The invention discloses a looped network controller with communication equipment and a control method. The looped network controller comprises a lightning arrester, switch equipment, control equipmentand the communication equipment; the lightning arrester is connected with the switch equipment in parallel; the communication equipment is connected with the control equipment and is used for receiving an opening signal generated during loop closing of a looped network circuit in real time; the control equipment is connected with the switch equipment and is used for acquiring looped network circuit data and controlling the switch equipment to be switched off or switched on according to the looped network circuit data and a received switching-off signal; the lightning arrester is used for carrying out overvoltage protection; and the switch equipment is used for constructing and eliminating breakpoints and bearing corresponding voltage difference. The looped network controller of the schemeis installed in the looped network circuit; when switching operation of a line is carried out, loop closing and loop opening are successively carried out, and the switch equipment constructs a breakpoint during loop closing and eliminates the breakpoint during loop opening, thereby effectively eliminating a loop closing impact current generated by the loop network circuit, solving a problem of power failure in a line load transfer process due to line maintenance and other reasons, and improving the power supply reliability of an important load.