The invention discloses an intelligent dynamic power distribution network neutral-point grounding method and a complete device. The complete device comprises a grounding transformer (1), an arc suppression loop switch (2), a resistance loop switch (3), an adjustable reactor (4), a damping resistor (5), a damping resistor short-circuit switch (6), a resistor (7), a neutral-point voltage transformer (8) and a computer testing and control system (9). The intelligent dynamic power distribution network neutral-point grounding method and the complete device is technically characterized in that a power distribution network neutral-point grounding mode is dynamically converted from an arc suppression coil grounding mode into a small-resistance grounding mode. When the device is connected to a power grid or a power grid operation mode changes, the device firstly works in the arc suppression coil grounding mode. The device measures capacitive current, adjusts inductive current and enables IL-IC to be smaller than or equal to I delta, wherein the I delta is a preset residual current control value. When a single-phase grounding fault of the power grid occurs, the device outputs the inductive current to perform compensation and arc suppression to grounding fault current. If the fault is an instantaneous fault, the fault is eliminated through the compensation and the arc suppression. If the fault is a permanent fault and the grounding fault is still not eliminated after certain time T, the arc suppression coil grounding is converted into the resistance grounding mode, and a fault line is judged and disconnected by detecting zero-sequence current of feeder lines.