Agenda Standards Committee Meeting December 6, :00 a.m. to 3:00 p.m. Eastern

Transcription

1 Agenda Standards Committee Meeting December 6, :00 a.m. to 3:00 p.m. Eastern Dial-in: Access Code: Meeting Password: Click here for: WebEx Access Introduction and Chair s Remarks NERC Antitrust Compliance Guidelines and Public Announcement* Agenda Items 1. Review December 6 Agenda (Approve) (B. Murphy) (1 minute) 2. Consent Agenda (Approve) (B. Murphy) (1 minute) a. October 18, 2017 Standards Committee Meeting Minutes* (Approve) b. Standards Committee Executive Committee Election* (Approve) c. Standards Committee Annual Accomplishments* (Approve) 3. Upcoming Standards Projects or Issues (Update) a. Three-Month Outlook* (H. Gugel; B. Murphy) (10 minutes) 4. Projects Under Development (Review) a. Project Tracking Spreadsheet (C. Yeung) (5 minutes) b. Projected Posting Schedule (H. Gugel) (5 minutes) 5. Project Modifications to Personnel Performance, Training, and Qualifications Standards* (Accept) (S. Kim) (10 minutes) 6. Consultants on Standards Drafting Teams* (Authorize) (B. Murphy) (10 minutes) Standards Committee Strategic Plan* (Approve) (A. Gallo) (10 minutes) 8. Definition Development Procedure* (Approve) (B. Li) (10 minutes) 9. Standard Drafting Team Scope* (Approve) (B. Li) (10 minutes) 10. Functional Model Advisory Group Scope-of-Work* (Approve) (J. Cyrulewski; B. Murphy) (10 minutes) 11. Subcommittee Reports and Updates

2 a. Project Management and Oversight Subcommittee (Update) (C. Yeung) (5 minutes) b. Process Subcommittee* (Update) (B. Li) (5 minutes) 12. Legal Update and Upcoming Standards Filings* (Review) (S. Elstein) (5 minutes) 13. Informational Items (Enclosed) a. Standards Committee Expectations* b Meeting Dates and Locations* c Standards Committee Roster* d. Highlights of Parliamentary Procedure* 14. Adjournment *Background materials included. Agenda - Standards Committee Meeting December 6,

3 Antitrust Compliance Guidelines I. General It is NERC s policy and practice to obey the antitrust laws and to avoid all conduct that unreasonably restrains competition. This policy requires the avoidance of any conduct that violates, or that might appear to violate, the antitrust laws. Among other things, the antitrust laws forbid any agreement between or among competitors regarding prices, availability of service, product design, terms of sale, division of markets, allocation of customers or any other activity that unreasonably restrains competition. It is the responsibility of every NERC participant and employee who may in any way affect NERC s compliance with the antitrust laws to carry out this commitment. Antitrust laws are complex and subject to court interpretation that can vary over time and from one court to another. The purpose of these guidelines is to alert NERC participants and employees to potential antitrust problems and to set forth policies to be followed with respect to activities that may involve antitrust considerations. In some instances, the NERC policy contained in these guidelines is stricter than the applicable antitrust laws. Any NERC participant or employee who is uncertain about the legal ramifications of a particular course of conduct or who has doubts or concerns about whether NERC s antitrust compliance policy is implicated in any situation should consult NERC s General Counsel immediately. II. Prohibited Activities Participants in NERC activities (including those of its committees and subgroups) should refrain from the following when acting in their capacity as participants in NERC activities (e.g., at NERC meetings, conference calls and in informal discussions): Discussions involving pricing information, especially margin (profit) and internal cost information and participants expectations as to their future prices or internal costs. Discussions of a participant s marketing strategies. Discussions regarding how customers and geographical areas are to be divided among competitors. Discussions concerning the exclusion of competitors from markets. Discussions concerning boycotting or group refusals to deal with competitors, vendors or suppliers.

4 Any other matters that do not clearly fall within these guidelines should be reviewed with NERC s General Counsel before being discussed. III. Activities That Are Permitted From time to time decisions or actions of NERC (including those of its committees and subgroups) may have a negative impact on particular entities and thus in that sense adversely impact competition. Decisions and actions by NERC (including its committees and subgroups) should only be undertaken for the purpose of promoting and maintaining the reliability and adequacy of the bulk power system. If you do not have a legitimate purpose consistent with this objective for discussing a matter, please refrain from discussing the matter during NERC meetings and in other NERC-related communications. You should also ensure that NERC procedures, including those set forth in NERC s Certificate of Incorporation, Bylaws, and Rules of Procedure are followed in conducting NERC business. In addition, all discussions in NERC meetings and other NERC-related communications should be within the scope of the mandate for or assignment to the particular NERC committee or subgroup, as well as within the scope of the published agenda for the meeting. No decisions should be made nor any actions taken in NERC activities for the purpose of giving an industry participant or group of participants a competitive advantage over other participants. In particular, decisions with respect to setting, revising, or assessing compliance with NERC reliability standards should not be influenced by anti-competitive motivations. Subject to the foregoing restrictions, participants in NERC activities may discuss: Reliability matters relating to the bulk power system, including operation and planning matters such as establishing or revising reliability standards, special operating procedures, operating transfer capabilities, and plans for new facilities. Matters relating to the impact of reliability standards for the bulk power system on electricity markets, and the impact of electricity market operations on the reliability of the bulk power system. Proposed filings or other communications with state or federal regulatory authorities or other governmental entities. Matters relating to the internal governance, management and operation of NERC, such as nominations for vacant committee positions, budgeting and assessments, and employment matters; and procedural matters such as planning and scheduling meetings. NERC Antitrust Compliance Guidelines 2

5 Public Announcements REMINDER FOR USE AT BEGINNING OF MEETINGS AND CONFERENCE CALLS THAT HAVE BEEN PUBLICLY NOTICED AND ARE OPEN TO THE PUBLIC For face-to-face meeting, with dial-in capability: Participants are reminded that this meeting is public. Notice of the meeting was posted on the NERC website and widely distributed. The notice included the number for dial-in participation. Participants should keep in mind that the audience may include members of the press and representatives of various governmental authorities, in addition to the expected participation by industry stakeholders.

