Designing communication architecture for substation automation is a challenging and subtle task for visualizing substations in the digital world under the umbrella of IEC61850. Communication paradigms for substation automation are of critical importance because of two reasons; the communication arena is changing daily and opts for convenience and simple deployment at a lower migration cost and interoperability is one of the core constrains of IEC61850 for substation automation. This paper presents an analysis and outline of the crucial need for the deployment of Gigabit Ethernet in substations and also presents suggestions on how Ethernet technology can help in substation automation. Ethernet is one of the most pervasive communication technologies available and can provide a long term solution in the changing arena of communication. We have performed simulations in NS-2 to prove that our suggested communication paradigm is optimal in various regards with consideration of the constraints imposed by IEC61850.