Hybrid Taxis

A large upfront cost to buy a hybrid, instead of a convential taxi, but an average payback period of only 14 months.	Slightly less maintenance than a conventional taxi.	Two to three times less greenhouse gas emissions than a conventional cab.

Why should I, as a taxi company owner or driver, consider buying a hybrid cab?

There are compelling reasons for doing so financially, plus you’ll produce two to three times fewer greenhouse gas emissions than a conventional taxi, depending on the type of hybrid vehicle you choose.

What are the financial reasons? Aren’t hybrid vehicles a lot more expensive to buy?

At first glance, a new hybrid cab – such as a Toyota Prius, Toyota Camry or Ford Escape, priced in the low-to-mid-$30,000s – is considerably more expensive to buy than a $15,000 used Ford Crown Victoria, a conventional choice for a taxi. But in a recent pilot program run by C3, five Edmonton and Calgary taxi drivers with hybrid vehicles spent an average of 58 per cent less on fuel than conventional taxis. Considering the typical taxi travels 100,000 kilometres a year, the fuel savings were such that the extra cost of buying a hybrid vehicle was recovered in about 14 months (at an average price of $1.25 per litre).

Once this capital cost was recovered, the drivers experienced ongoing monthly savings of an average $1,200 a month on their fuel bill. So over three years, your net gain (including the vehicle purchase price difference) would be roughly $26,400 if you bought a hybrid taxi instead of a used, conventional cab.

But if I’m driving that many kilometres, isn’t there a good chance I’ll have to replace the hybrid vehicle’s battery, perhaps at great expense?

For a taxi driver, the typical 8-10 year/160,000-kilometre warranty on a hybrid battery is a valid concern. But in the Alberta pilot program and in other cities where hybrid taxis have been driven for a number of years, and for as much as 500,000 kilometres, there have been no reported cases of batteries needing to be replaced.

Are there other maintenance issues with a hybrid taxi?

In the pilot program, called Hail A Hybrid, the hybrid cabs required less maintenance than conventional cabs; in particular, there was less wear of brake pads. There were also no reported maintenance issues with any of the hybrid components.

Do hybrid vehicles operate well in winter?

Yes. They work as well as conventional vehicles do in cold temperatures.

Were the taxi companies and drivers who participated in the pilot program happy with the performance of hybrid cabs?

Yes. Associated Cabs in Calgary now has a dozen hybrid taxis on the road and has ordered 15 more.

Are there any incentive programs for hybrid cabs?

Yes. While the Hail A Hybrid pilot program has concluded, C3 has launched a new, Alberta-wide test program for about 125 hybrid taxis. The program – offered on a first-come, first-served basis, with limits per company – will provide cash rebates of up to $3,000 per participating vehicle. See link for more details.

Are hybrid vehicles the only energy-efficient and environmentally-friendly choice for the taxi industry?

No. Hybrids are just one option, albeit a very attractive economic and environmental one. There are a number of gasoline and diesel vehicles that offer better fuel efficiency and reduced emissions than models traditionally used as taxis.