6 Agenda Item 2a Standards Committee December 6, 2017 Minutes Standards Committee Conference Call October 18, :00 to 4:00 p.m. Eastern B. Murphy, chair, called the meeting of the Standards Committee (SC or the Committee) to order on October 18, 2017, at 1:00 p.m. Eastern. After the roll call by C. Larson, secretary, meeting quorum was declared. The SC member attendance and proxy sheet is attached hereto as Attachment 1. NERC Antitrust Compliance Guidelines and Public Announcement Committee Secretary called attention to the NERC Antitrust Compliance Guidelines and the public meeting notice. He asked that any questions regarding the NERC Antitrust Compliance Guidelines be directed to NERC s General Counsel, Charles Berardesco. Introduction and Chair s Remarks B. Murphy welcomed the Committee and guests. H. Gugel announced S. Noess new role at NERC and that S. Cavote has left NERC. Review October 18, 2017 Agenda (agenda item 1) Approved by unanimous consent with agenda item #10 being struck. Consent Agenda (agenda item 2) Motion to adopt September 7, 2017 Standards Committee Meeting Minutes Approved by unanimous consent. Motion to endorse minor corrective changes to the Reliability Standards Development Plan (RSDP). Approved by unanimous consent. Upcoming Standards Projects or Issues (agenda item 3) S. Noess provided highlights of the Three-Month Outlook. There were no questions from members or observers. Projects Under Development (agenda item 4) C. Yeung reviewed the Project Tracking Spreadsheet. Based on the current project schedule, G. Zito raised a concern about the timing of some ballot and comment periods, including periodic reviews, and asked that Project Management and Oversight Subcommittee coordinate with the teams to ensure there was efficient posting of projects. S. Noess reviewed the (Projected Posting Schedule.

7 Standard Authorization Request for BAL (agenda item 5) S. Bodkin made a motion to accept the action item as written; R. Crissman seconded. R. Blohm asked a clarifying question about the Standard Authorization Request (SAR) and associated drafting team, which B. Murphy explained. The motion was as follows: Authorize: 1. The posting of BAL Standard Authorization Request (SAR), and assign the SAR to Project Modifications to BAL ; and 2. The SAR drafting team, nominated to address the NERC Resource Subcommittee SAR on BAL , to review comments received from this posting and develop one combined SAR that would be reviewed and authorized to be posted by the SC. The Committee approved the motion with no objections or abstentions. Project Modifications to BAL (agenda item 6) G. Zito made a motion to accept the action item as written; R. Crissman seconded. D. Kiguel recommended making it visually easier to compare the list of candidates versus nominees. B. Murphy committed to D. Kiguel to work with NERC staff to ensure uniform format on the presentation of candidates, consistent with past practices. B. Hampton stated that depending upon the content and proposed applicability of the combined SAR, the SC might consider augmenting the standard drafting team (SDT) with additional expertise associated with generation at a future date. The motion was as follows: Appoint Project BAL Standard Authorization Request drafting team, as recommended by NERC staff. The Committee approved the motion with no objections and R. Blohm abstaining. The following SAR drafting team members were appointed: David Lemmons, chair, Ethos Energy Group Rich Hydzik, vice chair, Avista Thomas V. Pruitt, Duke Energy Greg Park, Northwest Power Pool Danielle Croop, PJM Interconnection Terry Bilke, MISO Daniel Baker, Southwest Power Pool Minutes - Standards Committee Conference Call October 18,

8 Sandip Sharma, ERCOT Project Modifications to BAL (agenda item 7) S. Rueckert made a motion to accept the action item as written; B. Hampton seconded. The motion was as follows: Appoint Project BAL Standard Authorization Request (SAR) drafting team, as recommended by NERC staff. The Committee approved the motion with no objections and R. Blohm abstaining. The following SAR drafting team members were appointed: Jerry Rust, chair, Northwest Power Pool Glenn Stephens, vice chair, Santee Cooper Gerry Beckerle, Ameren Natika Mago, Electric Reliability Council of Texas Mark Prosperi-Porta, BC Hydro Lonnie L Lindekugel, Southwest Power Pool David Kimmel, PJM Interconnection Sean Erickson, WAPA Project Standards Alignment with Registration (agenda item 8) C. Gowder made a motion to accept the action item while adding Candidate #6 as vice chair and adding Candidate #7; S. Bodkin seconded. SC members discussed the involvement and precedent of having consultants as SDT members. B. Hampton suggested discussing this topic in more depth at the December SC Meeting. B. Murphy committed to work with NERC staff on the one-pager for the December SC meeting so that the SC could discuss the role of consultants in Standards development process. The motion was as follows: Appoint Project Standards Alignment with Registration Standard Authorization Request (SAR) drafting team, as recommended by NERC staff. The Committee approved the amended motion with L. Lee, R. Crissman, R. Blohm, D. Kiguel, and G. Zito objecting. The following SAR drafting team members were appointed: Stephen D. Wendling, chair, American Transmission Company Mark Atkins, vice chair, AESI Minutes - Standards Committee Conference Call October 18,

