A dynamic layer diagnostic device for 
smart power grid fault comprises a data collection and monitoring unit, a 
data processing unit, a data base unit, a 
communication unit and a man-
machine interaction unit. A dynamic layer diagnostic method includes: when a 
smart power grid breaks down, calculating fault diagnosis starting conditions to conform a diagnosis strategy, wherein the fault diagnosis strategy comprises switch layer diagnosis, 
feeder layer diagnosis and 
transformer substation layer diagnosis; starting the switch layer diagnosis when changes of switch motion information are remarkable before and after the fault; starting the 
transformer substation diagnosis when changes of 
electricity amount information are remarkable before and after the fault; stopping the diagnosis when a fault element is the only one element during the diagnosis of the switch layer; otherwise, retrieving the switch historical action recording, and starting the 
transformer substation diagnosis when recording matched with the 
current switch action exists; and otherwise, starting the 
feeder layer diagnosis. The dynamic layer diagnostic method performs layering analysis on the fault, fully utilizes various fault information and improves fault diagnosis accuracy according to different characteristics of multisource information after the 
power grid fault and difficulty layer in obtaining and 
processing of various information.