With a high proportion of new energy access to the power system, the user side of the randomness and volatility of distributed photovoltaic large-capacity access to the 10 kV medium-voltage distribution grid operation results in more frequent fluctuations in the system voltage and more frequent switching of reactive compensation of the shunt capacitor bank on the 10 kV side of the conventional substation. Conventional reactive compensation switching circuit breakers adopt a spring mechanism whose mechanical stability is insufficient and the selection of the relevant fit capacitor bank accuracy is not enough. The 12 kV fast vacuum circuit breaker of small mechanical dispersion for selection related to the combination was proposed. First of all, based on the neutral grounded and ungrounded system of the capacitor bank, the strategy of capacitor bank phase selection closing was developed. For the action characteristics of the phase selection of the 12 kV fast vacuum circuit breaker, the variation laws of mechanical dispersion and the influence factors such as ambient temperature, capacitance voltage, capacitance degradation, mechanical wear, and conductive rod deformation were obtained by simulation and experiment. The results showed that the ambient temperature and capacitance voltage had a great influence on the switching time of the fast circuit breaker, while other factors had a small influence. Again, the pre-breakdown characteristics of the 12 kV fast vacuum circuit breaker were obtained by experiments. The results showed that the influence of contact opening distance and pre-breakdown voltage was a linear relationship, and the pre-breakdown slope was 30 kV/mm. According to the pre-breakdown closing characteristic curve, the pre-breakdown time of the fast circuit breaker was 0.45 ms at most. The feedforward compensation mechanism based on a neural network was proposed to compensate for the action characteristics of the fast circuit breaker and aimed to improve the phase selection accuracy. Finally, two rounds of capacitive current switching tests of 12 kV fast vacuum circuit breakers with C2 level were carried out in a third-party test station. The accuracy of phase closing is within the ±0.5 ms closing window, effectively preventing the occurrence of closing inrush current.