9 Betty J. Deans, CLECO Corporate Holdings LLC Janelle Marriott Gill, Tri-State Generation and Transmission Association, Inc. Shannon V. Mickens, Southwest Power Pool Leslie Williams, ERCOT Jill Loewer, Utility Services, Inc. Project Geomagnetic Disturbance Mitigation (agenda item 9) G. Zito made a motion to accept the action item as written; A. Gallo seconded. The motion was as follows: Determine that the proposed modifications to the Implementation Plan for Reliability Standard TPL do not constitute substantive revisions within the scope of Section 4.14 of the Standard Processes Manual (Appendix 3A of the NERC Rules of Procedure ( ROP )). The Committee approved the motion with no objections or abstentions. Project Modifications to PRC (agenda item 10) Per the consent agenda, this agenda item was struck. Quality Review Process (agenda item 11) S. Kim shared the Quality Review Process with the SC members. B. Murphy highlighted that industry can participate as Quality Review volunteers via the website. R. Crissman suggested soliciting for Quality Review volunteers at Regional Workshops and S. Bodkin suggested adding a similar note to the Standards Bulletin. Subcommittee Reports and Updates (agenda item 12) Project Management and Oversight Subcommittee C. Yeung provided an update of Project Management and Oversight Subcommittee activities. There were no comments or questions from the SC or observers. Process Subcommittee B. Li provided an update of Standards Committee Process Subcommittee work activities. R. Crissman noted the Standards Committee Process Subcommittee officer nominations will open soon. Legal Update (agenda item 15) S. Elstein provided the legal update regarding recent and upcoming standards filings. Minutes - Standards Committee Conference Call October 18,

10 Informational Items (agenda item 16) R. Crissman asked about a brief update regarding the Standards Efficiency Review. H. Gugel stated the team has been formed and had drafted an initial scope of work. B. Murphy committed to work with NERC staff to add the Standards Efficiency Review as a standing item at future SC meetings. Adjournment B. Murphy thanked the Committee members and observers, and adjourned the meeting at 2:18 p.m. Eastern. Minutes - Standards Committee Conference Call October 18,

11 Attachment 1 Segment and Term Representative Organization Proxy Present (Member or Proxy) Chair Brian Murphy Senior NextEra Energy, Inc. Yes Vice Chair Michelle D Antuono Occidental Energy Ventures, LLC Yes Segment Laura Lee Manager of ERO Support and Event Analysis, System Operations Duke Energy Yes Segment Sean Bodkin NERC Compliance Policy Manager Dominion Resources Services, Inc. Yes Segment Ben Li Consultant Independent Electric System Operator Yes Segment Charles Yeung Executive Director Interregional Affairs Southwest Power Pool Yes Segment VACANT Segment VACANT Segment Chris Gowder Regulatory Compliance Specialist Florida Municipal Power Agency Yes Segment Barry Lawson Associate National Rural Electric Cooperative Association Yes Director, Segment Randy Crissman New York Power Authority Yes Vice President Technical Segment Amy Casuscelli Sr. Reliability Standards Analyst Xcel Energy Yes Standards Committee Attendance October 18, 2017

12 Segment and Term Representative Organization Proxy Present (Member or Proxy) Segment Andrew Gallo Director, Reliability Compliance City of Austin dba Austin Energy Yes Segment Brenda Hampton Vistra Energy Regulatory Policy Luminant Energy Company LLC Yes Segment Frank McElvain Senior Manager, Consulting Siemens Power Technologies International No Segment VACANT Segment Robert Blohm Keen Resources Ltd. Managing Director Yes Segment David Kiguel Independent Yes Segment Alexander Vedvik Senior Electrical Engineer Public Service Commission of Wisconsin Yes Segment Michael Marchand Senior Policy Analyst Arkansas Public Service Commission Yes Segment Guy Zito Assistant Vice President of Standards Northeast Power Coordinating Council Yes Segment Steven Rueckert Director of Standards Western Electricity Coordinating Council Yes Standards Committee Attendance October 18, 2017

13 Standard Committee Executive Committee Elections Agenda Item 2b Standards Committee December 6, 2017 Action Approve the following approach to elect the three at large Standards Committee Executive Committee (SCEC) members: The secretary of the Standards Committee (SC) shall request, via , no later than December 12, 2017, that any member of the 2017 SC who is interested in running for one of the three 2018 at large SCEC seats contact the SC secretary no later than January 4, 2018 and provide a brief, written statement on his or her interest in serving on the SCEC. The SC secretary shall provide the SC with the list of nominees and their statements by January 5, The SCEC at large election, including any run offs, will be conducted in the following manner: At the start of the January 17, 2018 SC conference call, the SC secretary will request that SC members vote within the first hour of the call via or other specified electronic means. If a run off election is needed, the SC secretary will notify the SC during the call and request that SC members provide their votes via or other specified electronic means. Results, including vote totals, will be announced before the meeting is adjourned and included in the SC meeting minutes. Each SC member may cast a vote for up to three of the SCEC nominees. The three nominees with the highest number of votes and a simple majority of the SC members votes will be elected as at large members of the SCEC. The SC chair and vice chair have the right to vote in the election. If necessary, run off elections will be conducted until three nominees have each received a simple majority vote of SC members. Background Pursuant to Section 7 of the SC Charter, the Committee shall have an Executive Committee that consists of five members, including the Committee officers and three at large members, elected by the SC. The three at large members cannot represent the same industry segments that the Committee officers previously represented, nor can two of the at-large members be from the same segment. The Executive Committee will be elected annually at the January SC meeting. The SC used the above process for the 2017 SCEC elections.

14 2017 Standards Committee Accomplishments Agenda Item 2c Standards Committee December 6, 2017 Action Endorse the following Standards Committee Executive Committee (SCEC) determination on the Standards Committee (SC) 2017 accomplishments: Implementation of Periodic Review? (task 1) Yes Standards Grading for 2017? (task 2) Yes Draft policy on Guidelines and Technical Basis? (task 3) Yes Standards Committee Process Subcommittee completion of all on-going tasks? (task 4) No, tasks to continue in 2018 Conduct a review of Strategic Work Plan? (task 5) Yes, as of Dec 6, 2017 SCEC evaluate the need for additional reforms or enhancements to the SC Charter? (task 5) Yes Background The Standards Committee Strategic Plan required that the SC develop metrics and a self-evaluation process to assess its annual accomplishments. The Action Item requires the SCEC to review each of the annual required tasks and provide the results of whether the SC accomplished each of the required tasks at the December 2017 meeting. Consistent with the review of the Strategic Plan at the end of 2016, the SCEC used a binary selfevaluation process to assess the SC 2017 accomplishments and present for SC endorsement in its December 2017 meeting, the results. The SCEC agreed on the above evaluations.

