North American Electric Reliability Corporation; Order Approving Reliability Standards, 66952-66956 [2016-23519]
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Federal Energy Regulatory
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1. On May 26, 2016, the North
American Electric Reliability
Corporation (NERC) submitted a
petition seeking approval of proposed
Reliability Standards IRO–018–1
(Reliability Coordinator Real-time
Reliability Monitoring and Analysis
Capabilities) and TOP–010–1 (Real-time
Reliability Monitoring and Analysis
Capabilities). As discussed in this order,
the Commission approves Reliability
Standards IRO–018–1 and TOP–010–1
and NERC’s proposed implementation
plan, violation severity levels and, with
the exceptions identified below,
violation risk factors.
2. The Commission, as discussed
below, directs NERC to submit a
compliance filing within 60 days of the
date of this order to modify the violation
risk factor designations for Requirement
R1 of Reliability Standard IRO–018–1
and Requirements R1 and R2 of
Reliability Standard TOP–010–1 to
‘‘high.’’
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Company.
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12/31/2016.
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Comments Due: 5 p.m. ET 10/14/16.
The filings are accessible in the
Commission’s eLibrary system by
clicking on the links or querying the
docket number.
Any person desiring to intervene or
protest in any of the above proceedings
must file in accordance with Rules 211
and 214 of the Commission’s
Regulations (18 CFR 385.211 and
§ 385.214) on or before 5:00 p.m. Eastern
time on the specified comment date.
Protests may be considered, but
intervention is necessary to become a
party to the proceeding.
eFiling is encouraged. More detailed
information relating to filing
requirements, interventions, protests,
service, and qualifying facilities filings
can be found at: https://www.ferc.gov/
docs-filing/efiling/filing-req.pdf. For
other information, call (866) 208–3676
(toll free). For TTY, call (202) 502–8659.
Dated: September 23, 2016.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
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North American Electric Reliability
Corporation; Order Approving
Reliability Standards
Before Commissioners: Norman C. Bay,
Chairman; Cheryl A. LaFleur, Tony Clark,
and Colette D. Honorable
I. Background and NERC Petition
3. The Commission certified NERC as
the Electric Reliability Organization, as
defined in section 215 of the Federal
Power Act (FPA),1 in July 2006.2 In
Order No. 693, the Commission
approved 83 of 107 proposed Reliability
Standards submitted by NERC,
including the original Transmission
Operations (TOP) and Interconnection
Reliability Operations and Coordination
(IRO) Reliability Standards. The
Commission also directed NERC to
address issues with respect to the TOP
and IRO Reliability Standards regarding
monitoring and analysis capabilities.
4. NERC contends that the proposed
Reliability Standards address: (1) The
directives in Order No. 693 requiring
operators to have a minimum set of
capabilities; (2) recommendations
contained in the NERC Operating
Committee Real-time Tools Best
1 16
[FR Doc. 2016–23542 Filed 9–28–16; 8:45 am]
BILLING CODE 6717–01–P
[Docket No. RD16–6–000]
U.S.C. 824o(d) (2012).
American Electric Reliability Corp., 116
FERC ¶ 61,062, order on reh’g and compliance, 117
FERC ¶ 61,126 (2006), order on compliance, 118
FERC ¶ 61,190, order on reh’g 119 FERC ¶ 61,046
(2007), rev. denied sub nom. Alcoa Inc. v. FERC,
564 F.3d 1342 (D.C. Cir. 2009).
2 North
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Practices Task Force Report published
in 2008; and (3) a recommendation from
the joint Commission-NERC report on
the 2011 Arizona-Southern California
outage. NERC explains that it developed
the proposed Reliability Standards to
improve real-time situational awareness
capabilities and enhance reliable
operations by requiring reliability
coordinators, transmission operators,
and balancing authorities to provide
operators with awareness of monitoring
and analysis capabilities, including
alarm availability, so that operators may
take appropriate steps to protect
reliability. NERC states that the 2003
Blackout Report identified inadequate
situational awareness as one of the key
causes of that blackout, leading to a
recommendation (Recommendation 22)
for the evaluation of existing and
adoption of new and better real-time
tools for transmission operators and
reliability coordinators. NERC adds that
a recommendation (Recommendation
12) from the joint report on the 2011
Arizona-Southern California outage
provided that entities ‘‘should take
measures to ensure their real-time tools
are adequate, operational, and run
frequently enough to provide their
operators the situational awareness
necessary to identify and plan for
contingencies and reliably operate their
systems.’’
5. NERC states that, while existing
Reliability Standards contain
requirements to perform monitoring and
real-time assessments, proposed
Reliability Standards IRO–018–1 and
TOP–010–1 build on these requirements
to support effective situational
awareness. NERC explains that the
proposed Reliability Standards
accomplish this by requiring applicable
entities to: (1) Provide notification to
operators of real-time monitoring alarm
failures; (2) provide operators with
indications of the quality of information
being provided by their monitoring and
analysis capabilities; and (3) address
deficiencies in the quality of
information being provided by their
monitoring and analysis capabilities.
6. Specifically, NERC states that
proposed Reliability Standards IRO–
018–1, Requirement R3 and TOP–010–
1, Requirement R4 address situational
awareness objectives by providing for
operator awareness when key alarming
tools are not performing as intended.
Proposed Reliability Standard IRO–018–
1, Requirement R3 requires reliability
coordinators to have an alarm process
monitor that provides notification to
system operators when the failure of a
real-time monitoring alarm processor
has occurred. Proposed Reliability
Standard TOP–010–1, Requirement R4
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contains an identical requirement
applicable to transmission operators and
balancing authorities.
7. In addition, NERC states that
proposed Reliability Standard IRO–018–
1, Requirement R1 obligates each
reliability coordinator to implement an
operating process or procedure to
address the quality of the real-time data
necessary to perform its real-time
monitoring and real-time assessments.
Proposed Reliability Standard TOP–
010–1, Requirement R1 contains
identical requirements applicable to
transmission operators; Requirement R2
requires the same of balancing
authorities.
8. Further, NERC explains that
Reliability Standards IRO–018–1,
Requirement R2 and TOP–010–1,
Requirement R3 ensure that reliability
coordinators and transmission
operators, respectively, implement
operating processes or procedures to
address issues related to the quality of
the analysis used in real-time
assessments.
9. NERC submits that proposed
Reliability Standards IRO–018–1 and
TOP–010–1, together with other
currently-effective and Commissionapproved IRO and TOP Reliability
Standards address the relevant
reliability concerns underlying the
Commission’s Order No. 693 directives
requiring operators to have a minimum
set of capabilities. NERC’s
implementation plan provides that the
proposed Reliability Standards would
become effective the first day of the first
calendar quarter that is 18 months
following Commission approval.
II. Notice of Filing and Responsive
Pleading
10. Notice of NERC’s Petition was
published on June 8, 2016 in the
Federal Register, 81 FR 36,910 (2016),
with comments, protests and motions to
intervene due on or before June 22,
2016. Dominion Resources Services, Inc.
(Dominion) filed a timely motion to
intervene.
