To realize some of the smart grid goals, for the distribution system of the rural area, with GPRS communication network, a feeder automation based on AMI is proposed. The three parts of the system are introduced. Integrated with the advanced communication and measurement technology, the proposed system can monitor the operating situation and status of breakers, detect and locate the fault of the feeders. The information from the system will help realizing the advanced distribution operation, such as improve power quality, loss detection, state estimation and so on. The application case in Qingdao utilities in Shandong Province, PR China shows the effectiveness of the proposed system.