Compression of gas and vapor requires energy as described by theories in physical chemistry and thermodynamics. Compression in an engine is driven by the forward momentum of the vehicle as well as the angular momentum of the flywheel. When a driver downshifts to spin the engine at high angular velocity (or RPM) without pressing on the accelerator pedal, the engine converts energy from the vehicle's speed, which is kinetic energy, into a temperature increase in the fuel-air mixture. These hot gases are exhausted from the vehicle and heat is transferred from engine components to the air.
This energy conversion occurs because most four stroke internal combustion engines require compression of the fuel-air mixture before ignition, in order to extract useful mechanical energy from the expansion. Diesel engines are adiabatic and have no spark plugs and use energy transferred to air charge during compression to directly ignite the mixture when the fuel is injected.
Use of engine braking will transfer heat buildup from brake components to the engine, which already has a system to dissipate excess heat energy (most notable component is the radiator).
In hybrid electric vehicles like the Toyota Prius, engine braking is simulated by the computer software to match the feel of a traditional automatic transmission. An additional "B" mode is also available that simulates the feel of a lower gear, and which uses the internal combustion engine to waste energy, preventing the battery from becoming overcharged.
Active use of engine braking (shifting into a lower gear) is only advantageous when it is necessary to control speed while driving down very steep and long slopes. It should be applied before regular disk or drum brakes have been used, leaving the brakes available to make emergency stops. The desired speed is maintained by using engine braking to counteract the acceleration due to gravity.
Improper engine braking technique can cause the wheels to skid (also called shift-locking), especially on slippery surfaces such as ice or snow, as a result of too much deceleration. As in a skid caused by over-braking, the vehicle will not regain traction until the wheels are allowed to turn more quickly; the driver must reduce engine braking (shifting back up) to regain traction.
This is often a source of dissatisfaction to professional truck drivers, some of whom believe that municipalities are taking advantage of them due to their transient nature, and thus disregard the law, believing that they will be gone before a complaint can be lodged.