15 Agenda Item 3a Standards Committee December 6, 2017 Three-Month Outlook Brian Murphy, SC Chair, NextEra Energy Resources, LLC Howard Gugel, Senior Director of Standards and Education, NERC Standards Committee November 27, 2017

16 Authorize Nomination Solicitations December None January None February None 2 RELIABILITY ACCOUNTABILITY

17 Authorize Team Appointments December Project Modifications to Personnel Performance, Training, and Qualifications Standards (PER-003, PER-004) January None February None 3 RELIABILITY ACCOUNTABILITY

18 Accept/Authorize SAR Postings December Project Modifications to Personnel Performance, Training, and Qualifications Standards (PER-003, PER-004) January None February Project Modifications to BAL RELIABILITY ACCOUNTABILITY

19 Authorize Initial Postings December None January Project Modifications to Personnel Performance, Training, and Qualifications Standards (PER-003, PER-004) Project Periodic Review of Interchange Scheduling and Coordination Standards (INT-004, INT-006, INT-009, INT-010) February None 5 RELIABILITY ACCOUNTABILITY

20 FERC Orders and NOPRs October Letter Order approving revisions to VRFs for BAL Letter Order approving regional Reliability Standard BAL-502-RF-03 Letter Order approving regional Reliability Standard PRC-006-SERC-02 Order No. 830 on Geomagnetic Disturbance Research Work Plan NOPR to approve Reliability Standard CIP November NOPR to approve Reliability Standards PRC and PER RELIABILITY ACCOUNTABILITY

21 Standards Efficiency Review Standards Efficiency Review (SER) Advisory Group of industry leaders met multiple times to create a scope and approach document Nominations for three SER Working Teams open until November 30, cross-section of skills and backgrounds Working Teams will be finalized shortly to begin work on identifying recommendations for retirement or modification 7 RELIABILITY ACCOUNTABILITY

22 8 RELIABILITY ACCOUNTABILITY

23 Agenda Item 5 Standards Committee December 6, 2017 Project Modifications to Personnel Performance, Training, and Qualifications Standards Action Accept the PER and PER Standard Authorization Request (SAR) for final posting. Appoint the Project SAR drafting team (SAR DT) as the standard drafting team for the standard development process. Background In September 2016 the Project 2016-EPR-01 PER Enhanced PRT began their review of the Personnel Performance, Training, and Qualifications (PER) standards. The project reviewed Reliability Standards PER , PER 003-1, and PER As part of its review, the PRT referenced the following background documents: 1) the currently-enforceable PER , PER-003-1, and PER standards; 2) outstanding issues and directives pertaining to the aforementioned standards; 3) the Independent Experts Report; and 4) Paragraph 81 criteria. On June 21, 2017, the SAR DT posted their SAR addressing the aforementioned standards. The SAR DT did not review standard PER as it was approved to be retired through a different project. The SAR DT reviewed the comments received from the posting and decided to not make any modifications to the SAR. The industry significantly supported the SAR.

24 Agenda Item 5(i) Standards Committee December 6, 2017 Standard Authorization Request Form When completed, please this form to: NERC welcomes suggestions to improve the reliability of the bulk power system through improved Reliability Standards. Please use this form to submit your request to propose a new or a revision to a NERC Reliability Standard. Request to propose a new or a revision to a Reliability Standard Title of Proposed Standard: PER Operating Personnel Credentials and PER Reliability Coordination Staffing Date Submitted: March 20, 2017 SAR Requester Information Name: Organization: Patti Metro Chair - Project 2016-EPR-01 PER Telephone: (703) patti.metro@nreca.coop SAR Type (Check as many as applicable) New Standard Revision to Existing Standard Withdrawal of Existing Standard Urgent Action SAR Information Industry Need (What is the industry problem this request is trying to solve?): Need to add clarity to PER that explains that the NERC certifications identified in this standard are described in the NERC System Operator Certification Program. The requirements of PER are duplicative with requirements in several other standards that explain in detail the staffing requirements of personnel conducting the Reliability Coordinator function.

25 SAR Information Purpose or Goal (How does this request propose to address the problem described above?): The Project 2016-EPR-01 PER Team recommends that a clarifying footnote be added to PER to ensure that stakeholders (now and in the future) understand (i) the connection between the Standard and the Program Manual; and (ii) that the certifications referenced under PER are those under the NERC System Operator Certification Program. The Project 2016-EPR-01 PER Team recommends that PER be retired. Identify the Objectives of the proposed standard s requirements (What specific reliability deliverables are required to achieve the goal?): N/A Brief Description (Provide a paragraph that describes the scope of this standard action.) The Project 2016-EPR-01 PER team recommends that a clarifying footnote be added to PER Requirement R1, R2 and R3 to ensure that stakeholders (now and in the future) understand (i) the connection between the Standard and the Program Manual; and (ii) that the certifications referenced under PER are those under the NERC System Operator Certification Program. The PER standard falls within Paragraph 81 Criterion B7, because all of its requirements are redundant with requirements in other FERC-approved reliability standards that are in effect or soon to be effective. It is not necessary or efficient to maintain such duplicative requirements. Specifically, PER s requirements are duplicated in standards: PER-003-1, R1 PER-005-2, R2 and R3 IRO-002-4, R3 and R4 EOP-004-2, R2 IRO-008-2, R1, R2, and R4 IRO-009-2, R1 R4 IRO-010-2, R1 R3 IRO-014-3, generally IRO-018-1, R1-R3 Standard Authorization Request Form 2

