Membrane costs and biofouling limit applications of membrane bioreactors (MBRs) for wastewater treatment. Here, powdered activated carbon (PAC) utilization in the formation and performance of a self-forming dynamic membrane consisting of activated sludge and PAC during hybrid wastewater treatment process was studied. Short-term agitation helped (non)biological particles to quickly uniformly settle on mesh filter, forming more uniform PAC-containing dynamic membranes (PAC-DMs). PAC adsorbed adhesive materials, resulting in an increase in average floc size and DM permeability while decreasing biofouling. The most efficient PAC concentration was 4 g L-1 considering techno-economics, i.e. the highest effluent quality (turbidity of 19.89 NTU) and the lowest biofouling (transmembrane pressure rise of 2.89 mbar). Short-term performance of hybrid PAC-DM bioreactor (PAC-DMBR) showed stability in effluent quality improvement including 92%, 95%, 83%, 84% and 98% reductions in turbidity, chemical oxygen demand, total dissolved solids, total nitrogen, and total phosphorous, respectively. Accordingly, adopting hybrid PAC-DMBR has potential to alleviate biofouling and capital cost.