Considering decentralized generation units, fault current and over voltages are taken in to seriously. It leads to effect on system and equipment damage may takes place. For feasible operation superconducting fault current limiter is applied in this paper, the voltage compensation active C is studied through theoretical derivation and simulation. The SFCL consist of a air core super conducting transformer and pulse width modulation inverter. The magnetic field in the air core can be controlled by PWM inverter output. Hence, the equivalent impedance can be maintained and overvoltage suppression is possible. The fault current and voltage suppression characteristics are simulated in mat lab. The simulation gives the result as reducing the fault current and over voltage; it can contribute to avoiding damage on the relevant distribution equipment and improve systems safety and reliability.