III. Discussion
11. Pursuant to Rule 214 of the
Commission’s Rules of Practice and
Procedure, 18 CFR 385.214 (2016), the
timely motion to intervene filed by
Dominion serves to make it a party to
this proceeding.
A. Reliability Standards IRO–018–1 and
TOP–010–1
12. Pursuant to section 215(d)(2) of
the FPA, the Commission approves
Reliability Standards IRO–018–1 and
TOP–010–1 as just, reasonable, not
unduly discriminatory or preferential
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and in the public interest. Reliability
Standards IRO–018–1 and TOP–010–1
improve real-time situational awareness
capabilities and enhance reliable
operations by requiring reliability
coordinators, transmission operators,
and balancing authorities to provide
operators with an improved awareness
of system conditions analysis
capabilities, including alarm
availability, so that operators may take
appropriate steps to ensure reliability.
The Reliability Standards accomplish
this by requiring that applicable entities
provide notification to operators of realtime system awareness and monitoring
alarm failures. We agree with NERC that
requiring applicable entities to
implement operating processes or
operating procedures governing the
quality of the information they are
providing on monitoring and analysis
capabilities will enhance reliability.
Further, we determine that Reliability
Standards IRO–018–1 and TOP–010–1,
together with existing Commissionapproved Reliability Standards,
adequately address the relevant
directives in Order No. 693. We also
approve NERC’s proposed
implementation plan, violation severity
levels and, with the exceptions
discussed below, violation risk factors.
B. Violation Risk Factors
13. On May 18, 2007, the Commission
established guidelines for determining
whether to approve violation risk factors
proposed by NERC.3 The Commission
identified the following five factors for
evaluating violation risk factors: (1)
Consistency with the conclusions of the
2003 Blackout Report; (2) consistency
within a Reliability Standard, (3)
consistency among Reliability Standards
with similar requirements; (4)
consistency with NERC’s definition of
the violation risk factor level; and (5)
assignment of violation risk factor levels
to those requirements in certain
Reliability Standards that co-mingle a
higher risk reliability objective and a
lower risk reliability objective.4
14. NERC contends that it is
appropriate, under the Commission’s
guidelines, to assign ‘‘medium’’
violation risk factors to Requirement R1
of Reliability Standard IRO–018–1 and
Requirements R1 and R2 of Reliability
Standard TOP–010–1. Regarding the
3 See North American Electric Reliability Corp.,
119 FERC ¶ 61,145, order on reh’g, 120 FERC
¶ 61,145 (2007); North American Electric Reliability
Corp., 123 FERC ¶ 61,284, at PP 20–35, order on
reh’g & compliance, 125 FERC ¶ 61,212 (2008);
North American Electric Reliability Corp., 135 FERC
¶ 61,166 (2011).
4 North American Electric Reliability Corp., 119
FERC ¶ 61,145 at P 16.
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first guideline, NERC maintains that the
requirements are not directly connected
to the conclusions or critical areas
identified in the 2003 Blackout Report
but, rather, address specific
recommendations from a NERC
technical committee.
15. NERC also contends that a
‘‘medium’’ violation risk factor for these
requirements satisfies the second and
third guidelines because it is consistent
within the Reliability Standards and
among other Reliability Standards with
similar requirements. Specifically,
NERC states that a ‘‘medium’’ violation
risk factor comports with the second
guideline because the Reliability
Standards contain similar
responsibilities for different applicable
entities. NERC also explains that such a
designation is consistent with other
Reliability Standards that involve
effective monitoring and control of the
bulk electric system. As examples,
NERC points to ‘‘medium’’ violation risk
factor designations for Reliability
Standards TOP–003–3, Requirement R5
and IRO–010–2, Requirement R3, which
provide that applicable entities shall
provide the data necessary for
transmission operators and reliability
coordinators to perform real-time
monitoring and real-time assessments.
In addition, NERC cites Reliability
Standard TOP–001–3, Requirement R9,
which requires transmission operators
and balancing authorities to notify
reliability coordinators and others of
planned and unplanned outages of
monitoring and assessment capabilities,
which has also been assigned a
‘‘medium’’ violation risk factor.
16. NERC contends that the proposed
designations are also consistent with
NERC’s definition of ‘‘medium’’
violation risk factor, and thus consistent
with the fourth Commission guideline.
NERC explains that the purpose of these
Reliability Standards is to address
recommendations regarding real-time
situational awareness and to require
entities to take steps to address data or
analysis quality concerns to the extent
that it affects their ability to perform
real-time monitoring and analysis.
NERC believes that violation of any of
these requirements could directly affect
the ability to effectively monitor and
control the bulk electric system, but is
unlikely to lead to bulk electric system
instability, separation, or cascading
failures.
17. With respect to the fifth guideline,
NERC states that the proposed violation
risk factor assignments do not reflect the
lower of multiple reliability objectives
as each applicable requirement contains
one reliability objective.
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18. We determine that the ‘‘medium’’
violation risk factors NERC proposes to
assign to Requirement R1 of Reliability
Standard IRO–018–1 and Requirements
R1 and R2 of Reliability Standard TOP–
010–1 are not consistent with the
Commission’s guidelines. As discussed
below, NERC has not adequately
justified the proposed ‘‘medium’’
violation risk factor designations.
Specifically, we find that the proposed
designations are inconsistent with
NERC’s definition of violation risk
factor; the recommendations contained
in the 2003 Blackout Report; and other
Reliability Standards with similar
requirements. Accordingly, we direct
NERC to raise these violation risk factor
designations to ‘‘high.’’
19. The fourth Commission guideline
calls for consistency with NERC’s
definition of the appropriate violation
risk factor level.5 The Commissionapproved NERC definition for ‘‘high’’
violation risk factor states, in pertinent
part, that a requirement should be
‘‘high’’ if a violation of the requirement
‘‘could place the bulk electric system at
an unacceptable risk of instability,
separation or cascading failures.’’ In
contrast, the Commission-approved
NERC definition of ‘‘medium’’ violation
risk factor provides that the violation of
the underlying requirement ‘‘could
directly affect the electrical state or the
capability of the Bulk Electric System,
or the ability to effectively monitor and
control the Bulk Electric System . . .
[but] is unlikely to lead to Bulk Electric
System instability, separation, or
cascading failures.’’ While NERC states
that violation of any of the requirements
could directly affect the ability to
effectively monitor and control the bulk
electric system, NERC contends that
violation of these requirements is
unlikely to lead to bulk electric system
instability, separation, or cascading
failures.
20. NERC’s assertion that a violation
of Requirement R1 of Reliability
Standard IRO–018–1 and Requirements
R1 and R2 of Reliability Standard TOP–
010–1 is unlikely to lead to bulk electric
system instability, separation, or
cascading failures is unpersuasive. The
2003 Blackout Report identified four
groups of causes of the blackout, one of
which was failure of the interconnected
transmission network’s reliability
organizations to provide effective realtime diagnostic support.6 As NERC
noted in its petition, Recommendation
22 of the 2003 Blackout Report stated
that NERC should ‘‘evaluate . . . the
real-time operating tools necessary for
reliability [sic] operation and reliability
coordination, including backup
capabilities . . . .’’ 7 The 2003 Blackout
Report also stated that NERC should
require its Operating Committee to ‘‘give
particular attention in its report to the
development of guidance to control
areas and reliability coordinators on the
use of wide-area situation display
systems and the integrity of data used in
those systems.’’ 8 Real-time data quality
is essential to ensure reliable operation
of the interconnected transmission
network. Given the importance of
effective real-time diagnostic support
recognized by NERC’s Operating
Committee and consistent with the 2003
Blackout Report, we conclude that first
and fourth Commission guidelines
support raising the violation risk factor
designations for Requirement 1 of
Reliability Standard IRO–018–1 and
Requirements R1 and R2 of Reliability
Standard TOP–010–1 to ‘‘high.’’