26 SAR Information Detailed Description (Provide a description of the proposed project with sufficient details for the standard drafting team to execute the SAR. Also provide a justification for the development or revision of the standard, including an assessment of the reliability and market interface impacts of implementing or not implementing the standard action.) The Project 2016-EPR-01 PER Team recommends that a clarifying footnote be added to PER Requirements R1, R2 and R3 to ensure that stakeholders (now and in the future) understand the connection between the Standard and the Program Manual. The PRT suggests for consideration the following language be used for the footnote The certifications referenced under PER are those under the NERC System Operator Certification Program. Concerning PER-004-2, the standards is duplicative and all requirements are covered in other reliability standards. Specifically, PER R1 states that each Reliability Coordinator shall staff its Real-time operating positions with System Operators who have obtained and maintained a valid NERC Reliability Operator certificate. PER R1 states that each Reliability Coordinator shall design, develop, and deliver training to its System Operators based on a list of Bulk Electric System (BES) company specific Real-time reliability-related tasks. Additionally, PER R3 states that Reliability Coordinators have to verify that their personnel are capable of performing each of those tasks. Moreover, in PER R1, 24 hours per day, and seven days a week requirements are addressed by several NERC Reliability Standards and Requirements. These requirements cannot be accomplished without an entity having a 24/7 operation. IRO R4 (enforceable 4/1/2017) requires that, Each Reliability Coordinator shall have monitoring systems that provide information utilized by the Reliability Coordinator s operating personnel In addition, IRO R3 states that, Each Reliability Coordinator shall monitor Facilities, the status of Special Protection Systems, and non-bes facilities identified as necessary by the Reliability Coordinator, within its Reliability Coordinator Area and neighboring Reliability Coordinator Areas to identify any System Operating Limit exceedances and to determine any Interconnection Reliability Operating Limit exceedances within its Reliability Coordination Area. EOP covers continuous observation through its reporting timeframes to meet OE-417 for Loss of Monitoring. Additional coverage is ensured through IRO R2, Each Reliability Coordinator shall have a coordinated Operating Plan(s) for next-day operations to address (SOL) and (IROL) exceedances and R4 states, Each Reliability Coordinator shall ensure that a Real-time Assessment is performed at least once every 30 minutes. Reinforcing the structure of the 24 hours per day, and seven days per week requirement is carried out by IRO R1, requiring that Reliability Coordinator s maintain documented specifications for the data to perform Operational Planning analyses, Real-time monitoring, and Real-time Assessments. Real-time is defined as, Present time as opposed to future times, while Real-time Assessment is defined as An examination of existing and expected system Standard Authorization Request Form 3

27 SAR Information conditions, conducted by collecting and reviewing immediately available data. Using these definitions in the Reliability Standards further confirms that PER Requirement 1 is duplicative and nonessential as its content is covered in multiple Reliability Standards. PER Requirement R2 is duplicated in numerous Reliability Standards justifying the need for retirement of this requirement. As described below, the Standards and requirements of IRO-002-4, IRO , IRO-009-2, IRO-010-2, IRO-014-3, and IRO adequately ensure that protocols are in place to allow the Reliability Coordinator operating personnel to have the best available information at all times. IRO-002-4, R3 states that the Reliability Coordinator shall monitor Facilities and work with neighboring Reliability Coordinator areas to identify SOL and IROL exceedances within its area. In order to ensure compliance with this Standard and Requirement, particular attention must be placed on SOLs, IROLs, and inter-tie facility limits. IRO ensures that the Reliability Coordinator performs analyses and assessments to prevent instability, uncontrolled separation, or cascading. R1, R2, and R4 of this Standard specifically require that an Operational Planning Analysis is performed to: assess whether the planned operations for the next-day will exceed SOLs and IROLs within its Wide Area, ensure that coordinated plans are developed for the next-day operations to address these exceedances, and execute Real-time Assessments at least once every 30 minutes. To maintain compliance with the IRO Standard, the Reliability Coordinator must place particular attention on SOLs and IROLs. IRO builds on IRO by ensuring prompt action to prevent or mitigate instances where IROLs are exceeded. Through the Requirements of this Standard, assurances are made that the Reliability Coordinator has one or more Operating Processes, Procedures, or Plans that identify actions to take, or actions to direct others to take, to mitigate the magnitude and duration of an IROL exceedance identified in their Assessments. IRO provides data specifications that affords the Reliability Coordinator the specific data necessary to perform its Operational Planning Analyses, Real-time monitoring, Real-time Assessments Standard Authorization Request Form 4

28 SAR Information and ensures that a protocol exists to resolve any data conflicts. This Standard ensures that the Reliability Coordinator has the best available information at all times to maintain compliance. IRO ensures that each Reliability Coordinator s operations are coordinated so that they will not adversely impact other Reliability Coordinator Areas and preserve the reliability benefits of interconnected operations. This Standard again builds on the coordination of the Operational Analyses and Real-time Assessments which requires the Reliability Coordinator to have the best available information at all times to maintain compliance. IRO established three requirements for Real-time monitoring and analysis capabilities to support reliable operations. Real-time monitoring involves observing operating status and operating values in Real-time to ensure awareness of system conditions. Through this Standard, processes and procedures are established for evaluating the quality of Real-time data and to provide assurance that any action taken addresses any data quality issues so that Real-time monitoring and Real-time Assessments performed by the Reliability Coordinator contains the best available information at all times. Reliability Functions The Standard will Apply to the Following Functions (Check each one that applies.) Reliability Coordinator Balancing Authority Interchange Authority Planning Coordinator Resource Planner Responsible for the real-time operating reliability of its Reliability Coordinator Area in coordination with its neighboring Reliability Coordinator s wide area view. Integrates resource plans ahead of time, and maintains loadinterchange-resource balance within a Balancing Authority Area and supports Interconnection frequency in real time. Ensures communication of interchange transactions for reliability evaluation purposes and coordinates implementation of valid and balanced interchange schedules between Balancing Authority Areas. Assesses the longer-term reliability of its Planning Coordinator Area. Develops a one year plan for the resource adequacy of its specific loads within a Planning Coordinator area. Standard Authorization Request Form 5

