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ARTICLE · 27 FEBRUARY 2019

NERC Enforcement Of The Critical Infrastructure Protection Reliability Standards

On January 25, 2019, the North American Reliability Corporation (NERC) posted a Notice of Penalty describing a settlement agreement with a utility company over alleged violations

United StatesTechnology

On January 25, 2019, the North American Reliability Corporation (NERC) posted a Notice of Penalty describing a settlement agreement with a utility company over alleged violations of the Critical Infrastructure Protection (CIP) Reliability Standards. The settlement includes a significant monetary penalty and imposes ongoing compliance obligations that provide noteworthy and practical guidance for the electric industry.

NERC’s enforcement power

NERC has regulatory authority within North America to “assure the effective and efficient reduction of risks to the reliability and security” of the energy grid. Its eight regional entities monitor and enforce compliance with the NERC Reliability Standards. According to NERC, organizations should initiate self-reporting within three months of discovery of noncompliance with NERC’s Reliability Standards.

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This article is presented for informational purposes only and is not intended to constitute legal advice.

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