21. Regarding the third guideline,
existing Reliability Standards require
real-time monitoring and assessments
by reliability coordinators (IRO–002–4
and IRO–008–2), transmission operators
(TOP–001–3), and balancing authorities
(TOP–001–3). Reliability Standards
IRO–002–4, Requirements R3 and R4,
IRO–008–2, Requirement R4, and TOP–
001–3, Requirement R13 require
monitoring and analysis of the bulk
electric system and have ‘‘high’’
violation risk factors. The requirements
of Reliability Standards IRO–018–1 and
TOP–010–1 are designed to ensure the
accuracy of the data used in these
existing Reliability Standards to perform
the required monitoring and analysis
activities of the bulk electric system.
The quality of the data is an essential
element of the monitoring and analysis
process.9 Accordingly, it would be
incongruous to designate requirements
mandating monitoring and assessments
as ‘‘high’’ while designating
requirements meant to ensure the
accuracy of the data on which those
assessments rely with a lower
‘‘medium’’ violation risk factor.
22. We are not persuaded by NERC’s
reliance on the violation risk factors in
existing Reliability Standards TOP–003–
3 and IRO–010–2 to support assigning a
‘‘medium’’ violation risk factor to
7 Id.
at 159 (Recommendation 22).
8 Id.
5 See North American Electric Reliability Corp.,
119 FERC ¶ 61,145 at PP 28–31.
6 U.S.-Canada Power System Outage Task Force,
Final Blackout Report (April 2004) at 18, https://
www.ferc.gov/industries/electric/indus-act/
reliability/blackout/ch1-3.pdf.
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9 NERC Petition at 14 (‘‘maintaining adequate
situational awareness is essential for the reliable
operation of the Bulk Power System . . . situational
awareness means ‘ensuring that accurate
information on current system conditions . . . is
continuously available . . .’ ’’).
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Requirement 1 of Reliability Standard
IRO–018–1 and Requirements R1 and
R2 of Reliability Standard TOP–010–1.
Reliability Standards TOP–003–3 and
IRO–010–2 address documentation and
specification of data.10 In contrast,
Reliability Standards IRO–018–1,
Requirement R1 and TOP–010–1,
Requirements R1 and R2 go beyond
documentation and specification of data
and require the development of an
operating process or operating
procedure to evaluate ‘‘the quality of the
Real-time data necessary to perform [ ]
Real-time data monitoring and Real-time
Assessments or analysis functions.’’ 11
This distinction justifies assigning a
higher violation risk factor to Reliability
Standards IRO–018–1, Requirement R1
and TOP–010–1, Requirements R1 and
R2.
23. Nor are we persuaded by NERC’s
citation of a ‘‘medium’’ violation risk
factor for Reliability Standard TOP–
001–3, Requirement R9. This
requirement mandates that each
transmission operator and balancing
authority notify its reliability
coordinator and known impacted
interconnected entities of, among other
things, all planned outages, and
unplanned outages of 30 minutes or
more, for monitoring and assessment
capabilities, and associated
communication channels between the
affected entities. This is a notification
requirement, not a real-time
performance requirement. The notified
entity already is subject to performance
requirements relating to its real-time
monitoring and assessment capabilities.
IV. Information Collection Statement
24. The Paperwork Reduction Act
(PRA) requires each federal agency to
seek and obtain Office of Management
and Budget (OMB) approval before
undertaking a collection of information
directed to ten or more persons or
contained in a rule of general
applicability.12 OMB regulations require
approval of certain information
collection requirements imposed by
agency rules.13 Upon approval of a
collection of information, OMB will
assign an OMB control number and an
expiration date. Respondents subject to
the filing requirements of an agency rule
will not be penalized for failing to
respond to the collection of information
unless the collection of information
displays a valid OMB control number.
25. The Commission will submit the
information collection requirements to
OMB for its review and approval. The
Commission solicits public comments
on its need for this information, whether
the information will have practical
utility, the accuracy of burden and cost
estimates, ways to enhance the quality,
utility, and clarity of the information to
be collected or retained, and any
suggested methods for minimizing
respondents’ burden, including the use
of automated information techniques.
Comments are due November 28, 2016.
26. The Commission is approving the
proposed Reliability Standards IRO–
018–01 (Reliability Coordinator Realtime Reliability Monitoring and
Analysis Capabilities, associated with
FERC–725Z (Mandatory Reliability
Standards: IRO Reliability Standards))
and TOP–010–1 (Real-time Reliability
Monitoring and Analysis Capabilities,
associated with FERC–725A (Mandatory
Reliability Standards for the Bulk Power
System)).
27. The Commission finds that the
new TOP and IRO Reliability Standards
improve reliability by providing
rigorous functional requirements for
real-time monitoring and analysis.
Reliability Standards IRO–018–1 and
TOP–010–1 were created to improve
real-time situational awareness
capabilities and enhance reliable
operations by requiring reliability
coordinators, transmission operators,
and balancing authorities to provide
operators with awareness of monitoring
and analysis capabilities, including
66955
alarm availability, so that entities may
take appropriate steps to ensure
reliability.
28. The Commission approves
Reliability Standards IRO–018–1 and
TOP–010–1, which enhance reliability
by accomplishing Blackout Report
Recommendation 22 to evaluate and
adopt better real-time tools for operators
and reliability coordinators and
establish requirements to perform realtime monitoring and analysis
capabilities to support reliable system
operations. The new Reliability
Standards build upon existing
requirements to support effective realtime monitoring and analysis and
improved situational awareness, and
thereby enhance reliable operations.
Reliability Standard IRO–018–1 is
applicable to reliability coordinators.
Reliability Standard TOP–010–1 applies
to transmission operators and balancing
authorities.
Public Reporting Burden: The new
TOP and IRO Reliability Standards
require applicable entities to provide
notification to operators of real-time
monitoring of alarm failures. The new
standards also require applicable
entities to implement operating
processes or operating procedures to: (i)
Provide operators with indication(s) of
the quality of information being
provided by their monitoring and
analysis capabilities; and (ii) address
deficiencies in the quality of
information being provided by their
monitoring and analysis capabilities.
Our estimates regarding the number of
respondents are based on the NERC
Compliance Registry as of April 21,
2016. According to the NERC
Compliance Registry, there are 11
reliability coordinators, 100 balancing
authorities and 171 transmission
operators registered. The additional
estimated burden and cost related to the
changes in Docket No. RD16–6 are as
follows:
FERC–725Z—CHANGES DUE TO RELIABILITY STANDARD IRO–018–1
RC 16 ........
