Best hybrid cars in Australia

The majority of ‘green’ vehicles sold in Australia aren’t fully electric cars. Instead, they’re  hybrids that offer many of the eco-benefits and fuel savings of electrics, combined with the power that comes with a petrol engine. More than 20 years after the Toyota Prius first arrived locally in 2001, Toyota models are dominating hybrid car sales nationally. Last year, over 100,000 conventional hybrid vehicles (also known as self-charging hybrids, or HEVs) were sold across Australia. This figure is based on Federal Chamber of Automotive Industries (FCAI) results, and suggests HEVs currently account for about 9% of all new passenger cars, SUVs, utes and vans sold nationwide.

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Canstar takes a look at 10 hybrid and plug-in hybrid cars that may be worth a test drive, with detailed reviews of popular models you might like to try. But, if you’re in the market for another type of electric vehicle (EV), you may like to compare car loans (or even green loans), car insurance, or car insurance deals and offers which are currently available. You may also need to take a look at the luxury car tax too.

What is a hybrid car?

A hybrid car combines at least one electric motor with an engine that’s usually petrol, to deliver a vehicle that’s more environmentally sustainable than a car that only has a conventional internal combustion engine.

How do hybrid cars work?

In a conventional hybrid car, the system recaptures energy through regenerative braking, with the electric battery self-charging because of this. When driving, either the petrol engine does the work or the electric motor. Sometimes they work together.

What is a plug-in hybrid car?

A plug-in hybrid electric vehicle (PHEV) is a car that is run primarily using a large, battery-powered electric motor that can be charged by plugging it into an electrical source.

PHEVs do have a petrol or other combustion engine, but it is only used when the battery power in the electric motor is depleted. The larger battery and plug-in feature of a PHEV means that, unlike a HEV, it can operate solely on the power of the electric engine for around 40 to 60 kilometres. With less dependence on the petrol engine, a PHEV does not consume as much petrol or emit as much carbon dioxide (CO2) as a HEV. However, due to its larger and more expensive battery, a PHEV will typically cost more to purchase than a HEV.

What are the ten best hybrid cars in Australia?

What the best conventional or plug-in hybrid car in Australia is for you will depend on your personal preferences, needs and budget. Looking at expert reviews and what new models are coming out soon, here is a list of 10 hybrid electric vehicles that may appeal to Australians.

Top 10 hybrid electric vehicles in Australia

1. Toyota RAV4 Hybrid
2. Toyota Corolla Hybrid
3. Toyota Camry Hybrid
4. Toyota Yaris Cross Hybrid
5. Mitsubishi Outlander PHEV
6. Hyundai Ioniq
7. MG HS Plus EV
8. Lexus LS
9. BMW 330e
10. Volvo XC90 Recharge PHEV

Top 10 hybrid electric car reviews

Keen to find out more about Canstar’s top 10 favourite hybrid electric cars, and what we think adds to their appeal?

1. Toyota RAV4 Hybrid

• Price: From $42,260
• What’s to love: Currently Australia’s best selling hybrid car, its standout feature being the ability to drive up to 40km/hr on the electric motor alone. It’s useful for city and suburban driving, while also providing impressive power and performance when using the petrol and electric motors simultaneously.
• Specs: Toyota Australia – RAV4.

2. Toyota Corolla Hybrid

• Price: From $32,100
• What’s to love: Another trusted and reliable Toyota hybrid comes in the form of the Corolla. Connecting a 1.8-litre engine to an electric motor provides an efficient drivetrain, coupled with a solid build and responsiveness, the Corolla won’t leave you feeling short-changed.
• Specs: Toyota Australia – Corolla Hatch; Toyota Australia – Corolla Sedan.

3. Toyota Camry Hybrid

• Price: From $37,917
• What’s to love: Like the models before it, the Toyota Camry Hybrid brings the benefits of electrics and petrol together in a hybrid alternative that leverages the Camry’s position as Australia’s favourite medium-sized sedan.
• Specs: Toyota Australia – Camry.

