Are Green Cars Worth It?

Green cars are very popular, with good reason. If you are shopping for a new car, you should consider them. If you are looking to save gas, compare their benefits with your savings from our economical driving habits and by reducing your vehicle load.

By definition, green cars should offer overall fuel savings, whether that is from gasoline, diesel, biofuel, ethanol, electricity, or hydrogen--to name only what is now offered or on the drawing board. If this fuel source is renewable, better yet. It should also produce reduced emissions. And it should have a reasonable life span so the return on your investment makes it cost effective.

Fuel Savings

The first comparison to make is the average fuel cost per mile/kilometer traveled. If the green car’s fuel is electricity, this would be miles or kilometers per kilowatt hour (mpKw). For liquid fuels, it is miles per gallon (mpg) or kilometers per liter (kpl). Each vehicle manufacturer provides this information for city driving and highway driving.

This is a good place to start, but you should verify these fuel efficiency figures with an independent testing authority such as Consumer Reports or J.D. Power and Associates, which do not accept advertising revenue and are less susceptible to manufacturer influence. Another option is an internet car forum where owners offer reviews.

Consider also your effort, in time and money, needed to operate and maintain your green car. For example, if you like biofuel cars, but you must drive a significant distance to buy the fuel, you should consider this time and money cost in deciding whether to buy. Likewise, biofuel cars are harder to find than some other alternatives, and as a newer technology their initial cost is higher.

Here is a sample of what is now available, from gasoline powered small cars to ethanol, electric, diesel and hybrid.

Renewability & Emissions

1. Electricity: This tops the green cars fuel list as it can be generated from sunlight, wind, and water, all of which are the very definition of renewable. It also creates no smog emissions or direct global warming. Battery disposal is a concern.
2. Ethanol E85: This 85% blend of ethanol is made principally from corn and is renewable. Smog emissions are about 50% that of gasoline. Global warming contributions exist and are under study. Check pricing and availability in your area.
3. Oil: Unless your time frame is millions of years, oil cannot be considered a renewable resource. If you choose petroleum-based fuel, consider diesel, which contains about 10% more energy than gasoline, and that direct-injection diesel vehicles attain roughly 50% better fuel economy than gasoline versions.
4. Hydrogen: Although some southern California consumers were able to lease a hydrogen fueled Honda starting in 2008, this technology is in the conceptual stage. Since hydrogen is the most abundant element in the universe, it is inexhaustible. Capturing it, transporting it and storing it are big challenges, so for now it is very expensive.

Cost Effectiveness

This is where the rubber hits the road when asking, “Are green cars worth it?” The following simple formula calculates your costs for any period you choose--per month, per six months, per year—using only:

COST PER UNIT OF TIME = (distance driven ÷ overall mpg/kpl/mpKw) x (price per unit of fuel) + (non fuel expenses over same period)

For example if you drive 15,000 miles per year in a car with a combined 32 mpg, you pay an average $3.00/gal over the year, and your annual car payment and maintenance costs are $2,280 (a $180/mo. loan and $120 in oil changes), the formula would be:

(15,000 ÷ 32) x ($3.00) + ($2,280) = $3686.25 annual operating cost

Before you shop for green cars, try to save gas using our driving habits and load reducing tips. When you have your present car doing the best it can, plug its numbers into the formula and compare against those generated by the green cars you’re eyeing. You may be surprised.

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