NERC NORTH AMERICAN ELECTRIC RELIABILITY CORPORATION WECC Western Electricity Coordinating Council
A Brief History. Nov 9, 1965- Largest Blackout to this date occurred, 30 million people lost power in the northeastern United States and Ontario, Canada June 1, 1968- National Electric Reliability Council (NERC) is established in response to 1965 Blackout. July 13, 1977- Blackout New York City. This led to the legislature enabling the federal government to propose limited voluntary reliability standards.
History Continued… 1993- NERC published “NERC 2000” a four- part plan that recommended mandatory compliance. August 14, 2003- Worst Blackout ever as 50 Million people lost power in Northeastern and Midwestern U.S. and Ontario.
The Effects of 2003 Blackout. August 8, 2005- U.S. Energy Policy Act of 2005 enacted authorizing the creation of a self-regulatory “Electric Reliability Organization” that would span North America, with FERC (Federal Energy Regulatory Commission) oversight in the U.S.
Designation of NERC as “ERO” July 2006- NERC was designated by FERC as the “Electric Reliability Organization” for the United States. March 2007- FERC Order 693 approved 83 NERC Reliability Standards. (The First set of legally enforceable standards for the Bulk Power System) April 2007- FERC approved eight delegation agreements to the eight regions to monitor and enforce compliance.
WECC AND OTHER 7 REGIONS
JUNE 18, 2007 COMPLIANCE WITH APPROVED NERC STANDARDS BECAME MANDATORY!!
FERC Order 706 January 2008- FERC Approved eight Critical Infrastructure Protection (CIP) Standards. These 8 Standards have 43 Requirements, and 125 Sub-Requirements.
Constantly Changing Standards As of October 1, 2011 there will be 116 FERC Approved Standards These Standards can be further broke down to 484 Requirements. Which can be further broke down to 849 Sub- Requirements TOTAL = 1333 Total Requirements
Applicable to Okanogan… Okanogan has 55 applicable NERC Standards 141 applicable NERC requirements 520 applicable NERC sub-requirements Total 661 Requirements
Why the difference in number of Requirements? NERC looks at each Electric Entity and determines which NERC Functions they must register. Okanogan PUD is registered as: (TO) Transmission Owner (LSE) Load-Serving Entity (DP) Distribution Provider (PSE) Purchasing and Selling Entity
What is not different… Once an entity has been registered for its designated functions, there are no differences in their level of compliance to the Reliability Standards. It does not matter if you are Okanogan PUD, Seattle City Light, or Bonneville Power Administration
What if there is Non- Compliance? Each requirement and sub-requirement has an associated monetary penalty, that is associated with it’s level of Risk and Severity. These Monetary Penalties range from $1,000/violation/day TO $1,000,000/violation/day.
Average Penalties/violation 2008- Zero 2009- $1,875 2010-$19,765 2011- Unknown yet! 2012- Our Audit year…
Questions?
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