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Requirements and period
Number of
respondents 14
Annual
number of
responses per
respondent
Total number
of responses
(1)
Entity
(2)
(1) * (2) = (3)
Year 1 Implementation (reporting)
Starting in Year 2 (annual reporting).
Annual Record Retention ............
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Cost per
respondent
($)
(5) ÷ (1)
(4)
(3) * (4) = (5)
11
11
1
1
11
11
60 hrs.; $3,852.00 .........
32 hrs.; $2,054.40 .........
660 hrs.; $42,372.00 .....
352 hrs.; $22,598.40 .....
$3,852.00
2,054.40
11
10 The data specifications in Reliability Standards
TOP–003–2, Requirement R5 and IRO–010–2,
Requirement R3, cited by NERC, are for ‘‘mutually
agreeable’’ formats, processes for resolving
conflicts, and security protocols. These mutually
VerDate Sep<11>2014
Total annual burden
hours and total annual
cost
Average burden and
cost per response 15
1
11
2 hrs.; $75.38 ................
22 hrs.; $829.18 ............
75.38
agreeable procedural aspects likely would not be
developed in Real-time.
11 NERC Petition at 18. NERC emphasizes the
importance of the quality of this type of data by
noting that ‘‘[e]ntities continue to address lower-
PO 00000
Frm 00037
Fmt 4703
Sfmt 4703
priority data quality issues (i.e., data quality issues
not affecting Real-time monitoring or analysis)
according to their operating practices.’’ Id.
12 44 U.S.C. 3507(d) (2012).
13 5 CFR 1320 (2016).
E:\FR\FM\29SEN1.SGM
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66956
Federal Register / Vol. 81, No. 189 / Thursday, September 29, 2016 / Notices
FERC–725Z—CHANGES DUE TO RELIABILITY STANDARD IRO–018–1—Continued
Requirements and period
Total burden hrs. per year ..........................
Number of
respondents 14
Annual
number of
responses per
respondent
Total number
of responses
Average burden and
cost per response 15
Total annual burden
hours and total annual
cost
Cost per
respondent
($)
(1)
Entity
(2)
(1) * (2) = (3)
(4)
(3) * (4) = (5)
(5) ÷ (1)
........................
........................
......................
.......................................
682 hrs. in Year 1; 374
hrs. per year starting
in Year 2.
..................
FERC–725A—CHANGES DUE TO TOP–010–1 IN DOCKET NO. RD16–6–000
Number of
respondents 17
Annual
number of
responses per
respondent
Total number
of responses
(1)
(2)
(1) * (2) = (3)
Total annual burden
hours and total annual
cost
Average burden and
cost per response 18
Entity
Requirements and period
BA 19 .........
TOP 20 ......
Year 1 Implementation (reporting)
Starting in Year 2 (annual reporting).
Year 1 implementation (reporting)
Starting in Year 2 (annual reporting).
Annual Record Retention ............
171
1
171
BA/TOP ....
271
1
271
Total burden hours per year .......................
........................
........................
......................
.......................................
19,512 hrs. in Year 1;
11,582 hrs. per year,
starting in Year 2.
mstockstill on DSK3G9T082PROD with NOTICES
Jkt 238001
(3) * (4) = (5)
1
1
100
100
70 hrs.; $4,494.00 .........
42 hrs.; $2,696.40 .........
7,000 hrs.; $449,400.00
4,200 hrs.; $269,640.00
$4,494.00
2,696.40
171
14 The number of respondents is the estimated
number of entities for which there is a change in
burden from the current standards to the proposed
standards, not the total number of entities from the
current or proposed standards that are applicable.
15 The estimated hourly costs (salary plus
benefits) are based on Bureau of Labor Statistics
(BLS) information, as of May 2015 (at https://
www.bls.gov/oes/current/naics2_22.htm, with
updated benefits information for March 2016 at
https://www.bls.gov/news.release/ecec.nr0.htm), for
an electrical engineer (code 17–2071, $64.20/hour),
and for information and record clerks (code 43–
4199, $37.69/hour). The hourly figure for engineers
is used for reporting; the hourly figure for
information and record clerks is used for document
retention.
16 The following Requirements and the associated
measures apply to RCs: Requirement R1: A revised
data specification and writing the required
operating Process/Operating Procedure;
Requirement R2: Quality monitoring logs and the
data errors and corrective action logs; and
Requirement R3: Alarm process monitor
performance logs.
17 The number of respondents is the number of
entities in which a change in burden from the
current standards to the proposed exists, not the
total number of entities from the current or
proposed standards that are applicable.
18 The estimated hourly costs (salary plus
benefits) are based on Bureau of Labor Statistics
(BLS) information, as of May 2015 (at https://
www.bls.gov/oes/current/naics2_22.htm, with
updated benefits information for March 2016 at
https://www.bls.gov/news.release/ecec.nr0.htm), for
20:38 Sep 28, 2016
(5) ÷ (1)
(4)
100
100
29. The Commission finds that that
the new standards clarify and improve
upon the currently-effective TOP and
IRO Reliability Standards by designating
requirements in the new standards that
apply to transmission operators and
balancing authorities for the TOP
standards and reliability coordinators
for the IRO standards. Thus, the
Commission finds that there are benefits
VerDate Sep<11>2014
Cost per
respondent
($)
1
171
70 hrs.; $4,494.00 .........
4,494.00
40 hrs. $2,568.00 ..........
11,970 hrs.;
$768,474.00.
6,840 hrs.; $439,128.00
2 hrs $75.38 ..................
542 hrs. $20,427.98 ......
to clarifying and bringing efficiencies to
the TOP and IRO Reliability Standards,
consistent with the Commission’s policy
promoting increased efficiencies in
Reliability Standards and reducing
requirements that are either redundant
with other currently-effective
requirements or have little reliability
benefit.
Title: FERC–725Z (Mandatory
Reliability Standards: IRO Reliability
Standards) and FERC–725A (Mandatory
Reliability Standards for the Bulk-Power
System).
Action: Proposed revisions to existing
information collections.
OMB Control No: 1902–0276 (FERC–
725Z); 1902–0244 (FERC–725A).
Respondents: Businesses or other forprofit institutions; not-for-profit
institutions.
Frequency of Responses: One-time
implementation and ongoing.
an electrical engineer (code 17–2071, $64.20/hour),
and for information and record clerks record keeper
(code 43–4199, $37.69/hour). The hourly figure for
engineers is used for reporting; the hourly figure for
information and record clerks is used for document
retention.
19 The following Requirements and associated
measures apply to balancing authorities:
Requirement R1: A revised data specification and
writing the required operating process/operating
procedure; and Requirement R2: Quality monitoring
logs and the data errors and corrective action logs.
20 The following Requirements and associated
measures apply to transmission operators:
Requirement R1: A revised data specification and
writing the required operating process/operating
procedure; and Requirement R3: Alarm process
monitor performance logs to maintain performance
logs and corrective action plans.
PO 00000
Frm 00038
Fmt 4703
Sfmt 4703
2,568.00
75.338
..................
Necessity of the Information:
Reliability Standards IRO–018–1 and
TOP–010–1 enhance reliability by
adopting better real-time tools for
reliability coordinators, transmission
operators, and balancing authorities and
also establish requirements for real-time
monitoring and analysis capabilities to
support reliable system operations.
