Existing active voltage arc suppression technologies for distribution networks often fail to fully consider the effects of line voltage drop and distributed generation (DG) integration. As a result, during single-phase-to-ground faults, these methods cannot guarantee zero voltage at the fault point, resulting in unreliable arc suppression. To address this issue, this paper proposes a new active voltage arc suppression technology for distribution networks with DG integration. First, based on the access of DG and considering line voltage drop, the theoretical calculation formula for the arc suppression voltage is derived, and an improved active voltage arc suppression method is proposed. Second, a data-driven distance measurement method based on feeder terminal unit (FTU) measurement data is proposed, which can calculate the fault distance after a fault occurs, providing accurate data for controlling the arc suppression coil. Finally, simulation results show that the proposed method is more effective in controlling the fault voltage to zero than traditional active voltage arc suppression techniques.