Mexico's transition to a modern wholesale power market will place new demands on how regulators evaluate and approve transmission expansion projects. Transmission projects in a modern wholesale market fulfill one of several needs, and utilities, regional transmission organizations (RTOs), and regulatory authorities in the United States have encountered comparable challenges in their market transitions to ensure projects meeting each type of need can be built. The purpose of this report is to open a window to view that experience. The report examines key practices of different U.S. jurisdictions that have moved from transmission planning to transmission approval, and it focuses on the role of the regulator in supporting a planning process that equitably meets identified needs. This report is written primarily for the Comisión Reguladora de Energía (CRE), Centro Nacional de Control de Energía (CENACE), and Secretaría de Energía (SENER). The report's first objective is to highlight the role of regulators in different types of U.S. transmission planning processes and identify the decision-making tools they use. In the United States, the regulator's role varies geographically (e.g., by state), by market structure (i.e., a competitive market versus a vertically integrated utility), and jurisdictionally (i.e., federal roles versus state roles), but all regulators face some common challenges. The challenges include establishing an equitable openaccess transmission planning process, assessing benefits and costs for the purpose of considering project cost allocation, and establishing the bulk electric system reliability metrics and planning tools that will be used to evaluate proposed transmission projects. vi This report is available at no cost from the National Renewable Energy Laboratory (NREL) at www.nrel.gov/publications.
Planning-security plans, business processes, cybersecurity audits, and prioritization of components and functions for new cybersecurity measures 5. Execution and performance-number and type of cybersecurity attacks faced by the utility, situational awareness, penetration testing, and business and control systems integration vi This report is available at no cost from the National Renewable Energy Laboratory at www.nrel.gov/publications.6. Support-cybersecurity criteria applied to vendors, vulnerability assessment for new acquired products, and learning from past cybersecurity incidents and adapting to new models. Notable Findings and DiscussionTypically, public power distribution companies, cooperatives, and municipalities are connected to the local governments within their service territory. These governments usually compose, appoint, or are otherwise members of the public power utility boards of directors. It is incumbent on any board of directors to determine company policies and review threats and risks. Yet the main findings of our research suggest that having an internal cybersecurity policy is not necessarily the first step toward addressing cybersecurity; rather, different efforts such as budgeting projects, piloting programs, and establishing strategies to implement cybersecurity practices can be the first initiatives. In fact, it was surprising that utilities listing more than one cybersecurity effort do not have an established cybersecurity policy.Cybersecurity expenses are usually provided through a base rate allocation, meaning that expenses are covered from existing rates. Understandably, several respondents reported budgeting for cybersecurity as a primary challenge; in fact, some reported that no formal cybersecurity budget is established. For those that reported specific cybersecurity budgets, the cyber budgets are not consistent with higher IT budgets.Utilities reported interacting mostly with national associations to improve their cybersecurity postures. In addition to associations such as the National Rural Electric Cooperative Association, American Public Power Association, and Edison Electric Institute as well as InfraGard and fusion centers, utilities reported collaborating with multiple organizations, including the Utilities Telecom Council, Utility Technology Association, Information Sharing and Analysis Center, and regional public power associations and trade associations. Utilities also reported that state, county, and city agencies have encouraged them to work individually to improve cybersecurity, and, to some extent, state-level agencies have monitored security planning, implementation, and performance. However, the data collected suggest that the boards of directors of municipalities and cooperatives are not strongly involved in cybersecurity actions.Although many utilities do not have a formal cybersecurity policy in place, eight reported conducting risk assessments for their cybersecurity plans and following best practices. They perceive these efforts as actions beyond those requi...
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