Honda's advanced technology leadership in the area of fuel efficiency and low-emission vehicles was recognized by the Automobile Journalists Association of Canada (AJAC) with the Honda Civic Hybrid being named the "Best New Alternative Power" vehicle for 2006.

Honda was the first vehicle manufacturer to offer a gasoline-electric hybrid powertrain in North America with the introduction of the Honda Insight in December 1999. Improved versions of the IMA system appeared in the 2003 Civic Hybrid and the 2005 Accord Hybrid. Adding to its long history of advanced 'green' technologies, Honda's latest hybrid powertrain in the 2006 Civic Hybrid offers improved power, efficiency and capabilities. Horsepower increases by 18 percent and estimated combined fuel economy increases by about 5 per cent compared to a similarly equipped 2005 Civic Hybrid.

A new generation of Honda's Integrated Motor Assist (IMA) technology helps the Civic achieve an estimated fuel economy rating of 4.7 L/100km (city) and 4.3 L/100km (highway) - improved from the 2005 Civic Hybrid's figures of 4.9 and 4.6 L/100km. A new feature on the 2006 Civic Hybrid is the ability to deactivate all four of its cylinders and operate using only the electric motor in certain steady-state cruising situations.

The new Honda IMA system consists of a 1.3-litre i-VTEC 4-cylinder engine connected to a high-power electric motor and a Continuously Variable Transmission (CVT). A battery pack is used to capture and store electricity for the electric motor. The system uses a gasoline engine as the primary source of power and an electric motor provides additional power and electricity regeneration capability. During acceleration, the gasoline engine or a combination of the engine and electric motor propel the vehicle.

During cruising, the gasoline engine and/or the electric motor can propel the vehicle. This means the Civic Hybrid can drive on the electric motor alone in certain cruising situations, a new capability for 2006. During braking, the gasoline engine deactivates and the electric motor acts as generator to charge the battery pack. At a stop, the engine can enter an idle stop mode to save fuel, and the engine is turned off until the brake pedal is released.