The distribution of power flow and short-circuit current is changed by the distributed generation embedded in distribution network, and its short-circuit current affects the operation of protection and reclosing devices. The fault response characteristics of voltage controlled inverter interfaced distributed generator (ⅡDG) were studied, and the relationship between ⅡDG three-phase power and power components in the positive and negative sequence networks under asymmetrical fault condition were also analyzed. Then a sequence component model of voltage controlled ⅡDG for short-circuit current calculation was established. The fault current change law and recursion formula were gained according to the interaction between the ⅡDG and the sequence networks, and consequently the iterative algorithm of symmetrical components for short-circuit current calculation of distribution network with voltage controlled ⅡDG was proposed. The correctness of the proposed method was verified by the electromagnetic transient model of voltage controlled ⅡDG in PSCAD/EMTDC simulation software.