The invention discloses a power equipment fault wireless alarm apparatus and method. The apparatus comprises a Beidou positioning terminal and a monitoring center, wherein the Beidou positioning terminal comprises multiple temperature sensors, a Beidou short message communication module and an equipment management server, the equipment management server processes received temperature information, acquisition time and identification information of the temperature sensors, converts the information into Beidou short message data and sends the data to the monitoring center by use of the Beidou short message communication module, and the monitoring center, after processing the data, controls an alarm module to give an alarm, and at the same time, displays the data on a display module. According to the invention, multiple pieces of power equipment in an area which is not covered by mobile signals can be monitored, fault equipment types are obtained, fault equipment can be positioned, different alarm signals are emitted according to the fault equipment types, short messages can be sent according to equipment priorities, maintenance personnel is enabled to prepare maintenance tools rapidly and accurately, and faults are rapidly eliminated.