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This paper considers the problem of strategically placing a minimum number of synchronized measurements in a transmission system so that faults can be detected and identified irrespective of their locations. The proposed solution is based on a fault-location method which was developed and documented in an earlier paper by the authors. Hence, it is intended as an extension of the previous work to facilitate its efficient implementation via optimal sensor placement. The paper will first provide a brief review of the fault-location method and will then describe the optimal deployment scheme for placing synchronized voltage sensors in the transmission system. Simulated fault transients by an electromagnetic transients simulation program will be used to illustrate the performance of the developed technique.