For most corporate fleet managers, balancing sustainability initiatives while keeping fleet costs in check is a top priority. Yet sourcing vehicles’ carbon emissions, matching them to vehicle routes, defining ownership costs, and then performing the cost-benefit analysis is a time and resource-consuming endeavor. 

This study may help overcome these initial hurdles. We asked the lifecycle cost experts at Vincentric to provide total cost of ownership (TCO) data for 2024 model-year vehicles driven 20,000 miles per year for five years in these categories: half-ton pickups, cargo vans, passenger cars, compact SUVs, and luxury vehicles. 

The resulting list produced close to 1,300 total vehicle configurations with gas and diesel (ICE), battery electric (BEV), hybrid electric (HEV), and plug-in hybrid electric (PHEV) powertrains.

As usual, Vincentric calculated its standard eight cost elements: depreciation, financing, fees and taxes, fuel, insurance, maintenance, opportunity cost, and repairs. This time, Vincentric also provided annual in-use carbon (CO2) emissions for each vehicle. 

We divided the analysis by segment, with Compact SUVs being the first one. But first: 

How Carbon Emissions Are Calculated

Vincentric broke out four sets of CO2 emissions by metric tons per year: 

• Electric generated (BEVs and PHEVs): Defined by the amount of CO2 emissions produced by power plants needed to power these vehicles.

• Tank-to-wheel (ICE & HEV): Defined by the amount of CO2 emissions produced from burning fuel within a vehicle while the vehicle is in motion.

• Well-to-tank (ICE & HEV): CO2 emissions produced from extracting, refining, and delivering fuel to the vehicle. 

• Annual in-use CO2 emissions: Totals the above three values for all vehicles in a single value demonstrating the yearly release of CO2 and Nitrous Oxide. 

With this data, Automotive Fleet calculated the average annual in-use CO2 emissions and TCO for every vehicle configuration, sorted by vehicle segment. We then calculated the average percentage improvement in CO2 emissions when switching from an ICE engine to a BEV, HEV, BEV, or PHEV. 

AF also included the top 5 TCO performers in each segment.

On to the analysis: 

Compact SUVs

The compact SUV segment is a favorite of corporate fleets. It certainly has the most model choices and powertrains, covering ICE, BEV, HEV, and PHEV. 

ICE: 189 configurations

• 5-Yr TCO Average: $71,654

• Average yearly CO2 output (metric tons): 8.68

The ICE category is the biggest by far and offers the most vehicle configurations. Eight of the top 10 spots are versions of the Subaru Crosstrek and Chevrolet Trax. 

BEVs: 55 configurations

• 5-Yr TCO Average: $80,953

• Average 5-Yr premium BEV over ICE: $9,299

• Average yearly CO2 output (metric tons): 2.72

• Average yearly CO2 savings by switching from ICE to BEV: 69%

As is the case in every segment, BEV configurations offer the lowest carbon output of any powerplant type. When transitioning from ICE to compact SUVs, BEVs in this segment offer a substantial 69% average reduction in carbon emissions. 

But that benefit comes at a price. Compact SUVs have an average five-year/100,000-mile TCO of $9,299 per vehicle more than the average TCO of ICE models. 

PHEVs: 16 Configurations 

• 5-Yr TCO Average: $81,205

• Average 5-Yr premium PHEV over ICE: $9,551

• Average yearly CO2 output (metric tons): 5.73

• Average yearly CO2 savings by switching from ICE to BEV: 34%

Of the five segments analyzed, the compact SUV segment has PHEV variants in popular fleet models. PHEV versions of Ford Escape, Hyundai Tucson, and Jeep Wrangler took the top five TCO spots. 

These PHEVs offer an average 34% reduction in carbon emissions. However, the average TCO premium for PHEVs is more than for BEVs, with slightly less CO2 savings. 

Note that Vincentric assumes 100% battery use for all trips with its PHEVs. Real-world battery use is uneven — and often half or less than 100% — which would further erode any savings in carbon emissions and overall TCO. 

HEVs: 24 Configurations

• 5-Yr TCO Average: $64,469

• Average 5-Yr premium HEV over ICE: -$7,185

• Average yearly CO2 output (metric tons): 5.63

• Average yearly CO2 savings by switching from ICE to HEV: 35%

In this segment, versions of the Toyota RAV4 Hybrid took all five top spots. 

The hybrid models offer the best TCO of any powerplant in this analysis — and it’s not at a premium, but savings of over $7,000 on average per vehicle over five years compared to ICE models. This is combined with a 35% carbon reduction, surprisingly better than PHEVs. 

While BEVs offer almost double the carbon savings, the strong TCO offered by hybrids provides an incremental yet meaningful path toward sustainability targets while conserving the fleet budget. 

Notes & Cautions

This analysis is meant to be directional only. It does not account for nuances in the capacities and capabilities of individual models within a segment.

The overall list includes manufacturers that don’t have a formal fleet program. They were included in the averages but not in our top 5 lists.

Often, one model dominates the top 5 TCO list. We point these cases out in the text. For the list, we include the top model’s best TCO configuration and move on to the next best-performing model.