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State of Reliability Standards Valerie Agnew, Sr. Director of Standards, NERC Steve Rueckert, Director Standards, WECC

State of Reliability Standards Valerie Agnew, Sr. Director of Standards, NERC Steve Rueckert, Director Standards, WECC

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State of Reliability StandardsValerie Agnew, Sr. Director of Standards, NERCSteve Rueckert, Director Standards, WECC

RELIABILITY | ACCOUNTABILITY2

• Overview of Standards Progress to date Achieving “Steady-state”

• 2015• Going Forward

Integrating Risk Outlook for standards development projects

Topics

RELIABILITY | ACCOUNTABILITY3

Evolution of Standards Development

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Evolution of Standards Development

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Evolution of Standards Development

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Evolution of Standards Development

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Evolution of Standards Development

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Evolution of Standards Development

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Evolution of Standards Development

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• BAL Resource and Demand Balancing• CIP Critical Infrastructure Protection• COM Communications• EOP Emergency Preparedness and Operations• FAC Facilities Design, Connections and Maintenance• INT Interchange Scheduling and Coordination• IRO Interconnection Reliability Operations and Operations• MOD Modeling, Data and Analysis• NUC Nuclear• PER Personnel Performance, Training, and Qualifications• PRC Protection and Control• TOP Transmission Operations• TPL Transmission Planning• VAR Voltage and Reactive

Standard Families

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• Completing necessary work FERC directives Paragraph 81 and Independent Experts Review Panel (IERP)

recommendations for retirement Gaps

• Implementing Results-based standards Performance-based Risk-based Competency-based

• Focusing on targeted applicability

Standards – Steady-State

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Progress on FERC Directives

Pre-2013 Directives

Post 2012 Directives

Total

Issued prior to year-end 2012 191Issued in 2013/2014 53Resolved as of December 31, 2014 164 24Remaining 27 29 56Projected to be resolved in 2015 22 25 47Projected remaining at year-end 2015 5 4 9

*Does not include directives for other NERC departments

RELIABILITY | ACCOUNTABILITY13

• Paragraph 81 FERC Order issued March 15, 2012 Revise or remove requirements with little effect on reliability

• Independent Experts Reviewed all non-CIP requirements Focused on 404 Future Enforceable requirements Recommended retirements Identified gaps

Paragraph 81 and Independent Experts

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Key Findings – Status

• Total Future Enforceable requirements – 404

• Retirement -147• Retain - 257

Improve -176 Steady-State - 81 Consolidate retained

257 requirements (232)

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Progress on Paragraph 81 and Independent Experts Review Panel

(IERP)

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Progress on Paragraph 81 and Independent Experts Review Panel

(IERP)

Resolution Number Percent Retired 110 46% Modified 103 43% Retained 25 11% 238

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Requirements

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• Eastern Interconnection 1 Standard, 4 Requirements • NPCC 2 Standards, 40 Requirements*• ReliabilityFirst 1 Standard, 2 Requirements• SERC 1 Standard, 2 Requirements• Texas RE 2 Standard, 12 Requirements• WECC 8 Standards, 24 Requirements**

*1 Standard becomes enforceable July 1,2015**Reduced from 26 as of April 1, 2015

Regional Standards with Requirements

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• 2014 RSDP identified 26 projects to be completed in 2014 Four projects were added after plan was developed

• 2015 Twelve projects, or portions of projects, were extended into 2015 Four new projects are identified in the RSDP

Reliability Standards Development Plans (RSDP)

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• Outlook for standards development projects Enhanced Periodic Reviews FERC Directives Newly identified risks

• Concurrent development of compliance expectations• Transition to implementation• Post enforcement activities

Standards – Next Steps

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• Measured, in-depth review to improve quality and content of standards

• Look for opportunities to make standards more concise• Verify content is appropriate to be included in a standard• Incorporate Regional Standards into Continent-wide Standards• Builds on Independent Experts’ work with industry input• Plan to be developed in first half of 2015• No mandated timeline

Enhanced Periodic Reviews

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Risk Mitigation

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Solutions Package

Evaluate

W E S T E R N E L E C T R I C I T Y C O O R D I N A T I N G C O U N C I L

WECC Coordinates with NERC

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25W E S T E R N E L E C T R I C I T Y C O O R D I N A T I N G C O U N C I L

Efforts to Coordinate

• Transition Existing WECC Regional Reliability Standards (RRS) to NERC Variances

• Retire Unnecessary or Outdated WECC RRS• Retire Unnecessary or Outdated WECC

Variances• Participate in Enhanced Periodic Reviews• Review and comment/vote on NERC Projects

26W E S T E R N E L E C T R I C I T Y C O O R D I N A T I N G C O U N C I L

Current WECC Standards Projects

Project Number

Title

WECC-0101 Generator Validation ConversionWECC-0105 P81 VAR RedraftWECC-0107 PSS Design and PerformanceWECC-0111 TOP-007-WECC-1a Retirement or ModificationWECC-0113 Retire WECC Variance in FAC-010-2.1 and FAC-011-2

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Questions and Answers