There are many papers that propose diagnosis and fault detection in hybrid electric vehicles. However just a few of them con-cern in short circuit fault. In HEVs battery is one of the most crucial pars and can failure because of the short circuit due to several causes. In this paper, Matlab/Simulink Environment based hybrid powertrain system modeling and simulation for Toy-ota Prius HEV including short circuit case in DC bus system that is developed under SimPowerSystems and Sim- Driveline toolboxes is proposed. This is a multi-domain system which is composed of control system, electric power subsystem, and driving force subsystem. As for the short circuit model, it is developed according to the data collected from investigation report of Prius fire forensics. This hybrid powertrain is of series-parallel type and in order to increase drivetrain efficiency and reduce air pollution, It has two kinds of motive power sources: Internal Combustion Engine and Electric Motor. This system has the advantage of high dynamic performance and low pollution at low speeds coming from internal combustion engine and the ad-vantage of no-pollution and high available power at low speeds coming from electric motor drive. We present the short circuit analysis in DC electric supply system of HEV. The effect of short circuit to the HEV performance is analyzed.