10 reasons to buy a hybrid car

While hybrid cars have been around for a while, they’re becoming increasingly popular in Australia, so it’s likely you’ve seen more on the roads in recent times. With more and more models hitting the market and as we become more environmentally conscious, you may be considering making the switch to electric when choosing your next new car.

Hybrids are a great stepping stone from a petrol or diesel car to an electric car, if you’re not ready to go fully electric.

Here’s our list of 10 reasons to buy a hybrid car.

They’re better for the planet

The exhausts of traditional cars emit carbon dioxide and greenhouse gases. Because a hybrid car runs partially on electricity, it produces less emissions than a petrol vehicle. And when it’s running on electricity only, zero harmful emissions are being produced, which is particularly beneficial in densely populated areas and city zones. When you’re stuck in traffic in a hybrid, the car is most likely going to be running only on electricity, resulting in a more economical and cleaner vehicle.

You could qualify for a green car loan

Buying a green vehicle such as a hybrid car could qualify you for a green car loan, which may reward you for choosing a more environmentally friendly vehicle. At People First Bank, our Green Car Loan gives you a discounted interest rate for a qualifying green vehicle.

Fuel economy

This is arguably the most obvious benefit to buying a hybrid that most people would know about. With recent petrol prices increasing globally, it’s a topic you likely haven’t been able to avoid. Hybrids are fuel efficient cars and saving at the pump is a great benefit of owning one.

Tax benefits

In Australia, you may be able to get stamp duty and/or rego discounts for hybrid cars. This depends on the state or territory you live in. Visit the relevant website to find out more:

• Australian Capital Territory
• New South Wales
• Northern Territory
• Queensland
• South Australia
• Tasmania
• Victoria
• Western Australia

Hybrid vehicles that use less than 7 litres of fuel per 100km and cost less than $84,916 (GST inclusive, but excluding state/territory stamp duty and registration charges), are also exempt from the luxury car tax.

You’re not ready to go full electric

While they seem like a new concept, hybrid cars have been around for a while – the Toyota Prius was the first to become available in Australia in 2001. This means you can be confident the technology has been tested and they’ve become more refined. Hybrids are also the most affordable entry into electric vehicles, if you’re ready to make the move but can’t meet the higher price point of a purely electric car.

There’s a lot of choice

The majority of green vehicles sold in Australia are hybrids, and as far as brands and models go, we are now spoiled for choice.

According to the Federal Chamber of Automotive Industries (FCAI), over 199,000 hybrids were sold across Australia in 2025. This suggests hybrids currently account for about 16% of all new passenger cars, SUVs, utes and vans sold nationwide.

The Green Vehicle Guide has a list of top green vehicle performers and top sellers, as well as a list of newly added vehicles when they become available in Australia. Use their tools and calculators to search and compare different vehicles.

You won’t run out of battery

Unless you choose a plug-in hybrid, you won’t need to worry about running out of battery with a hybrid car, and there’s no need for a charger. Instead, the battery charges as the car drives, resulting in no need to find somewhere to plug it in, or having to wait for it to charge. This is particularly handy if you live somewhere that has no access to off-street parking.

Dual power

In hybrid cars, the wheels can be powered by the engine, the electric motor alone or both. In most cases, the car uses electricity to accelerate from being at a standstill. Instead of having to wait a few seconds with a fuel engine, the vehicle will accelerate immediately. Many can be driven on electricity at lower speeds for a distance of around 30 – 50km. This is great if you use your car for short trips in metropolitan areas. They are however not as powerful at highway speeds, which is something to consider depending on where you live and how much you drive.

Improved comfort

Hybrids have a stop-start function which stops the engine when coasting at lower speeds, and when braking. This not only saves fuel and lowers emissions but also reduces noise, so sitting in traffic will be a bit more pleasant without an idling engine. Electric motors are almost silent and operate more smoothly than a traditional engine, improving overall comfort.

A high resale value

If you’re wondering about selling your hybrid car in the future, the good news is they hold their value better than petrol cars because they are less available, and highly desirable.