Abstract-Network architecture of any real-time system must be robust enough to absorb several network failures and still work smoothly. Smart Grid Network is one of those big networks that should be considered and designed carefully because of its dependencies. There are several hybrid approaches that have been proposed using wireless and wired technologies by involving SDH/SONNET as a backbone network, but all technologies have their own limitations and can't be utilized due to various factors. In this paper, we propose a fiber optic based Gigabit Ethernet (1000BASE-ZX) network named as Territory Substation Area Network (T-SAN) for smart grid backbone architecture. It is a scalable architecture, with several desired features, like higher coverage, fault tolerance, robustness, reliability, and maximum availability. The use case of sample mapping the T-SAN on the map of People Republic of China proves its strength to become backhaul network of any territory or country, the results of implemented architecture and its protocol for fault detection and recovery reveals the ability of system survival under several random, multiple and simultaneous faults efficiently.