This paper presents a new numerical algorithm for fault location estimation and for faults recognition based on the synchronized phasors. The proposed algorithm is based on the synchronized phasor measured from the synchronized PMUs installed at two-terminals of the transmission lines. In order to discriminate the fault type, the arc voltage wave shape is modeled numerically on the basis of a great number of arc voltage records obtained by transient recorder. From the calculated arc voltage amplitude it can make a decision whether the fault is permanent or transient. The results of the proposed algorithm testing through computer simulation are given.