A hybrid cascaded PV inverter with supercapacitor energy storage is proposed to overcome the problems of power generation loss and instability of the PV system caused by dispersion of PV panel parameters, unequal sheltering and irradiation fluctuations. First, the operation principle of the inverter to compensate the PV power fluctuation with a supercapacitor cell is analyzed. Then, a control strategy based on PI control and repetitive control is proposed. It implements distributed MPPT for all PV cells with a duty modifying module to improve the power generation efficiency, and controls the power of the supercapacitor cell to smooth the output power fluctuations of the inverter. Finally, simulation and experimental results verify the feasibility of the proposed inverter and its control strategy. This work is supported by National Natural Science Foundation of China (No. 51507054) and Open Fund of Hubei Collaborative Innovation Center for High-Efficiency Utilization of Solar Energy (No. HBSKFMS2014035).