Chevy's Jolly Green Giant

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Behind the Wheel

Punch the gas in a regular Tahoe, and it just sits there, as if lost in thought, and then builds speed. Punch the gas in the hybrid, and it hesitates for half a beat, then takes off like a bat out of hell. I clocked my test Tahoe with all-wheel drive at about eight seconds in accelerating from zero to 60 mph, which is about a half-second faster than the regular Tahoe and very quick for a vehicle that hits the scales at nearly 6,000 pounds. The Tahoe Hybrid really jumps when you punch the gas at highway speed, too.

You don't give up any of the qualities that made big SUVs popular in the first place, either. You sit way up high, yet the Tahoe Hybrid is surprisingly maneuverable. Its 39-foot turning radius is the same as a Toyota (TM) Highlander's, and a backup camera is standard. You also have a greater feeling of solidity than in smaller vehicles. The Tahoe Hybrid and the regular Tahoe both earned five-star safety ratings from the National Highway Safety Administration in front and side collisions. (The hybrid hasn't been tested in rollover collisions, but the regular Tahoe had a mediocre three-star rollover rating.)

The Tahoe Hybrid's cabin is beautifully appointed, with lots of wood trim, an attractively sculpted dash and leather seats. It's about as roomy as a regular Tahoe's cabin. Hip and shoulder room is listed at more than five feet in both the front and rear seats. A third row of seats raises the maximum seating capacity to eight, though the back seat is so shallow that it's mainly for kids. Adults will be sitting with their knees under their chins, and headroom is limited.

The Tahoe Hybrid has the same cargo capacity as the regular Tahoe. Luggage space is 16.9 cubic feet with all three rows of seats upright, expanding to 60.3 cu. ft. with the back-row seats folded down and 108.9 cu. ft. with the second-row seats also tucked away. The Tahoe Hybrid's maximum towing capacity is 6,200 lbs., vs. 7,500 in the regular Tahoe. Ground clearance (nine inches) is almost the same.

As with other hybrids, the graphic display on the navigation screen and messages in the trip computer provide a lot of information to help you reduce fuel consumption. You can see when you're adding juice to the batteries by easing off the gas, when the big V8 is guzzling gas when you accelerate hard, and when it's operating on just four cylinders. Even in heavy-duty winter driving, I found I could easily keep mileage at close to 20 mpg just by paying attention.

Buy It or Bag It?

The first question to ask about the Tahoe Hybrid is whether you really need such a huge vehicle. Toyota's Highlander Hybrid, which sells for an average of just $41,744 according to The Power Information Network (PIN), is probably roomy enough for most people. It's about 14 inches shorter than the Tahoe and holds a maximum of seven people. Two downsides: The Highlander Hybrid's maximum cargo capacity is only 10.3 cu. ft. with all three rows of seats upright, and maximum towing capacity is only 3,500 lbs. On the other hand, the Toyota is rated to get 27 mpg in the city and 25 on the highway, even with all-wheel drive.

Another possible alternative is the new Mercedes GL320 CDI. It's nearly as spacious as the Tahoe, seats up to seven, and is powered by a 3.0-liter turbodiesel engine that's rated to get 18 mpg in the city and 24 on the highway. Diesel fuel is currently pricier than the regular unleaded the Tahoe Hybrid uses, but the price of diesel seems likely to come down over time. The Mercedes' starting price is about the same as the Tahoe Hybrid's, but the price rises rapidly if you load up on options. Watch this space for an upcoming review of the GL320 CDI.

If you don't want all the bells and whistles that come standard on the Tahoe Hybrid, the regular '08 Tahoe's average selling price is $39,371, according to PIN, 11 grand under the Hybrid's starting price. But if you want a loaded-up all-wheel-drive model, the price differential shrinks to about half that amount. And the more in-town driving you do, the better the Tahoe Hybrid looks.

See BusinessWeek.com's slide show for more on the 2008 Chevy Tahoe Hybrid.

Thane Peterson reviews cars for BusinessWeek.com.