Yes. But is a very efficient ICE. The PiP is not so much an EV or even a PHEV in the Chevy Volt sense but rather a Super Prius - which fixes the failings of having a weaker NiMH battery pack. For example, the Li-ion battery pack eliminates for the most part the Prius ICE automatically running during a traffic jam because its battery level dropped too low from driving the Prius under 10 mph in stop and go traffic for over 15 minutes. The PiP's more powerful battery pack also means the electric motor will go up small hill rather than giving up (as a regular Liftback Prius would). A skilled hypermiler should be able to get +100 mpg on a PiP .... a big oil CEO's nightmare.