A reliability evaluation method for distribution system with microgrids is proposed in this paper. The function of microgrids to make the lords isolate from the distribution system during the system failures leads to the improvement of the reliability indices of internal customers in the microgrids. First, the reliability improvement of distribution system with microgrids was analyzed, a preliminary theory analysis got that reliability of customers in the microgrid is enhanced. Also, a connection matrix is proposed in this paper to represent the syntagmatic relation of system and state of switches, then in order to quickly analyze and record the influences of every component's failure to the load nodes, a influence matrix is proposed. Moreover, a failure affect traversing algorithm was used to generate the influence matrix. Finally, the reliability indexes were calculated based on the information in the influence matrix. The distribution system of RBTS Bus6 with microgrids was used for the case study to test and verify the preliminary theory analysis.
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