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Integrating renewable energy generation with the conventional grid supports reduces carbon emissions in the atmosphere. Despite technical advancements in protection strategies, critical issues concerning renewable integration in microgrid structures require standardized solutions. The essential aspects that need to be concentrated during securing the grids are rapid fault interruption, false tripping and blinding of protection. This study proposes an innovative approach to enhance fault isolation speed through the implementation of a grid monitoring system (GMS) coupled with a fault identification method based on Kosaraju's algorithm. This algorithm operates on the principles of overvoltage and overcurrent detection. The study assesses the efficacy of this approach by examining its integration with a Z-source circuit breaker and conducting tests on different fault types within a 13-bus system. Real-time simulations using Opal RT software are employed to experimentally validate the proposed methodology, ensuring its efficacy in fault interruption and isolation. [ABSTRACT FROM AUTHOR]