30. Interested persons may obtain
information on the reporting
requirements by contacting: Federal
Energy Regulatory Commission, 888
First Street NE., Washington, DC 20426
[Attention: Ellen Brown, Office of the
Executive Director, email:
DataClearance@ferc.gov, Phone: (202)
502–8663, fax: (202) 273–0873].
V. Effective Date
31. This order will become effective
upon issuance.
The Commission orders:
(A) Reliability Standards IRO–018–1
and TOP–010–1 are hereby approved, as
discussed in the body of this order.
(B) NERC is hereby directed to submit
a compliance filing within 60 days of
the date of this order designating the
violation risk factors for Requirement R1
of Reliability Standard IRO–018–1 and
Requirements R1 and R2 of Reliability
Standard TOP–010–1 as ‘‘high,’’ as
discussed in the body of this order.
By the Commission.
Issued: September 22, 2016.
Kimberly D. Bose,
Secretary.
[FR Doc. 2016–23519 Filed 9–28–16; 8:45 am]
BILLING CODE 6717–01–P
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]]>Agencies
[Federal Register Volume 81, Number 189 (Thursday, September 29, 2016)]
[Notices]
[Pages 66952-66956]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-23519]
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
[Docket No. RD16-6-000]
North American Electric Reliability Corporation; Order Approving
Reliability Standards
Before Commissioners: Norman C. Bay, Chairman; Cheryl A.
LaFleur, Tony Clark, and Colette D. Honorable
1. On May 26, 2016, the North American Electric Reliability
Corporation (NERC) submitted a petition seeking approval of proposed
Reliability Standards IRO-018-1 (Reliability Coordinator Real-time
Reliability Monitoring and Analysis Capabilities) and TOP-010-1 (Real-
time Reliability Monitoring and Analysis Capabilities). As discussed in
this order, the Commission approves Reliability Standards IRO-018-1 and
TOP-010-1 and NERC's proposed implementation plan, violation severity
levels and, with the exceptions identified below, violation risk
factors.
2. The Commission, as discussed below, directs NERC to submit a
compliance filing within 60 days of the date of this order to modify
the violation risk factor designations for Requirement R1 of
Reliability Standard IRO-018-1 and Requirements R1 and R2 of
Reliability Standard TOP-010-1 to ``high.''
I. Background and NERC Petition
3. The Commission certified NERC as the Electric Reliability
Organization, as defined in section 215 of the Federal Power Act
(FPA),\1\ in July 2006.\2\ In Order No. 693, the Commission approved 83
of 107 proposed Reliability Standards submitted by NERC, including the
original Transmission Operations (TOP) and Interconnection Reliability
Operations and Coordination (IRO) Reliability Standards. The Commission
also directed NERC to address issues with respect to the TOP and IRO
Reliability Standards regarding monitoring and analysis capabilities.
---------------------------------------------------------------------------
\1\ 16 U.S.C. 824o(d) (2012).
\2\ North American Electric Reliability Corp., 116 FERC ]
61,062, order on reh'g and compliance, 117 FERC ] 61,126 (2006),
order on compliance, 118 FERC ] 61,190, order on reh'g 119 FERC ]
61,046 (2007), rev. denied sub nom. Alcoa Inc. v. FERC, 564 F.3d
1342 (D.C. Cir. 2009).
---------------------------------------------------------------------------
4. NERC contends that the proposed Reliability Standards address:
(1) The directives in Order No. 693 requiring operators to have a
minimum set of capabilities; (2) recommendations contained in the NERC
Operating Committee Real-time Tools Best
[[Page 66953]]
Practices Task Force Report published in 2008; and (3) a recommendation
from the joint Commission-NERC report on the 2011 Arizona-Southern
California outage. NERC explains that it developed the proposed
Reliability Standards to improve real-time situational awareness
capabilities and enhance reliable operations by requiring reliability
coordinators, transmission operators, and balancing authorities to
provide operators with awareness of monitoring and analysis
capabilities, including alarm availability, so that operators may take
appropriate steps to protect reliability. NERC states that the 2003
Blackout Report identified inadequate situational awareness as one of
the key causes of that blackout, leading to a recommendation
(Recommendation 22) for the evaluation of existing and adoption of new
and better real-time tools for transmission operators and reliability
coordinators. NERC adds that a recommendation (Recommendation 12) from
the joint report on the 2011 Arizona-Southern California outage
provided that entities ``should take measures to ensure their real-time
tools are adequate, operational, and run frequently enough to provide
their operators the situational awareness necessary to identify and
plan for contingencies and reliably operate their systems.''
5. NERC states that, while existing Reliability Standards contain
requirements to perform monitoring and real-time assessments, proposed
Reliability Standards IRO-018-1 and TOP-010-1 build on these
requirements to support effective situational awareness. NERC explains
that the proposed Reliability Standards accomplish this by requiring
applicable entities to: (1) Provide notification to operators of real-
time monitoring alarm failures; (2) provide operators with indications
of the quality of information being provided by their monitoring and
analysis capabilities; and (3) address deficiencies in the quality of
information being provided by their monitoring and analysis
capabilities.
6. Specifically, NERC states that proposed Reliability Standards
IRO-018-1, Requirement R3 and TOP-010-1, Requirement R4 address
situational awareness objectives by providing for operator awareness
when key alarming tools are not performing as intended. Proposed
Reliability Standard IRO-018-1, Requirement R3 requires reliability
coordinators to have an alarm process monitor that provides
notification to system operators when the failure of a real-time
monitoring alarm processor has occurred. Proposed Reliability Standard
TOP-010-1, Requirement R4 contains an identical requirement applicable
to transmission operators and balancing authorities.
7. In addition, NERC states that proposed Reliability Standard IRO-
018-1, Requirement R1 obligates each reliability coordinator to
implement an operating process or procedure to address the quality of
the real-time data necessary to perform its real-time monitoring and
real-time assessments. Proposed Reliability Standard TOP-010-1,
Requirement R1 contains identical requirements applicable to
transmission operators; Requirement R2 requires the same of balancing
authorities.
8. Further, NERC explains that Reliability Standards IRO-018-1,
Requirement R2 and TOP-010-1, Requirement R3 ensure that reliability
coordinators and transmission operators, respectively, implement
operating processes or procedures to address issues related to the
quality of the analysis used in real-time assessments.
9. NERC submits that proposed Reliability Standards IRO-018-1 and
TOP-010-1, together with other currently-effective and Commission-
approved IRO and TOP Reliability Standards address the relevant
reliability concerns underlying the Commission's Order No. 693
directives requiring operators to have a minimum set of capabilities.
NERC's implementation plan provides that the proposed Reliability
Standards would become effective the first day of the first calendar
quarter that is 18 months following Commission approval.
II. Notice of Filing and Responsive Pleading
10. Notice of NERC's Petition was published on June 8, 2016 in the
Federal Register, 81 FR 36,910 (2016), with comments, protests and
motions to intervene due on or before June 22, 2016. Dominion Resources
Services, Inc. (Dominion) filed a timely motion to intervene.
