A method and system for increasing regenerative energy available during deceleration by reducing engine pumping losses. The method includes a controller that reduces fuel delivery to the engine and closes an engine throttle during deceleration. The controller identifies the maximum kinetic energy available during deceleration and opens an exhaust gas recirculation (EGR) valve and engine throttle as necessary to reduce a vacuum in an engine intake manifold, thus minimizing engine pumping losses and increasing regenerative energy available during deceleration while ensuring that a catalyst temperature is above a catalyst temperature threshold.