29 Reliability Functions Transmission Planner Transmission Service Provider Transmission Owner Transmission Operator Distribution Provider Generator Owner Generator Operator Purchasing-Selling Entity Market Operator Load-Serving Entity Develops a one year plan for the reliability of the interconnected Bulk Electric System within its portion of the Planning Coordinator area. Administers the transmission tariff and provides transmission services under applicable transmission service agreements (e.g., the pro forma tariff). Owns and maintains transmission facilities. Ensures the real-time operating reliability of the transmission assets within a Transmission Operator Area. Delivers electrical energy to the end-use customer. Owns and maintains generation facilities. Operates generation unit(s) to provide real and reactive power. Purchases or sells energy, capacity, and necessary reliability-related services as required. Interface point for reliability functions with commercial functions. Secures energy and transmission service (and reliability-related services) to serve the end-use customer. Reliability and Market Interface Principles Applicable Reliability Principles (Check all that apply). 1. Interconnected bulk power systems shall be planned and operated in a coordinated manner to perform reliably under normal and abnormal conditions as defined in the NERC Standards. 2. The frequency and voltage of interconnected bulk power systems shall be controlled within defined limits through the balancing of real and reactive power supply and demand. 3. Information necessary for the planning and operation of interconnected bulk power systems shall be made available to those entities responsible for planning and operating the systems reliably. 4. Plans for emergency operation and system restoration of interconnected bulk power systems shall be developed, coordinated, maintained and implemented. 5. Facilities for communication, monitoring and control shall be provided, used and maintained for the reliability of interconnected bulk power systems. Standard Authorization Request Form 6

30 Reliability and Market Interface Principles 6. Personnel responsible for planning and operating interconnected bulk power systems shall be trained, qualified, and have the responsibility and authority to implement actions. 7. The security of the interconnected bulk power systems shall be assessed, monitored and maintained on a wide area basis. 8. Bulk power systems shall be protected from malicious physical or cyber attacks. Does the proposed Standard comply with all of the following Market Interface Principles? 1. A reliability standard shall not give any market participant an unfair competitive advantage. 2. A reliability standard shall neither mandate nor prohibit any specific market structure. 3. A reliability standard shall not preclude market solutions to achieving compliance with that standard. 4. A reliability standard shall not require the public disclosure of commercially sensitive information. All market participants shall have equal opportunity to access commercially non-sensitive information that is required for compliance with reliability standards. Enter (yes/no) YES YES YES YES Related Standards Standard No. Explanation Related SARs SAR ID Explanation N/A Standard Authorization Request Form 7

31 Related SARs Regional Variances Region Explanation ERCOT FRCC MRO NPCC RFC SERC SPP WECC N/A N/A N/A N/A N/A N/A N/A N/A Version History Version Date Owner Change Tracking 1 June 3, 2013 Revised 1 August 29, 2014 Standards Information Staff Updated template Standard Authorization Request Form 8

32 Standard Authorization Request Form 9

33 PER Operating Personnel Credentials Agenda Item 5(ii) Standards Committee December 6, 2017 Standard Development Timeline This section is maintained by the drafting team during the development of the standard and will be removed when the standard is adopted by the NERC Board of Trustees (Board). Description of Current Draft This is the first posting of the revised draft standard. Completed Actions Standards Committee approved Standard Authorization Request (SAR) for posting June 2017 Date SAR posted for comment June 21, 2017 through July 24, 2017 Anticipated Actions Date 45-day formal comment period with ballot December 2017 January day final ballot February 2017 Board adoption May 2017 Draft PER December 2017 Page 1 of 8

34 PER Operating Personnel Credentials A. Introduction 1. Title: Operating Personnel Credentials 2. Number: PER Purpose: To ensure that System Operators performing the reliability-related tasks of the Reliability Coordinator, Balancing Authority and Transmission Operator are certified through the NERC System Operator Certification Program when filling a Realtime operating position responsible for control of the Bulk Electric System. 4. Applicability: 4.1. Functional Entities: Reliability Coordinator Transmission Operator Balancing Authority 5. Effective Date: See Implementation Plan for standard PER B. Requirements and Measures R1. Each Reliability Coordinator shall staff its Real-time operating positions performing Reliability Coordinator reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining a valid NERC Reliability Operator certificate (1)(2) : [Risk Factor: High][Time Horizon: Real-time Operations] 1.1. Areas of Competency Resource and demand balancing Transmission operations Emergency preparedness and operations System operations Protection and control Voltage and reactive 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER December 2017 Page 2 of 8

35 PER Operating Personnel Credentials Interchange scheduling and coordination Interconnection reliability operations and coordination M1. Each Reliability Coordinator shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: M1.1 A list of Real-time operating positions. M1.2 A list of System Operators assigned to its Real-time operating positions. M1.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M1.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. R2. Each Transmission Operator shall staff its Real-time operating positions performing Transmission Operator reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining one of the following valid NERC certificates (1)(2) : [Risk Factor: High][Time Horizon: Real-time Operations]: 2.1. Areas of Competency 2.2. Certificates Transmission operations Emergency preparedness and operations System operations Protection and control Voltage and reactive Reliability Operator Balancing, Interchange and Transmission Operator Transmission Operator 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER December 2017 Page 3 of 8