III. Discussion
11. Pursuant to Rule 214 of the Commission's Rules of Practice and
Procedure, 18 CFR 385.214 (2016), the timely motion to intervene filed
by Dominion serves to make it a party to this proceeding.
A. Reliability Standards IRO-018-1 and TOP-010-1
12. Pursuant to section 215(d)(2) of the FPA, the Commission
approves Reliability Standards IRO-018-1 and TOP-010-1 as just,
reasonable, not unduly discriminatory or preferential and in the public
interest. Reliability Standards IRO-018-1 and TOP-010-1 improve real-
time situational awareness capabilities and enhance reliable operations
by requiring reliability coordinators, transmission operators, and
balancing authorities to provide operators with an improved awareness
of system conditions analysis capabilities, including alarm
availability, so that operators may take appropriate steps to ensure
reliability. The Reliability Standards accomplish this by requiring
that applicable entities provide notification to operators of real-time
system awareness and monitoring alarm failures. We agree with NERC that
requiring applicable entities to implement operating processes or
operating procedures governing the quality of the information they are
providing on monitoring and analysis capabilities will enhance
reliability. Further, we determine that Reliability Standards IRO-018-1
and TOP-010-1, together with existing Commission-approved Reliability
Standards, adequately address the relevant directives in Order No. 693.
We also approve NERC's proposed implementation plan, violation severity
levels and, with the exceptions discussed below, violation risk
factors.
B. Violation Risk Factors
13. On May 18, 2007, the Commission established guidelines for
determining whether to approve violation risk factors proposed by
NERC.\3\ The Commission identified the following five factors for
evaluating violation risk factors: (1) Consistency with the conclusions
of the 2003 Blackout Report; (2) consistency within a Reliability
Standard, (3) consistency among Reliability Standards with similar
requirements; (4) consistency with NERC's definition of the violation
risk factor level; and (5) assignment of violation risk factor levels
to those requirements in certain Reliability Standards that co-mingle a
higher risk reliability objective and a lower risk reliability
objective.\4\
---------------------------------------------------------------------------
\3\ See North American Electric Reliability Corp., 119 FERC ]
61,145, order on reh'g, 120 FERC ] 61,145 (2007); North American
Electric Reliability Corp., 123 FERC ] 61,284, at PP 20-35, order on
reh'g & compliance, 125 FERC ] 61,212 (2008); North American
Electric Reliability Corp., 135 FERC ] 61,166 (2011).
\4\ North American Electric Reliability Corp., 119 FERC ] 61,145
at P 16.
---------------------------------------------------------------------------
14. NERC contends that it is appropriate, under the Commission's
guidelines, to assign ``medium'' violation risk factors to Requirement
R1 of Reliability Standard IRO-018-1 and Requirements R1 and R2 of
Reliability Standard TOP-010-1. Regarding the
[[Page 66954]]
first guideline, NERC maintains that the requirements are not directly
connected to the conclusions or critical areas identified in the 2003
Blackout Report but, rather, address specific recommendations from a
NERC technical committee.
15. NERC also contends that a ``medium'' violation risk factor for
these requirements satisfies the second and third guidelines because it
is consistent within the Reliability Standards and among other
Reliability Standards with similar requirements. Specifically, NERC
states that a ``medium'' violation risk factor comports with the second
guideline because the Reliability Standards contain similar
responsibilities for different applicable entities. NERC also explains
that such a designation is consistent with other Reliability Standards
that involve effective monitoring and control of the bulk electric
system. As examples, NERC points to ``medium'' violation risk factor
designations for Reliability Standards TOP-003-3, Requirement R5 and
IRO-010-2, Requirement R3, which provide that applicable entities shall
provide the data necessary for transmission operators and reliability
coordinators to perform real-time monitoring and real-time assessments.
In addition, NERC cites Reliability Standard TOP-001-3, Requirement R9,
which requires transmission operators and balancing authorities to
notify reliability coordinators and others of planned and unplanned
outages of monitoring and assessment capabilities, which has also been
assigned a ``medium'' violation risk factor.
16. NERC contends that the proposed designations are also
consistent with NERC's definition of ``medium'' violation risk factor,
and thus consistent with the fourth Commission guideline. NERC explains
that the purpose of these Reliability Standards is to address
recommendations regarding real-time situational awareness and to
require entities to take steps to address data or analysis quality
concerns to the extent that it affects their ability to perform real-
time monitoring and analysis. NERC believes that violation of any of
these requirements could directly affect the ability to effectively
monitor and control the bulk electric system, but is unlikely to lead
to bulk electric system instability, separation, or cascading failures.
17. With respect to the fifth guideline, NERC states that the
proposed violation risk factor assignments do not reflect the lower of
multiple reliability objectives as each applicable requirement contains
one reliability objective.
18. We determine that the ``medium'' violation risk factors NERC
proposes to assign to Requirement R1 of Reliability Standard IRO-018-1
and Requirements R1 and R2 of Reliability Standard TOP-010-1 are not
consistent with the Commission's guidelines. As discussed below, NERC
has not adequately justified the proposed ``medium'' violation risk
factor designations. Specifically, we find that the proposed
designations are inconsistent with NERC's definition of violation risk
factor; the recommendations contained in the 2003 Blackout Report; and
other Reliability Standards with similar requirements. Accordingly, we
direct NERC to raise these violation risk factor designations to
``high.''
19. The fourth Commission guideline calls for consistency with
NERC's definition of the appropriate violation risk factor level.\5\
The Commission-approved NERC definition for ``high'' violation risk
factor states, in pertinent part, that a requirement should be ``high''
if a violation of the requirement ``could place the bulk electric
system at an unacceptable risk of instability, separation or cascading
failures.'' In contrast, the Commission-approved NERC definition of
``medium'' violation risk factor provides that the violation of the
underlying requirement ``could directly affect the electrical state or
the capability of the Bulk Electric System, or the ability to
effectively monitor and control the Bulk Electric System . . . [but] is
unlikely to lead to Bulk Electric System instability, separation, or
cascading failures.'' While NERC states that violation of any of the
requirements could directly affect the ability to effectively monitor
and control the bulk electric system, NERC contends that violation of
these requirements is unlikely to lead to bulk electric system
instability, separation, or cascading failures.
---------------------------------------------------------------------------
\5\ See North American Electric Reliability Corp., 119 FERC ]
61,145 at PP 28-31.
---------------------------------------------------------------------------
20. NERC's assertion that a violation of Requirement R1 of
Reliability Standard IRO-018-1 and Requirements R1 and R2 of
Reliability Standard TOP-010-1 is unlikely to lead to bulk electric
system instability, separation, or cascading failures is unpersuasive.
The 2003 Blackout Report identified four groups of causes of the
blackout, one of which was failure of the interconnected transmission
network's reliability organizations to provide effective real-time
diagnostic support.\6\ As NERC noted in its petition, Recommendation 22
of the 2003 Blackout Report stated that NERC should ``evaluate . . .
the real-time operating tools necessary for reliability [sic] operation
and reliability coordination, including backup capabilities . . . .''
