This document provides comprehensive answers to questions on protective relay systems, feeder and transmission line protection, transformer protection, circuit breakers, and lightning protection. What Is The Operation Principle Of Differential Relay? differential relay operates when the phasor difference of two or more similar electrical. Ans. Protective relay is an electrical device designed to initiate isolation of a part of an electrical installation, or to operate an alarm signal, in the event of an abnormal condition or a fault.