36 PER Operating Personnel Credentials M2. Each Transmission Operator shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: M2.1 A list of Real-time operating positions. M2.2 A list of System Operators assigned to its Real-time operating positions. M2.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M2.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. R3. Each Balancing Authority shall staff its Real-time operating positions performing Balancing Authority reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining one of the following valid NERC certificates (1)(2) : [Risk Factor: High][Time Horizon: Real-time Operations]: 3.1. Areas of Competency 3.2. Certificates Resources and demand balancing Emergency preparedness and operations System operations Interchange scheduling and coordination Reliability Operator Balancing, Interchange and Transmission Operator Balancing and Interchange Operator M3. Each Balancing Authority shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER December 2017 Page 4 of 8

37 PER Operating Personnel Credentials M3.1 A list of Real-time operating positions. M3.2 A list of System Operators assigned to its Real-time operating positions. M3.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M3.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. C. Compliance 1. Compliance Monitoring Process 1.1. Compliance Enforcement Authority: Compliance Enforcement Authority means NERC or the Regional Entity, or any entity as otherwise designated by an Applicable Governmental Authority, in their respective roles of monitoring and/or enforcing compliance with mandatory and enforceable Reliability Standards in their respective jurisdictions Evidence Retention: The following evidence retention period(s) identify the period of time an entity is required to retain specific evidence to demonstrate compliance. For instances where the evidence retention period specified below is shorter than the time since the last audit, the Compliance Enforcement Authority may ask an entity to provide other evidence to show that it was compliant for the full-time period since the last audit. The applicable entity shall keep data or evidence to show compliance as identified below unless directed by its Compliance Enforcement Authority to retain specific evidence for a longer period of time as part of an investigation. Each Reliability Coordinator, Transmission Operator and Balancing Authority shall keep data or evidence for three years or since its last compliance audit, whichever time frame is the greatest Compliance Monitoring and Enforcement Program As defined in the NERC Rules of Procedure, Compliance Monitoring and Enforcement Program refers to the identification of the processes that will be used to evaluate data or information for the purpose of assessing performance or outcomes with the associated Reliability Standard. Draft PER December 2017 Page 5 of 8

38 PER Operating Personnel Credentials Violation Severity Levels R # Violation Severity Levels Lower VSL Moderate VSL High VSL Severe VSL R1. N/A N/A N/A R2. N/A N/A N/A R3. N/A N/A N/A The Reliability Coordinator failed to staff each Real-time operating position performing Reliability Coordinator reliability-related tasks with a System Operator having a valid NERC certificate as defined in Requirement R1. The Transmission Operator failed to staff each Real-time operating position performing Transmission Operator reliability-related tasks with a System Operator having a valid NERC certificate as defined in Requirement R2, Part 2.2. The Balancing Authority failed to staff each Real-time operating position performing Balancing Authority reliabilityrelated tasks with a System Operator having a valid NERC certificate as defined in Requirement R3, Part 3.2. D. Regional Variances None. Draft PER December 2017 Page 6 of 8

39 PER Operating Personnel Credentials E. Associated Documents Implementation Plan Add link Draft PER December 2017 Page 7 of 8

40 PER Operating Personnel Credentials Version History Version Date Action Change Tracking 0 April 1, 2005 Effective Date New 1 February 17, February 17, 2011 Complete revision under Project Adopted by Board of Trustees Revision 1 September 15, 2011 FERC Order issued by FERC approving PER (effective date of the Order is September 15, 2011) 2 TBD Added footnote to requirements Revision 2 TBD Adopted by Board of Trustees Draft PER December 2017 Page 8 of 8

41 PER Operating Personnel Credentials Agenda Item 5(iii) Standards Committee December 6, 2017 Standard Development Timeline This section is maintained by the drafting team during the development of the standard and will be removed when the standard is adopted by the NERC Board of Trustees (Board). Description of Current Draft This is the first posting of the revised draft standard. Completed Actions Standards Committee approved Standard Authorization Request (SAR) for posting June 2017 Date SAR posted for comment June 21, 2017 through July 24, 2017 Anticipated Actions Date 45-day formal comment period with ballot December 2017 January day final ballot February 2017 Board adoption May 2017 Draft PER DecemberNovember 2017 Page 1 of 8

42 PER Operating Personnel Credentials A. Introduction 1. Title: Operating Personnel Credentials 2. Number: PER Purpose: To ensure that System Operators performing the reliability-related tasks of the Reliability Coordinator, Balancing Authority and Transmission Operator are certified through the NERC System Operator Certification Program when filling a Realtime operating position responsible for control of the Bulk Electric System. 4. Applicability: 4.1. Functional Entities: Reliability Coordinator Transmission Operator Balancing Authority 5. Effective Date: See Implementation Plan for standard PER In those jurisdictions where regulatory approval is required, this standard shall become effective the first calendar day of the first calendar quarter twelve months after applicable regulatory approval. In those jurisdictions where no regulatory approval is required, this standard shall become effective the first calendar day of the first calendar quarter twelve months after Board of Trustees adoption. B. Requirements and Measures R1. Each Reliability Coordinator shall staff its Real-time operating positions performing Reliability Coordinator reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining a valid NERC Reliability Operator certificate (1)(2 ) : [Risk Factor: High][Time Horizon: Real-time Operations] 1.1. Areas of Competency Resource and demand balancing Transmission operations Emergency preparedness and operations 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER DecemberNovember 2017 Page 2 of 8

43 PER Operating Personnel Credentials System operations Protection and control Voltage and reactive Interchange scheduling and coordination Interconnection reliability operations and coordination M1. Each Reliability Coordinator shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: M1.1 A list of Real-time operating positions. M1.2 A list of System Operators assigned to its Real-time operating positions. M1.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M1.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. R2. Each Transmission Operator shall staff its Real-time operating positions performing Transmission Operator reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining one of the following valid NERC certificates (1)(2) : [Risk Factor: High][Time Horizon: Real-time Operations]: 2.1. Areas of Competency 2.2. Certificates Transmission operations Emergency preparedness and operations System operations Protection and control Voltage and reactive 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER DecemberNovember 2017 Page 3 of 8