\7\ The 2003 Blackout Report also stated that NERC should require its
Operating Committee to ``give particular attention in its report to the
development of guidance to control areas and reliability coordinators
on the use of wide-area situation display systems and the integrity of
data used in those systems.'' \8\ Real-time data quality is essential
to ensure reliable operation of the interconnected transmission
network. Given the importance of effective real-time diagnostic support
recognized by NERC's Operating Committee and consistent with the 2003
Blackout Report, we conclude that first and fourth Commission
guidelines support raising the violation risk factor designations for
Requirement 1 of Reliability Standard IRO-018-1 and Requirements R1 and
R2 of Reliability Standard TOP-010-1 to ``high.''
---------------------------------------------------------------------------
\6\ U.S.-Canada Power System Outage Task Force, Final Blackout
Report (April 2004) at 18, https://www.ferc.gov/industries/electric/indus-act/reliability/blackout/ch1-3.pdf.
\7\ Id. at 159 (Recommendation 22).
\8\ Id.
---------------------------------------------------------------------------
21. Regarding the third guideline, existing Reliability Standards
require real-time monitoring and assessments by reliability
coordinators (IRO-002-4 and IRO-008-2), transmission operators (TOP-
001-3), and balancing authorities (TOP-001-3). Reliability Standards
IRO-002-4, Requirements R3 and R4, IRO-008-2, Requirement R4, and TOP-
001-3, Requirement R13 require monitoring and analysis of the bulk
electric system and have ``high'' violation risk factors. The
requirements of Reliability Standards IRO-018-1 and TOP-010-1 are
designed to ensure the accuracy of the data used in these existing
Reliability Standards to perform the required monitoring and analysis
activities of the bulk electric system. The quality of the data is an
essential element of the monitoring and analysis process.\9\
Accordingly, it would be incongruous to designate requirements
mandating monitoring and assessments as ``high'' while designating
requirements meant to ensure the accuracy of the data on which those
assessments rely with a lower ``medium'' violation risk factor.
---------------------------------------------------------------------------
\9\ NERC Petition at 14 (``maintaining adequate situational
awareness is essential for the reliable operation of the Bulk Power
System . . . situational awareness means `ensuring that accurate
information on current system conditions . . . is continuously
available . . .' '').
---------------------------------------------------------------------------
22. We are not persuaded by NERC's reliance on the violation risk
factors in existing Reliability Standards TOP-003-3 and IRO-010-2 to
support assigning a ``medium'' violation risk factor to
[[Page 66955]]
Requirement 1 of Reliability Standard IRO-018-1 and Requirements R1 and
R2 of Reliability Standard TOP-010-1. Reliability Standards TOP-003-3
and IRO-010-2 address documentation and specification of data.\10\ In
contrast, Reliability Standards IRO-018-1, Requirement R1 and TOP-010-
1, Requirements R1 and R2 go beyond documentation and specification of
data and require the development of an operating process or operating
procedure to evaluate ``the quality of the Real-time data necessary to
perform [ ] Real-time data monitoring and Real-time Assessments or
analysis functions.'' \11\ This distinction justifies assigning a
higher violation risk factor to Reliability Standards IRO-018-1,
Requirement R1 and TOP-010-1, Requirements R1 and R2.
---------------------------------------------------------------------------
\10\ The data specifications in Reliability Standards TOP-003-2,
Requirement R5 and IRO-010-2, Requirement R3, cited by NERC, are for
``mutually agreeable'' formats, processes for resolving conflicts,
and security protocols. These mutually agreeable procedural aspects
likely would not be developed in Real-time.
\11\ NERC Petition at 18. NERC emphasizes the importance of the
quality of this type of data by noting that ``[e]ntities continue to
address lower-priority data quality issues (i.e., data quality
issues not affecting Real-time monitoring or analysis) according to
their operating practices.'' Id.
---------------------------------------------------------------------------
23. Nor are we persuaded by NERC's citation of a ``medium''
violation risk factor for Reliability Standard TOP-001-3, Requirement
R9. This requirement mandates that each transmission operator and
balancing authority notify its reliability coordinator and known
impacted interconnected entities of, among other things, all planned
outages, and unplanned outages of 30 minutes or more, for monitoring
and assessment capabilities, and associated communication channels
between the affected entities. This is a notification requirement, not
a real-time performance requirement. The notified entity already is
subject to performance requirements relating to its real-time
monitoring and assessment capabilities.
IV. Information Collection Statement
24. The Paperwork Reduction Act (PRA) requires each federal agency
to seek and obtain Office of Management and Budget (OMB) approval
before undertaking a collection of information directed to ten or more
persons or contained in a rule of general applicability.\12\ OMB
regulations require approval of certain information collection
requirements imposed by agency rules.\13\ Upon approval of a collection
of information, OMB will assign an OMB control number and an expiration
date. Respondents subject to the filing requirements of an agency rule
will not be penalized for failing to respond to the collection of
information unless the collection of information displays a valid OMB
control number.
---------------------------------------------------------------------------
\12\ 44 U.S.C. 3507(d) (2012).
\13\ 5 CFR 1320 (2016).
---------------------------------------------------------------------------
25. The Commission will submit the information collection
requirements to OMB for its review and approval. The Commission
solicits public comments on its need for this information, whether the
information will have practical utility, the accuracy of burden and
cost estimates, ways to enhance the quality, utility, and clarity of
the information to be collected or retained, and any suggested methods
for minimizing respondents' burden, including the use of automated
information techniques. Comments are due November 28, 2016.
26. The Commission is approving the proposed Reliability Standards
IRO-018-01 (Reliability Coordinator Real-time Reliability Monitoring
and Analysis Capabilities, associated with FERC-725Z (Mandatory
Reliability Standards: IRO Reliability Standards)) and TOP-010-1 (Real-
time Reliability Monitoring and Analysis Capabilities, associated with
FERC-725A (Mandatory Reliability Standards for the Bulk Power System)).
27. The Commission finds that the new TOP and IRO Reliability
Standards improve reliability by providing rigorous functional
requirements for real-time monitoring and analysis. Reliability
Standards IRO-018-1 and TOP-010-1 were created to improve real-time
situational awareness capabilities and enhance reliable operations by
requiring reliability coordinators, transmission operators, and
balancing authorities to provide operators with awareness of monitoring
and analysis capabilities, including alarm availability, so that
entities may take appropriate steps to ensure reliability.
28. The Commission approves Reliability Standards IRO-018-1 and
TOP-010-1, which enhance reliability by accomplishing Blackout Report
Recommendation 22 to evaluate and adopt better real-time tools for
operators and reliability coordinators and establish requirements to
perform real-time monitoring and analysis capabilities to support
reliable system operations. The new Reliability Standards build upon
existing requirements to support effective real-time monitoring and
analysis and improved situational awareness, and thereby enhance
reliable operations. Reliability Standard IRO-018-1 is applicable to
reliability coordinators. Reliability Standard TOP-010-1 applies to
transmission operators and balancing authorities.
