The mainly used local islanding detection methods may be classified as active and passive methods. Passive methods do not perturb the system but they have larger nondetection zones, whereas active methods have smaller nondetection zones but they perturb the system. In this paper, a new hybrid method is proposed to solve this problem. An over/undervoltage (passive method) has been used to initiate an undervoltage shift (active method), which changes the undervoltage shift of inverter, when the passive method cannot have a clear discrimination between islanding and other events in the system. Simulation results on MATLAB/SIMULINK show that over/undervoltage and undervoltage shifts of hybrid islanding detection method are very effective because they can determine anti-islanding condition very fast. ΔP/P > 38.41% could determine anti-islanding condition within 0.04 s; ΔP/P < -24.39% could determine anti-islanding condition within 0.04 s; -24.39% ≤ ΔP/P ≤ 38.41% could determine anti-islanding condition within 0.08 s. This method perturbed the system, only in the case of -24.39% ≤ ΔP/P ≤ 38.41% at which the control system of inverter injected a signal of undervoltage shift as necessary to check if the occurrence condition was an islanding condition or not.