The fault analysis problem of a distribution network has many difficulties comes from the unbalance of loads or networks and the lacks of load information. The unbalance of loads or networks make the fault location difficult when it use the classical sequence transformation. Moreover the amount of load in the distribution networks fluctuates with time. This paper introduces a recent fault location algorithm using iterative method which handle the unbalance of the problem. But, the fault location errors comes from the load fluctuations still left. For the real application of the new fault location algorithm in distribution networks, this paper studied the effect of the load fluctuations in the algorithm.