Public Reporting Burden: The new TOP and IRO Reliability Standards
require applicable entities to provide notification to operators of
real-time monitoring of alarm failures. The new standards also require
applicable entities to implement operating processes or operating
procedures to: (i) Provide operators with indication(s) of the quality
of information being provided by their monitoring and analysis
capabilities; and (ii) address deficiencies in the quality of
information being provided by their monitoring and analysis
capabilities. Our estimates regarding the number of respondents are
based on the NERC Compliance Registry as of April 21, 2016. According
to the NERC Compliance Registry, there are 11 reliability coordinators,
100 balancing authorities and 171 transmission operators registered.
The additional estimated burden and cost related to the changes in
Docket No. RD16-6 are as follows:
FERC-725Z--Changes Due to Reliability Standard IRO-018-1
--------------------------------------------------------------------------------------------------------------------------------------------------------
Number of Annual number Average burden and Total annual Cost per
Entity Requirements and respondents of responses Total number cost per response burden hours and respondent
period \14\ per respondent of responses \15\ total annual cost ($)
(1) (2) (1) * (2) = (4)................ (3) * (4) = (5)... (5) / (1)
(3)
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RC \16\......................... Year 1 11 1 11 60 hrs.; $3,852.00. 660 hrs.; $3,852.00
Implementation $42,372.00.
(reporting).
Starting in Year 2 11 1 11 32 hrs.; $2,054.40. 352 hrs.; 2,054.40
(annual reporting). $22,598.40.
Annual Record 11 1 11 2 hrs.; $75.38..... 22 hrs.; $829.18.. 75.38
Retention.
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[[Page 66956]]
Total burden hrs. per year....................... .............. .............. ............ ................... 682 hrs. in Year ..........
1; 374 hrs. per
year starting in
Year 2.
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FERC-725A--Changes Due to TOP-010-1 in Docket No. RD16-6-000
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Number of Annual number Average burden and Total annual Cost per
Entity Requirements and respondents of responses Total number cost per response burden hours and respondent
period \17\ per respondent of responses \18\ total annual cost ($)
(1) (2) (1) * (2) = (4)................ (3) * (4) = (5)... (5) / (1)
(3)
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BA \19\......................... Year 1 100 1 100 70 hrs.; $4,494.00. 7,000 hrs.; $4,494.00
Implementation $449,400.00.
(reporting).
Starting in Year 2 100 1 100 42 hrs.; $2,696.40. 4,200 hrs.; 2,696.40
(annual reporting). $269,640.00.
TOP \20\........................ Year 1 171 1 171 70 hrs.; $4,494.00. 11,970 hrs.; 4,494.00
implementation $768,474.00.
(reporting).
Starting in Year 2 171 1 171 40 hrs. $2,568.00.. 6,840 hrs.; 2,568.00
(annual reporting). $439,128.00.
BA/TOP.......................... Annual Record 271 1 271 2 hrs $75.38....... 542 hrs. 75.338
Retention. $20,427.98.
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Total burden hours per year...................... .............. .............. ............ ................... 19,512 hrs. in ..........
Year 1; 11,582
hrs. per year,
starting in Year
2.
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29. The Commission finds that that the new standards clarify and
improve upon the currently-effective TOP and IRO Reliability Standards
by designating requirements in the new standards that apply to
transmission operators and balancing authorities for the TOP standards
and reliability coordinators for the IRO standards. Thus, the
Commission finds that there are benefits to clarifying and bringing
efficiencies to the TOP and IRO Reliability Standards, consistent with
the Commission's policy promoting increased efficiencies in Reliability
Standards and reducing requirements that are either redundant with
other currently-effective requirements or have little reliability
benefit.
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\14\ The number of respondents is the estimated number of
entities for which there is a change in burden from the current
standards to the proposed standards, not the total number of
entities from the current or proposed standards that are applicable.
\15\ The estimated hourly costs (salary plus benefits) are based
on Bureau of Labor Statistics (BLS) information, as of May 2015 (at
https://www.bls.gov/oes/current/naics2_22.htm, with updated benefits
information for March 2016 at https://www.bls.gov/news.release/ecec.nr0.htm), for an electrical engineer (code 17-2071, $64.20/
hour), and for information and record clerks (code 43-4199, $37.69/
hour). The hourly figure for engineers is used for reporting; the
hourly figure for information and record clerks is used for document
retention.
\16\ The following Requirements and the associated measures
apply to RCs: Requirement R1: A revised data specification and
writing the required operating Process/Operating Procedure;
Requirement R2: Quality monitoring logs and the data errors and
corrective action logs; and Requirement R3: Alarm process monitor
performance logs.
\17\ The number of respondents is the number of entities in
which a change in burden from the current standards to the proposed
exists, not the total number of entities from the current or
proposed standards that are applicable.
\18\ The estimated hourly costs (salary plus benefits) are based
on Bureau of Labor Statistics (BLS) information, as of May 2015 (at
https://www.bls.gov/oes/current/naics2_22.htm, with updated benefits
information for March 2016 at https://www.bls.gov/news.release/ecec.nr0.htm), for an electrical engineer (code 17-2071, $64.20/
hour), and for information and record clerks record keeper (code 43-
4199, $37.69/hour). The hourly figure for engineers is used for
reporting; the hourly figure for information and record clerks is
used for document retention.
\19\ The following Requirements and associated measures apply to
balancing authorities: Requirement R1: A revised data specification
and writing the required operating process/operating procedure; and
Requirement R2: Quality monitoring logs and the data errors and
corrective action logs.
\20\ The following Requirements and associated measures apply to
transmission operators: Requirement R1: A revised data specification
and writing the required operating process/operating procedure; and
Requirement R3: Alarm process monitor performance logs to maintain
performance logs and corrective action plans.
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Title: FERC-725Z (Mandatory Reliability Standards: IRO Reliability
Standards) and FERC-725A (Mandatory Reliability Standards for the Bulk-
Power System).
Action: Proposed revisions to existing information collections.
OMB Control No: 1902-0276 (FERC-725Z); 1902-0244 (FERC-725A).
Respondents: Businesses or other for-profit institutions; not-for-
profit institutions.
Frequency of Responses: One-time implementation and ongoing.
Necessity of the Information: Reliability Standards IRO-018-1 and
TOP-010-1 enhance reliability by adopting better real-time tools for
reliability coordinators, transmission operators, and balancing
authorities and also establish requirements for real-time monitoring
and analysis capabilities to support reliable system operations.
30. Interested persons may obtain information on the reporting
requirements by contacting: Federal Energy Regulatory Commission, 888
First Street NE., Washington, DC 20426 [Attention: Ellen Brown, Office
of the Executive Director, email: DataClearance@ferc.gov, Phone: (202)
502-8663, fax: (202) 273-0873].
V. Effective Date
31. This order will become effective upon issuance.
The Commission orders:
(A) Reliability Standards IRO-018-1 and TOP-010-1 are hereby
approved, as discussed in the body of this order.
(B) NERC is hereby directed to submit a compliance filing within 60
days of the date of this order designating the violation risk factors
for Requirement R1 of Reliability Standard IRO-018-1 and Requirements
R1 and R2 of Reliability Standard TOP-010-1 as ``high,'' as discussed
in the body of this order.
By the Commission.
Issued: September 22, 2016.
Kimberly D. Bose,
Secretary.
[FR Doc. 2016-23519 Filed 9-28-16; 8:45 am]
BILLING CODE 6717-01-P
