Microsoft Power and Utilities Blog

Cyber security and critical infrastructure protection - Managing for success

To say that Utilities are meeting the challenges of a difficult age is probably the understatement of the decade.

One need only look at the comments of Rick Sergel, president and CEO of the North American Electric Reliability Corporation (NERC), to the state regulators at the National Association of Regulatory Utility Commissioners (NARUC) summer meetings on July 20, where he outlines all the various measures being taken to increase cyber and physical asset security of the North American power system.

Of note to utilities with Microsoft solutions in place, we believe our technologies will help address many of the very specific requirements that NERC is laying out. In particular, Sergel mentioned the following two critical infrastructure protection requirements:

CIP-003: Security Management Controls essentially requires entities to document a cyber security policy, review it annually, and make it accessible to appropriate staff, but appropriate staff only. It also requires each entity to document exceptions to the policy, review it annually, and closely control access to the plan. As one additional matter of course, the standard requires each entity to identify a cyber security contact within their organization and provide this information to NERC or their Regional Entity.

CIP-007: Systems Security Management essentially gives some basic requirements about IT maintenance, like installing anti-virus systems, downloading security patches, and securing unused access points (or ports) to critical cyber equipment. It also contains some requirements for logging user access, managing permissions and administrator privileges. Perhaps most importantly, it requires entities to assess cyber vulnerabilities annually and to document this assessment.

We will be writing more about meeting NERC reliability standards in the future but for now you might look at the following discussions about NERC:

Several Microsoft partners sponsored the recent EUCI conference on NERC

Warren Causey wrote a Whitepaper on Microsoft’s role in complying with NERC standards

Using familiar Microsoft tools to reduce the complexity of compliance

2007 Office System Document: Compliance Features in the 2007 Microsoft Office System

Microsoft solutions for regulatory compliance

Of particular interest is the Energy Central Webcast entitled “Are you prepared for your next NERC/RRO Audit”.  In the Webcast Warren Causey of Energy Central along with Steve Rossi of Flexnova, Andre Chon of AUS Consulting and Pat vanMidde of San Diego Gas & Electric discuss the internal process, procedures and documentation responsibility NERC compliance and solutions for preventing NERC compliance activities from turning into a document management nightmare!

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About MSPowerUtilities

Welcome to the Microsoft Utilities Industries Blog! My Name is Jon Arnold and I am the Microsoft WW Utilities Industry Managing Director, one of four people who will be serving as author of this blog. Our blog aims to provide readers with frank discussions of utility industry issues and our view on them as a provider of software solutions. Blogs are often judged by their level of authenticity and the absence of marketing content. We will make every effort to shape this blog accordingly. However, and I don’t mean to be immodest here, but Microsoft software helps nearly every utility around the world run their business. If our comments on this blog provide our users with extra insight and knowledge about our products – even if some readers get turned off by inadvertent marketing – we take comfort in the fact we’re doing our job, serving our clients. But in a larger sense we think this blog will serve an important role in educating and informing most everyone, as power hungry businesses, industrial operations and consumers create ever more demand pressure, and as environmental issues, regulations and higher fuel costs squeeze utilities’ production. Just as technology has increased modern economies’ productivity over the last 25 years, so too will it address these new challenges. The Microsoft WW Utilities Team is comprised of myself, Larry Cochrane and Larry Kuhl, or, as I refer to them, Larry West and Larry East, as Larry C is in Redmond and Larry K is upstate New York. We work closely with Microsoft industry resources around the world including Ray King of the US Utilities group who resides here in sunny Florida with me. I’ll include all our bios in another post. Our goal as a team will be to offer thoughts about how utilities can use technology to improve cost efficiencies, enhance service reliability, improve customer service and add to the bottom line. Just as important, we want to provide our views on how utilities can compete in a turbulent future brought on by the carbon challenge and global supply chain competition. We will do this by changing the way people work, through the most comprehensive software they need to be successful, and thereby change the utility organization itself. We already have an extensive set of information about how we and our partners are helping utilities become more successful. You can find this information and more about the kinds of products and services provided by the Microsoft Utilities team at this link. I strongly encourage your feedback and suggestions so please, do not hesitate to contact me at: Jon.Arnold@Microsoft.com or call me at: 904-280-5406 Jon C. Arnold WW Utilities Industry Managing Director Worldwide Utilities Industry Microsoft Corporation Office & Mobile: 904.280.5406 Fax: 425. 708.5902 jona@microsoft.com On the internet at: www.microsoft.com/utilities

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