I grabbed this from
http://www.spgs-ground.com/information/purpose-of-grounding
What is the Purpose of a Ground Rod?
A ground rod or a ground field’s only purpose in life is to have a designed electrical path to dissipate a static discharge voltage (such as Lightning) to earth.
If you place a current probe around the conductor going to earth or the ground rod itself you should never see any current flowing on the conductor. If current is seen flowing on the conductor going to earth a ground fault exists. Another term that could be used is leakage current. In either case there is a parallel path back to the voltage source through the earth that crates the loop for current to flow on the earth ground conductor.
Always remember current will always return to its voltage source.
AC will seek a path to the AC source, DC will seek a path to the DC source and a Static Discharge (Lightning) will seek a path back to its source usually earth. If a return path is not designed for that return path or multiple return paths exist current will seek its own paths back to its voltage source.
When current seeks and find its own paths back to its voltage source usually it will pass through equipment. It the voltage passing through that equipment is higher then its operating threshold that equipment will fail and an outage of some type will take place.
Purpose Of Grounding
Personnel Safety
Effective bonding and grounding of all conductive components, including metallic frames and raceways, should reduce voltage potential differences among the components during normal operation, fault conditions or lightning strikes.
Proper grounding of power sources should prevent system source voltages from permanently appearing on metallic frames that personnel physically come in contact with. Effective grounding will maintain a minimum voltage difference between metallic objects that personnel may touch simultaneously. The protection system must be designed to allow protection devices to operate quickly and safely when voltage faults occur.
All metallic parts of any isolated ground plane shall have the ground plane designed so that shock voltages are not transmitted to personnel.
Equipment and Distribution Circuit Protection
To prevent electrical fires and limit damage to equipment and associated circuit conductors, the Building Safety Protection System shall provide a low resistance/impedance path for lightning currents to flow to earth when lightning strikes. The Building Safety Protection System shall provide a sufficiently low resistance/impedance path for fault currents so that circuit breakers and fuses can quickly and safely remove voltage to the faulted circuit.
Electrostatic Discharge (ESD)
Electrostatic Discharges (ESD) should be reduced by maintaining low resistance/impedance paths between grounded points throughout any ground plane. Metallic parts of any isolated ground plane are bonded and grounded so they cannot store electrostatic charges. This should reduce electrostatic discharge problems by maintaining all equipment at the same voltage potential during a lightning impulse.
Equipment Operation
The equipment should always operate properly and safely when connected to the Building Safety Protection System.