Abstract: In order to improve the controller’s dynamic response of single-phase two-level pulse rectifiers, this paper presented a new way to realize the calculation of d-q axis currents. First of all, the mathematic model of the single-phase two-level pulse rectifier in the d-q axis synchronous rotating reference frame was analyzed by the complex space vector in a two phase coordinate system. And the d-q current decoupling control schemes were also illustrated. For the implementation of rotational coordinate transformation in single-phase applications, a novel method was proposed to generate the required virtual orthogonal signals from the original single-phase signal. Meanwhile, the response speed and anti-noise ability of the proposed algorithm were analyzed. Compared with other common OSG methods, the proposed method brings the following benefits: such as the faster response speed, easy implementation and less computational burden. Finally, the proposed OSG algorithm and the traditional algorithm were compared and verified by computer simulations and hardware-in-loop experimental tests. Simulation and experimental results show the feasibility and effectiveness of the proposed algorithm.