Smart grid is an advanced electrical supply system in which data is conveyed bi directionally utilizing computerized correspondence innovation. Observing, investigating, controlling and correspondence happens inside the inventory network accordingly improving proficiency, lessening vitality utilization and so on. A Phasor Measurement Unit (PMU) measures electrical signals in system. PMUs are utilized in the transmission side of the system. These are introduced at different places on the network and are time synchronized utilizing Global Positioning System (GPS). Thus real time synchronized continuous estimations are obtained from different estimation points on the network. PMU helps in automating the system. A system of PMUs called Wide Area Measurement System (WAMS) can be utilized for huge scale monitoring of the network. Power outages and load shedding in the system can avoided.PMUs can synchronously gauge voltage and current, phase angle, power, energy import & export, frequency, frequency deviations, etc. These parameters can be utilized to tell about the state of the system. The optimal placement of PMUs & Event detection techniques from the synchronized PMU data are determined using MATLAB software. Programming PMUs to detect the events in the system & placing it optimally can help diminish the huge expense and equipment intricacy.