Which is better to install transe 1-lighting arrester before cut-out(fuse) 2-cut-out fuse before lighting arrester 3-without lighting arrester

But when it install downstream of the fuse and surge comes ,it dampes the surge without blowing fuse and no equipment will damage

In my opinion the fuse must always be installed upstream of the arrestors, so that when a surge occurs and when the arrestor shorts out the surge the fuse can blows out and disconnects the surge path. In such a way you will protect both the load/downstream and the supply circuit on the upstream.