The invention relates to a method for positioning ground faults of distributive small current. The method includes the following steps: S1. initializing a power distribution power by using the break variable of a transient zero-sequence current, and after the initialization of the power distribution terminal, in addition to recording the wave form of the zero-sequence current, also broadcasting the transient zero-sequence information that is detected by the power distribution terminal; S2. after the power distribution terminal receiving the transient zero-sequence information that is broadcast in the network, searching for the record of the initialization of the break variable with effective time period of the terminal, and if such record exists, comparing the magnitudes of the transient zero-sequence current of the network and the local transient zero-sequence current, and determining the magnitude of the detected zero-sequence current, if the initialization condition is met, initializing a neighborhood detection program, entering the step S3; and S3. performing the neighborhood detection program, using the wave form similarity of the transient zero-sequence current to determine the fault section. According to the invention, the method herein uses the power distribution terminal or an electric cable remote measuring and remote signaling fault indicator, uses distributed algorithm, and determines fault section.