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The existing active voltage arc suppression methods don’t consider the influence of line voltage drop, which leads to the existence of large fault residual current at the fault point for low resistance grounding fault occurring in the distribution network and affects the reliable extinguishing of the fault arc. In this paper, an active inverter is used to inject a compensating current to the neutral point of the system before and after the fault, and the distance between the fault point and the bus is calculated, then the reference value of the neutral point voltage which controls the fault point voltage to zero can be obtained. A double closed-loop control strategy of current inner loop and voltage outer loop is used to track the voltage reference value. The simulation results show that the proposed method is independent of the exact zero- sequence admittance value, and not only has a good arc suppression effect under different fault conditions, but also can effectively suppress the harmonic components of the fault current.