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This paper describes the experience from the world first installation of High Voltage substation with IEC 61850 Process Bus where IEEE 1588 Time Synchronization and dynamic multicast filtering have been used. The authors provide brief introduction to the concept of digital substation and process bus, then provide overview of IEEE 1588 standard for precise time synchronization and finally describe the details of network design and IEC 61850 engineering in a substation where the novel approach with process bus and IEEE 1588 has been implemented. Part of this 110/10kV substation had been equipped with electronic CTs and PTs and Merging Units devices that convert analog signals to IEC 61850-9-2 digital format. Time synchronization had been realized with IEEE 1588 version II, implemented features regarding this standard included Transparent Clocks (TCs), peer-to-peer path delay measurement and BMC (Best Master Clock) algorithm for dynamic selection of the clock.