The most fundamental problems in the distribution system are the quality, the continuity, and the power supply. Political and economic changes were accompanied by changes in the structure of the electric load in the distribution network. Lack of investment and aging of the distribution company assets was accompanied by a decrease in the reliability of the distribution system. Identification and classification of assets from the point of view of their maintenance and replacement was one of the problems that were posed to the engineers. Fuzzy logic can be successfully used to evaluate distribution system reliability indices. In this paper fuzzy logic is used to evaluate the distribution system reliability indices of lines and transformers using six input variables. These variables considered the most important are: Age, Operation, Maintenance, Electrical current loading, Exposure and Weather conditions (Wind or Temperature). The fuzzy inferences knowledge-based IF-THEN rule is developed using Matlab Fuzzy software. The detailed analysis of the fuzzy system surfaces shows that the factors taken in consideration are dynamically and accurately connected to each other. The constructed rules based in engineering experience accurately represent the Reliability Indices.