A vehicle converts DC power from a power storage device into AC power by an inverter to run by driving a three-phase motor generator. A switching unit is provided at a path electrically connecting the motor generator and the inverter. The switching unit includes a relay corresponding to each phase. Each relay is configured to connect a coil of a corresponding phase in the motor generator to a corresponding driving arm in the inverter, or to a connection node of capacitors connected in series between direct current side terminals of the inverter. When short-circuit failure is detected at a switching element of any one of the phases in the inverter, an ECU switches the relay of the corresponding phase in the switching unit to the side of the connection node.