4. Toyota Yaris Cross Hybrid

• Price: From $30,000
• What’s to love: The Toyota Yaris Cross Hybrid is the only hybrid in the light SUV segment with the Australasian New Car Assessment Program (ANCAP) awarding the Yaris its coveted five-star safety rating, for its hybrid variants which also benefit from 10 years of hybrid battery cover. With a tight turning circle, it’s perfect for navigating narrow inner-city parking.
• Specs: Toyota Australia – Yaris.

5. Mitsubishi Outlander PHEV

• Price: From $57,290
• What’s to love: This model took first place in Australia’s top selling plug-in hybrid vehicles (PHEVs) list for 2023. A previous model of the Outlander won a prestigious ‘Good Design’ Award in its home country of Japan even before arriving in Australia. The awards reflect Japan’s “sole official design evaluation and awards program”, according to Drive.
• Specs: Mitsubishi – Outlander.

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6. Hyundai Ioniq

• Price: From $65,000
• What’s to love: Built in Korea, the Hyundai Ioniq might not offer a much better fuel economy than some of its counterparts, but it does deliver a better-packaged vehicle with a premium guise.
• Specs: Hyundai – Ioniq.

7. MG HS Plus EV

• Price: From $46,990 driveaway
• What’s to love: The MG HS Plus EV range offers value for money, with the HS Plus EV Excite model being one of Australia’s cheapest PHEVs. The Excite model brings features such as a 12.3-inch digital gauge cluster, 10.1-inch touchscreen, satellite navigation, Apple CarPlay and Android Auto, MG Pilot active safety suite, LED daytime running lights and tail-lamps, automatic headlights and wipers, keyless entry/start, and an electronic park brake.
• Specs: MG – HS Plus EV

8. Lexus LS

• Price: From $195,895
• What’s to love: As far as luxury hybrids go, the Lexus LS is one of the best. WhichCar notes that the LS500h Sports Luxury model has become cheaper than its petrol counterparts, at time of writing. The LS500h offers ground-based business class travel, featuring an  array of comfort, convenience and safety technology. If you’d like a more affordable option but are still keen on a Lexus hybrid car, you may also like to consider models such as the Lexus NX300h or the Lexus IS300h.
• Specs: Lexus – LS.

9. BMW 3 Series 30e

• Price: From $98,700
• What’s to love: As a PHEV, the BMW 3 Series 30e makes a lot of sense; with Drive noting that the 3 Series range has recently received a facelift. This includes reworked LED headlights, fresh paint options and a new infotainment screen with an updated operating system. The 330e further benefits from BMW’s excellent drivability, complemented by a luxurious look and feel and a refined cabin. It also scores a five-star ANCAP rating.
• Specs: BMW – 3 Series

10. Volvo XC90 Recharge PHEV

• Price: From $128,990
• What’s to love: A fan favourite in the premium family SUV segment, the XC90 is Volvo’s flagship recharge plug-in hybrid variant. It’s well-equipped, with features such as 22-inch diamond-cut alloy wheels, four-zone climate control and air suspension with adaptive damping. Much of the equipment that’s included with this model as standard costs more on competing models, and the headroom is good for taller Aussies. With outstanding fuel efficiency, the CX90 is also effortless to drive.
• Specs: Volvo – XC90

Pricing for Canstar’s top 10 list are based on manufacturers’ suggested retail prices (MSRPs) at the time of writing and unless otherwise stated are for the base hybrid model of each car, before any on-road costs. The total price you pay will likely be somewhat higher and may vary depending on where in Australia you live, as well as the variant and specifications you choose. Keep in mind Canstar has brought this list together using online research and expert industry insights. It is opinion only. There may be another hybrid electric car, or a different car altogether, that’s right for you.

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Hybrid vs electric vehicles: what’s the difference?

Unlike a hybrid or plug-in hybrid electric car, a pure electric car has no petrol engine and is powered solely by a battery-powered engine that can be charged by plugging into an electrical source. An electric car emits no CO2 from the vehicle and can help a driver save on fuel costs. However, with no petrol engine to fall back on, an electric car may be more limited in how far it can be driven before needing to be recharged. It’s also typically more expensive to purchase than a hybrid or plug-in hybrid electric car.

