A　novel　method　of　identifying　permanent　fault　for　single-phase　adaptive　reclosure　in　transmission　lines　with　shunt　reactors　is　proposed.　After　the　tripped　phase　current　from　shunt　reactor　was　calculated　using　the　transient　fault　model　as　the　prototype　whether　transient　or　permanent　fault,　the　difference　between　the　calculated　current　and　the　measured　one　of　the　fault　phase　from　shunt　reactor　was　employed　to　identify　permanent　fault.　When　the　single-phase　fault　is　transient,　the　calculated　current　is　close　to　the　actual　measured　current.　But　for　permanent　fault,　the　currents　are　quite　different.　Therefore,　an　algorithm　using　the　amplitude　ratio　of　the　differential　current　to　the　current　in　neutral　reactor　was　developed　to　identify　permanent　fault.　ATP　simulations　show　that　the　proposed　algorithm　can　identify　permanent　fault　correctly　and　reliably,　and　promises　to　be　applied　to　single-phase　adaptive　reclosure　for　transmission　lines　with　shunt　reactors.