Virtual Protection Relays Explained: Future of Digital Substation Protection

By | 14/10/2025

The digitalization of substations is reshaping how power systems are protected and controlled. Virtual Protection Relays (VPRs) represent a paradigm shift — moving protection intelligence from dedicated hardware to software-defined, virtualized environments.

In this digital framework, IEC 61850-9-2 LE and Merging Units (MUs) are foundational standards and devices enabling this transformation by digitizing analog current and voltage signals and streaming them over Ethernet networks to virtualized protection functions.

What is a Virtual Protection Relay

A Virtual Protection Relay (VPR) is a protection relay whose functions are implemented in software, running on generic computing/virtualization infrastructure, rather than being tied to a specific physical relay device. Essentially, protection logic (overcurrent, distance, differential, etc.), decision-making, and communication are decoupled from specialized hardware, and instead run in virtual machines (VMs), containers, or software-defined platforms.

Virtual Protection Relays
Virtual Protection Relays

Compared to traditional protection relays (electromechanical, static, or numerical), VPRs are more flexible and scalable. They leverage virtualization or cloud-/edge-computing techniques.

Why Virtual Protection Relays Matter

Several driving factors are pushing utilities, grid operators, and researchers toward VPRs:

  1. Growing penetration of renewable energy sources (RES)
    With more solar, wind, storage, etc., the characteristics of the grid (fault currents, dynamic behavior) are more variable. Legacy protection hardware may struggle to adapt quickly. VPRs offer more agility.
  2. Need for flexibility and programmability
    Traditional protection relays come with fixed hardware, firmware, limited upgrade paths. Virtual relays allow faster updates, adding/removing protection functions without physical hardware changes.
  3. Cost and resource optimization
    Fewer specialized devices, more use of general-purpose servers or edge devices; virtualizing can help reduce physical footprint, maintenance, spares.
  4. Testability, simulation, and standardization
    Virtual relays are good for simulation, for testing new protection schemes, for training, validation. Also, standards (e.g. IEC 61850) support digital/virtual communication which helps.
  5. Redundancy and reliability
    Software platforms allow easier replication, backup, quicker recovery. Virtualization allows running redundant instances, live migration, etc.

Architecture / How Virtual Protection Relays Work

Here’s how a typical VPR system is structured:

ComponentFunction / Role
Hardware PlatformGeneral purpose servers (could be edge servers), high-performance computing, possibly ruggedized for substations. Must support real-time or near real-time operations.
Virtualization / Containerization LayerVMs or containers to host protection functions. Helps in isolating protection modules, distributing workload, possibly dynamic scaling.
Protection Function Software (vIEDs)The logic that does overcurrent, distance, differential, etc. Could be clones of existing IEDs or newly developed.
Communication Protocols and StandardsTo communicate both internally (within virtual/physical network) and with external SCADA / substation control. IEC 61850 is often used. Sampling of values (e.g. sampled values), GOOSE messaging, etc.
Redundancy & FailoverBackup vIEDs, redundant paths, synchronization to ensure protection is maintained even across failures.
Testing & Simulation EnvironmentCo-simulation with power system models, digital twins, or virtual substations, to test how the VPR responds to faults, disturbances.

Benefits of Virtual Protection Relays

Some of the advantages:

  • Scalability & Flexibility: Can deploy new protection elements (e.g. new protection functions) more easily, adjust settings or logic without replacing hardware.
  • Cost Savings: Less hardware, fewer physical devices to buy/maintain. Possibly lower installation space, power, and environmental control costs.
  • Faster Updates, Upgrades: Software patches, logic modifications, firmware updates remotely.
  • Better Testing & Validation: Easier to simulate scenarios, digital twin approaches, test before deployment.
  • Enhanced Redundancy / Reliability: More options for redundant deployment, instantaneous switchover.
  • Adapts to Modern Grid Needs: Better suited for grids with variable generation, distributed energy resources, fluctuating fault characteristics.

The Role of IEC 61850-9-2 LE

IEC 61850-9-2 LE (Light Edition) defines the communication of Sampled Values (SV) over Ethernet between Merging Units (MUs) and virtual IEDs.

It enables fully digital measurement and protection by replacing analog wiring with digital data streams.

ConceptDescription
PurposeDefines how instantaneous current and voltage samples are transmitted from MUs to protection and control IEDs.
Sampling RateTypically 80 samples per cycle (50/60 Hz system), ensuring high-fidelity representation of waveforms.
Communication MediumEthernet (usually 100 Mbps or 1 Gbps) over redundant networks.
Data StructureSampled Value messages (SV frames) carrying digitized measurements of currents and voltages.
BenefitsEliminates analog signal cables, improves signal integrity, and enables sharing of measurement data among multiple devices (including VPRs).

In a virtualized substation, the SV streams from MUs are routed through a network switch to virtual relays hosted on computing servers.

This architecture allows multiple protection functions to subscribe to the same digital measurement data simultaneously.

How VPRs Use IEC 61850-9-2 LE and Merging Units

How VPRs Use IEC 61850-9-2 LE and Merging Units
  1. Signal Acquisition
    • MUs collect CT/VT signals and transmit digital Sampled Values via IEC 61850-9-2 LE.
  2. Communication & Data Subscription
    • Virtual Protection Relays subscribe to these SV streams using standard multicast Ethernet protocols.
  3. Processing in Virtual Environment
    • The VPR processes these digital values in real time, applying protection algorithms (e.g., overcurrent, distance, or differential logic).
  4. Event Generation & GOOSE Messaging
    • When a fault is detected, the relay sends a GOOSE (Generic Object-Oriented Substation Event) message (per IEC 61850-8-1) to trip breakers or notify SCADA.
  5. Redundancy & Virtual Failover
    • Multiple VPR instances can run in parallel, subscribing to the same SV stream, allowing live failover without losing protection coverage.

Technical Challenges

Despite their advantages, implementing VPRs with IEC 61850-9-2 LE introduces several challenges:

  • Real-time performance: Protection must respond in <10 ms; virtualization and network latency must stay within tight limits.
  • Network design: SV and GOOSE traffic require deterministic delivery (use of PRP/HSR redundancy is common).
  • Time synchronization: Requires high-precision PTP (IEEE 1588) to align samples across MUs.
  • Cybersecurity: Expanded attack surface due to Ethernet connectivity; requires encryption, VLANs, and strict access control.
  • Standard conformance: Ensuring all MUs, switches, and VPRs conform to IEC 61850 interoperability profiles.

Conclusion

Virtual Protection Relays, empowered by IEC 61850-9-2 LE and Merging Units, represent the next generation of substation protection systems.
They enable complete digital integration, enhanced flexibility, and seamless scalability — turning protection logic into a software service rather than a fixed device.

However, this transformation demands high-performance networking, precision timing, and rigorous cybersecurity.

With proper architecture and adherence to IEC 61850 standards, VPRs will redefine how modern grids achieve safety, reliability, and intelligence.

Author: Zakaria El Intissar

Automation and industrial computing engineer passionate about innovation at the heart of the energy sector, I am a recognized specialist in control systems for electrical substations and SCADA solutions. With expertise forged by years of practical experience, I excel in the design, implementation, and optimization of these critical technologies, ensuring optimal reliability of energy infrastructures, including those integrating renewable energy sources, where I have contributed to innovative projects for a sustainable energy transition.

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