What are the benefits of a hybrid car?

Hybrid car benefits can include: reduced running costs, lower tailpipe emissions, a quieter and smoother operation, as well as stronger performance. CarsGuide explains it well: the “combination of an internal combustion engine and an electric motor adds extra power and enhanced performance to a hybrid, since electric motors require zero revs to achieve maximum torque”.

5 factors in choosing a hybrid car

If you are looking to make a switch from a pure-petrol or diesel model to a low-emission hybrid or plug-in hybrid vehicle, five factors to consider are:

1. Cost
2. Greenhouse gas emissions
3. Battery range and warranty
4. PHEV charging options
5. Insurance

1. Cost

Although there are some relatively cheap hybrid vehicles available in Australia, the RAC says most are generally more expensive than their equivalently-sized petrol-engined counterparts. This is due to the added cost and complexity of the battery pack, electric motor, unique transmission and the generator technology.

However, pricing for these cars has come down significantly in recent years, with hybrids now becoming a viable alternative for consumers. It’s important to consider whether the added upfront price can be made up by the savings you can make on petrol. And, there are two propulsion systems in HEVs and PHEVs (petrol and electric), this can also add to the cost and complexity of servicing and repairing these cars.

When it comes to PHEVs, the upfront cost of one of these types of cars is often substantially more than its petrol and HEV counterparts. In some states there are registration and stamp duty incentives available for low-emission vehicles such as HEVs and PHEVs, which may help drivers of these cars save money.

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2. Greenhouse gas emissions

RAC said hybrids and plug-in hybrids produced fewer CO2 and nitrogen oxide emissions than petrol or diesel cars, resulting in “dramatically more economical and cleaner vehicles.” This is especially true for city areas where heavy traffic (and therefore more braking) means the electric motor is more likely to be the main force driving the wheels.

However, in order for a vehicle like a HEV or PHEV to be considered ‘green’, the Australian Government has said it needs to have an emissions intensity that does not exceed 120 grams of CO2 emissions per kilometre (g/km).

So, if you are looking to be kinder to the environment and switch to a low-emissions hybrid vehicle, it may be worth checking to see whether that vehicle falls within the government’s emissions guidelines. You can often find the CO2 emissions per kilometre online when researching the specs of a vehicle. The other option could be to consider purchasing a pure electric vehicle (EV). According to the Electric Vehicle Council, EVs emit zero exhaust emissions and even when charged by coal-fired electricity they generate lower emissions than a HEV car.

3. Battery range and warranty

How long a plug-in hybrid vehicle can travel on its battery power alone (its ‘range’) could be important to consider, particularly in a large country like Australia. When a PHEV is plugged in and recharged appropriately, it often allows anywhere between 20 km to 60 km of range on battery only. This means that for many people, their daily commute can be completed using electric battery power only. In addition to checking the range of your PHEV, it’s also important for consumers to check whether the battery of their car has some kind of heat management system since batteries last longer if they are kept cool. Most batteries in a PHEV and HEV carry around an eight to ten-year warranty, but because the electric engine isn’t always working full-tilt in a HEV (only used for short distances or when the car is idle), they are proven to generally last longer than a battery in a PHEV.

4. PHEV charging options

In Australia, you can charge your PHEV vehicle at home or at a public charging station. If you choose to charge up at home, you can often use either a standard existing wall socket or a dedicated PHEV charging station. Before purchasing a PHEV, it may be worth checking what charging options are available with the manufacturer, to help decide if these options will suit your needs and budget.

5. Insurance

Based on Canstar research, most car insurance providers in Australia offer insurance for hybrid vehicles. While insurance premiums for purely electric cars will typically be more expensive than cover for petrol or diesel cars, this is not always the case when it comes to hybrid vehicles.

Premiums for hybrid vehicles can vary depending on the provider. You can compare car insurance options with Canstar to help you find a policy that suits your needs and budget. Keep in mind that it can be worthwhile to read the relevant policy documents, like the Product Disclosure Statement and Target Market Determination, before you sign up.

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