How Much Can You Save on Fuel: Gas vs Hybrid vs PHEV?
The automotive industry has changed a lot over the past few years. What used to be a simple choice between “gas or diesel” has turned into a much wider conversation around hybrids, plug-in hybrids, and full electrification. More and more automakers are building these vehicles, designed not only to protect the planet but also to help drivers save at the pump. But do these vehicles, including hybrids and PHEVs, really save you fuel costs? Are they worth the higher upfront price tag compared to gas vehicles? For example, the 2026 Hyundai Tucson HEV can save roughly $675 per year in fuel costs compared to the gas version, while the PHEV can save approximately $900 to $1,200 annually. Continue reading with our team at Downtown Auto Group as we break it all down in more detail below.
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Gas Vehicle Annual Fuel Costs
To keep it consistent and objective, we’ll use the 2026 Hyundai Tucson as our example, since it comes in gas, hybrid, and plug-in hybrid powertrains, which makes it easier to compare all three on a level playing field.
Let’s assume a typical driving pattern of 15,000 km per year, mostly city driving, and an average fuel price of $1.50/L. The gas-powered Tucson has a fuel consumption rating of 9.7 L/100 km in the city. Based on that, it would use about 1,455 litres of fuel per year. At $1.50 per litre, that works out to an annual fuel cost of approximately $2,182.50.
Hybrid Vehicle Annual Fuel Savings
Now let’s look at the hybrid version of the 2026 Hyundai Tucson, which uses a combination of a gas engine and an electric motor to improve efficiency. Instead of relying solely on gasoline, the electric motor helps power the vehicle at lower speeds and during stop-and-go traffic, while the gas engine steps in when more power is needed. It also uses regenerative braking, which captures energy normally lost during braking and stores it in the battery to help power the vehicle later.
Let’s keep the same assumptions: 15,000 km per year, mostly city driving, and fuel priced at $1.50/L. The hybrid Tucson consumes fuel at 6.7 L/100 km. That equals about 1,005 litres of fuel per year, and the annual fuel cost comes out to $1,507.50. Compared to the gas-powered version, which costs about $2,182.50 per year, the hybrid saves roughly $675 annually in fuel costs.
Plug-In Hybrid Vehicle Annual Fuel Savings
The plug-in hybrid version of the 2026 Hyundai Tucson works differently compared to a regular HEV. Although both systems use a gas engine and an electric motor, the difference is that a PHEV has a much larger battery that can be charged externally. This allows the vehicle to run on electric power alone for a meaningful distance before the gas engine is needed. The Tucson PHEV can travel up to 51 km on electric power alone, which is often enough to cover most daily commutes around Toronto. Once the battery is depleted, the vehicle operates like a traditional hybrid, switching between gas and electric power as needed.
The ability to drive on electricity for short daily trips is where most of the savings come from. Charging the battery at home using a standard wall outlet typically costs only around $2 per full charge. According to Hyundai Canada, the 2026 Tucson PHEV has a rated efficiency of 3.1 Le/100 km. Using the same assumption of 15,000 km per year, the annual energy use works out to 465 litres equivalent per year, which comes to roughly $697 per year in fuel-equivalent cost.
When you factor in home charging costs, the total annual running cost typically falls in the range of $1,000 to $1,300. Compared to the gas Tucson, which costs about $2,182.50 per year in fuel, the PHEV delivers savings of roughly $900 to $1,200+ annually.
Find Fuel-Efficient Vehicles at Downtown Auto Group
At Downtown Auto Group, you’re not limited to just one brand or one type of vehicle. We bring together a wealth of manufacturers in one place, including Toyota, Lexus, INFINITI, Nissan, GM, Stellantis, Ford, Lincoln, and more, so you can compare fuel-efficient options side by side without visiting multiple dealerships. Why wait? Stop by Downtown Auto Group, located at 77 E Don Roadway in Toronto, to explore fuel-efficient vehicles from multiple brands and see which option best fits your driving priorities.