I have the G12 and Richwig does too.
It's up to you to decide what you're after. For me, a full on dSLR would just get left at home except for special occasions, whereas the G12 has similar functionality but is more pocketable. Also has a folding out screen so you can take pics from various angles. Love the chunky feel of it. Downsides IMO are zoom (only 5x), viewfinder is pretty useless, and it's not so great as video. Having said that, a lot of pros seem to use it as their second camera.
Go to a camera shop to try it out. At the time I bought it, I could have bought an entry level SLR for similar cost.
EDIT: Rich beat me in posting.