This paper presents a new concept for a hybrid vehicle using a torque and speed splitting technique. It is implemented by the newly developed controller in combination with a two degree of freedom epicyclic gear transmission. This approach enables optimization of the power split between the less powerful electrical motor and more powerful engine while driving a car load. The power split is fundamentally a dual-energy integration mechanism as it is implemented by using the epicyclic gear transmission that has two inputs and one output for a proper power distribution. The developed power split control system manages the operation of both the inputs to have a known output with the condition of maintaining optimum operating efficiency of the internal combustion engine and electrical motor. This system has a huge potential as it is possible to integrate all the features of hybrid vehicle known to-date such as the regenerative braking system, series hybrid, parallel hybrid, series/parallel hybrid, and even complex hybrid (bidirectional). By using the new power split system it is possible to further reduce fuel consumption and increase overall efficiency.