Abstract: According to distribution network with distributed generations (DG), fault always occurs among feeder terminal unit (FTU) equipment or among nodes, so a kind of new fault locating algorithm is proposed. When fault occurs, the fault information matrix is formed based on fault current direction information from FTU, then combining network describing matrix, fault judgment matrix is obtained by using of fault locating algorithm, by which fault section is determined finally. The correctness of algorithm is verified by examples.