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The development of today's powertrains focuses on the reduction of CO₂ emissions. Therefore several new technologies for internal combustion engines have been established. A further tendency is the successive electrification of powertrains in hybrid vehicles. However, these trends lead to increasing system costs which are a very important aspect at the market segment of compact cars. At the Institute of Internal Combustion Engines of the Technical University of Munich a drivetrain concept for urban and commuter traffic is under development. It is based on a lean-burn air-cooled two-cylinder natural gas engine which is combined with a hydraulic hybrid system. The paper contains detailed information about the engine as well as the hybrid vehicle powertrain in parallel structure. Particular characteristics and innovations of the hydraulic hybrid system compared to systems known so far are shown.