The reduction in specific heat commonly encountered due to the addition of nanoparticles to a heat transfer fluid such as propylene glycol-water mixture, can be overcome by co-dispersing surfactant-encapsulated paraffin wax, leading to formation of a hybrid nanofluid. Experimental investigations have been carried out on the preparation and evaluation of thermophysical properties of a hybrid nanofluid containing pluronic P-123 encapsulated paraffin wax (70-120 nm diameter, 1-5 wt.%) and sand nanoparticles (1 vol%) in propylene glycol-water mixture. The comparison of results of differential scanning calorimetry of pure paraffin wax and encapsulated paraffin wax revealed encapsulation efficiency of 84.4%. The specific heat of hybrid nanofluids monotonously increased with paraffin wax concentration, with 9.1% enhancement in specific heat for hybrid nanofluid containing 5 wt.% paraffin wax, in comparison to propylene glycol-water mixture. There exists an optimum paraffin wax concentration (1 wt.%) for the hybrid nanofluid at which the combination of various thermophysical properties such as specific heat, thermal conductivity and viscosity are favorable for use as heat transfer fluid. Such a hybrid nanofluid can be used as a substitute for propylene glycol-water mixture in solar thermal systems. (C) 2017 Elsevier Ltd. All rights reserved.