27 MPG combined is an acceptable number for the 2021 Volvo XC60 AWD plug-in hybrid, but it requires understanding the vehicle’s purpose. This isn’t a Prius competitor. It’s a stylish, comfortable, and safe luxury SUV designed for buyers who want a blend of electrification and practicality, and who likely have relatively short daily commutes where they can use the electric-only range.

City and highway performance

The EPA numbers show a slight difference between city and highway fuel economy, with 26 MPG in the city and 28 MPG on the highway. These figures suggest that the XC60 PHEV performs best in steady-state highway driving, which allows the gasoline engine to operate more efficiently. The city MPG, while slightly lower, still benefits from the hybrid system’s regenerative braking and electric motor assistance. Drivers who frequently navigate stop-and-go city traffic will likely see slightly better-than-rated MPG if they prioritize electric-only driving and keep the battery charged. However, extended highway trips at higher speeds might result in the gasoline engine doing more of the work, pulling the average fuel economy down closer to the EPA highway figure.

Annual fuel cost

The EPA estimates the annual fuel cost for the 2021 Volvo XC60 AWD PHEV at $2,150. This calculation is based on driving 15,000 miles per year and using national average fuel prices. It is important to remember that this is just an estimate, and your actual fuel costs may vary depending on your driving habits, the type of fuel you use, and local fuel prices. Drivers who plug in frequently and maximize their use of electric power will significantly reduce this cost, potentially by hundreds of dollars per year. For those who rarely plug in, this number provides a more accurate prediction, and it may even be higher.

Real-world expectations

Despite the official EPA rating, expect wide variability in the XC60 PHEV’s real-world MPGs. The extent to which you use the electric motor is the biggest factor. If you religiously plug in to recharge, especially overnight, and predominantly drive short distances, it is realistic to exceed the 27 MPG combined estimate, conceivably by a large margin. On the other hand, if you treat the powertrain as a traditional hybrid, you’ll likely see numbers closer to or possibly even lower than the EPA estimate, with longer highway drives impacting the average negatively. For more information, visit XC60 MPG across all years of production.

How it compares

The XC60 PHEV’s fuel economy is competitive within its segment but lags behind some of its non-plug-in hybrid rivals. The Lexus NX 350h, for example, offers a combined 39 MPG, a significant advantage over the Volvo, but it lacks the plug-in capability. The BMW X3 xDrive30e, another plug-in hybrid competitor, achieves 24 MPG combined, making the Volvo slightly better in terms of fuel consumption. For those looking at other Volvo models, all Volvo fuel economy data is available online. The Acura RDX, a non-hybrid competitor, gets 23 MPG combined, highlighting the XC60 PHEV’s advantages when the electric motor is engaged. Buyers drawn to the XC60 PHEV prioritize luxury, safety, and partial electrification over outright fuel efficiency, but it’s important to acknowledge what’s giving way for those priorities.

Tips to maximize efficiency

Remember to pre-heat or pre-cool the cabin while the XC60 is plugged in. This uses grid power rather than draining the battery while driving, which can significantly extend your electric-only range, particularly during the winter or summer. The XC60 PHEV includes selectable drive modes, including a “Pure” mode that prioritizes electric-only driving. Use this mode for short trips and city driving whenever possible to minimize gasoline consumption.

Gentle acceleration and braking can also impact fuel economy in a positive way. Avoid aggressive acceleration and anticipate stops to maximize regenerative braking, which recovers energy and recharges the battery. The XC60’s advanced driver assistance systems, such as adaptive cruise control and lane keeping assist, can help maintain a consistent speed and reduce unnecessary acceleration and braking on highway drives, which improves overall fuel economy.

Maintain proper tire inflation, as this has a direct impact on rolling resistance. Check tire pressure regularly and inflate to the recommended pressure listed on the door jamb. Finally, keep the XC60 as light as possible by removing unnecessary items from the cargo area. Extra weight increases fuel consumption, especially during acceleration.