The Fiat 500 hatch will be the first small car to benefit from Fiat Chrysler Automobiles' all-new 12-volt mild-hybrid technology.
On sale in Europe as soon as next month but yet to be confirmed for Australia, the all-new 'FireFly' 1.0-litre three-cylinder petrol engine will also be available in the Panda hatch not sold here.
Comprising a 12-volt belt-integrated starter-generator (BSG) electric motor and a small lithium-ion battery, Fiat claims that its new electrified powertrain is up to 30 per cent more efficient compared to the 1.2-litre four-cylinder it replaces.
Producing a modest 51kW and 92Nm of torque, Fiat says the efficiency gains come from the mild-hybrid system allowing the little petrol engine to allow coasting at speeds of below 30km/h.
During braking, the system then claws back energy and feeds it back to the lithium-ion battery that powers all the auxiliaries when the engine is off.
Combined with an all-new six-speed manual transmission, the Italian car-maker says the little Fiat 500 Hybrid offers improved handling as the new powertrain sits 45mm lower within the engine bay, reducing the centre of gravity and cutting body roll.
Advertising its green credentials, the Fiat 500 Hybrid gets special badging and is available in Europe in an exclusive 'Dewdrop Green' paint.
As well as the new mild-hybrid version of the existing Fiat 500, 2020 is also the year Fiat will launch its second-generation Fiat 500 including a pure-electric version, which will go head-to-head with the battery-powered MINI due on sale here in a few months.