, after all!

Voice Command / Heads Up Display: Allowing drivers to keep their eyes on the road and hands on the wheel is a great way to increase safety on the road. That’s why selected Cadillac models are available with features like a Heads Up Display (HUD) and voice-command. Vital running data like vehicle speed, cruise control settings and navigation information are displayed virtually against the windshield by the HUD- just like in a fighter jet. Drivers simply focus their eyes in to the information to see it, and back to the road when finished- no looking down required.

Voice command, additionally, allows drivers to control various functions in the vehicle by simple voice commands as opposed to looking and reaching for a button or switch.

GM Connection

Large rear-drive cars are coming back in a big way- and Pontiac is gearing up to release its own take on the re-emerging muscle sedan. As a replacement to the long-lived Grand Prix, the new Pontiac G8 will boast a selection of advanced engines and safety features alongside the stirring sense of style that has defined the brand for generations.

With its focused and intense fascia, hood-scoops and bumper ducting, the G8 communicates some unmistakably powerful intentions. The wheels are pushed right out to the corners, and the car looks as though it’s coiled back to pounce. This one’s going to cause quite a stir.

G8 will be sold in both base and GT models that combine form and function with world-class fit and finish. Pontiac promises the highest quality inside and out, as well as comfort convenience and sophistication not typical in the price range.

The G8 show car originally unveiled at the Chicago Auto Show last year is representative of the production GT model. It featured a uniquely configured 6- litre small-block V-8, rated at 362 horsepower and 391 lb.-ft. of torque. A six-speed automatic transmission with manual shift mode is standard, and the engine features the fuel-saving Active Fuel Management (AFM) system, which enhances fuel economy by seamlessly switching from eight-cylinder to four-cylinder operation when appropriate.

An optional six-speed manual transmission, like that featured on the G8 show car, will be available soon after launch and GT models also feature a standard limited-slip rear differential. The base G8 model is powered by a 3.6L DOHC V-6 with variable valve timing, rated at 261 horsepower and comes paired with a five-speed automatic transmission with manual shift mode.

G8’s four-wheel independent suspension system employs a MacPherson strut design in the front and a four-link coil-over-shock design in the rear. Tuning is specific for both the base and GT models, but both models use a direct-acting front stabilizer bar, decoupled rear stabilizer bar and lateral ball joints on the rear suspension. This system delivers increased lateral stiffness for enhanced handling. In a nutshell, this is a machine that’s going to handle uncharacteristically well for its size.

While the show car includes some unique features, the production Pontiac G8 lineup will come with a host of standard performance, convenience and safety features, including four-wheel disc brakes with ABS and traction control, electronic stability control, 18 or 19 inch wheels and a full arsenal of intelligent airbags. GM’s OnStar is on duty to add peace of mind to any voyage, while an XM Satellite Radio entertainment system brings a huge selection of music right to owner’s fingertips. Optionally available is a 230 watt Blaupunkt™ 6-disc CD player with 11 speakers- including two 8″ subwoofers to dial up the noise.

Pontiac G8 arrives in dealerships in early 2008.

www.gmconnection.ca