A fault-responsive power system and method using active line current balancing. First and second supply-side currents flowing from at least one power supply and into first and second conductor pairs, respectively, are measured. First and second remote-side currents flowing from the first and second conductor pairs and into first and second power converters, respectively, are measured. The outputs of the first and second power converters are electrically coupled together in parallel and deliver power to a load. The first and second remote-side currents are balanced in response to measurements of the first and second remote-side currents while power is being delivered. When a difference between the first and second supply-side currents at least meets a magnitude threshold, the first and second supply-side currents are reduced until the difference is less than the magnitude threshold.