44 PER Operating Personnel Credentials Reliability Operator Balancing, Interchange and Transmission Operator Transmission Operator M2. Each Transmission Operator shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: M2.1 A list of Real-time operating positions. M2.2 A list of System Operators assigned to its Real-time operating positions. M2.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M2.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. R3. Each Balancing Authority shall staff its Real-time operating positions performing Balancing Authority reliability-related tasks with System Operators who have demonstrated minimum competency in the areas listed by obtaining and maintaining one of the following valid NERC certificates (1)(2) : [Risk Factor: High][Time Horizon: Real-time Operations]: 3.1. Areas of Competency 3.2. Certificates Resources and demand balancing Emergency preparedness and operations System operations Interchange scheduling and coordination Reliability Operator Balancing, Interchange and Transmission Operator Balancing and Interchange Operator 1 Non-NERC certified personnel performing any reliability-related task of a real-time operating position must be under the direct supervision of a NERC Certified System Operator stationed at that operating position; the NERC Certified System Operator at that operating position has ultimate responsibility for the performance of the reliability-related tasks. 2 The NERC certificates referenced in this standard pertain to those certificates identified in the NERC System Operator Certification Program Manual. Draft PER DecemberNovember 2017 Page 4 of 8

45 PER Operating Personnel Credentials M3. Each Balancing Authority shall have the following evidence to show that it staffed its Real-time operating positions performing reliability-related tasks with System Operators who have demonstrated the applicable minimum competency by obtaining and maintaining the appropriate, valid NERC certificate: M3.1 A list of Real-time operating positions. M3.2 A list of System Operators assigned to its Real-time operating positions. M3.3 A copy of each of its System Operator s NERC certificate or NERC certificate number with expiration date which demonstrates compliance with the applicable Areas of Competency. M3.4 Work schedules, work logs, or other equivalent evidence showing which System Operators were assigned to work in Real-time operating positions. C. Compliance 1. Compliance Monitoring Process 1.1. Compliance Enforcement Authority: Compliance Enforcement Authority means NERC or the Regional Entity, or any entity as otherwise designated by an Applicable Governmental Authority, in their respective roles of monitoring and/or enforcing compliance with mandatory and enforceable Reliability Standards in their respective jurisdictions Evidence Retention: The following evidence retention period(s) identify the period of time an entity is required to retain specific evidence to demonstrate compliance. For instances where the evidence retention period specified below is shorter than the time since the last audit, the Compliance Enforcement Authority may ask an entity to provide other evidence to show that it was compliant for the full-time period since the last audit. The applicable entity shall keep data or evidence to show compliance as identified below unless directed by its Compliance Enforcement Authority to retain specific evidence for a longer period of time as part of an investigation. Each Reliability Coordinator, Transmission Operator and Balancing Authority shall keep data or evidence for three years or since its last compliance audit, whichever time frame is the greatest Compliance Monitoring and Enforcement Program As defined in the NERC Rules of Procedure, Compliance Monitoring and Enforcement Program refers to the identification of the processes that will be used to evaluate data or information for the purpose of assessing performance or outcomes with the associated Reliability Standard. Draft PER DecemberNovember 2017 Page 5 of 8

46 PER Operating Personnel Credentials Violation Severity Levels R # Violation Severity Levels Lower VSL Moderate VSL High VSL Severe VSL R1. N/A N/A N/A R2. N/A N/A N/A R3. N/A N/A N/A The Reliability Coordinator failed to staff each Real-time operating position performing Reliability Coordinator reliability-related tasks with a System Operator having a valid NERC certificate as defined in Requirement R1. The Transmission Operator failed to staff each Real-time operating position performing Transmission Operator reliability-related tasks with a System Operator having a valid NERC certificate as defined in Requirement R2, Part 2.2. The Balancing Authority failed to staff each Real-time operating position performing Balancing Authority reliabilityrelated tasks with a System Operator having a valid NERC certificate as defined in Requirement R3, Part 3.2. D. Regional Variances None. Draft PER DecemberNovember 2017 Page 6 of 8

47 PER Operating Personnel Credentials E. Associated Documents Implementation Plan Add link Draft PER DecemberNovember 2017 Page 7 of 8

48 PER Operating Personnel Credentials Version History Version Date Action Change Tracking 0 April 1, 2005 Effective Date New 1 February 17, February 17, 2011 Complete revision under Project Adopted by Board of Trustees Revision 1 September 15, 2011 FERC Order issued by FERC approving PER (effective date of the Order is September 15, 2011) 2 TBD Added footnote to requirements Revision 2 TBD Adopted by Board of Trustees Draft PER DecemberNovember 2017 Page 8 of 8

49 Agenda Item 5(iv) Standards Committee December 6, 2017 Implementation Plan Project Operating Personnel Credentials Requested Approvals PER Operating Personnel Credentials Requested Retirements PER Operating Personnel Credentials PER Reliability Coordination - Staffing Applicable Entities Reliability Coordinator Transmission Operator Balancing Authority Effective Date The effective date for proposed Reliability Standard PER is provided below: Where approval by an applicable governmental authority is required, Reliability Standard PER shall become effective the first day of the first calendar quarter that is six (6) calendar months after the effective date of the applicable governmental authority s order approving the standards and terms, or as otherwise provided for by the applicable governmental authority. Where approval by an applicable governmental authority is not required, Reliability Standard PER shall become effective on the first day of the first calendar quarter that is six (6) calendar months after the date the standards and terms are adopted by the NERC Board of Trustees, or as otherwise provided for in that jurisdiction. Retirement Date Current NERC Reliability Standards The existing standards PER and PER shall be retired immediately prior to the effective date of the proposed PER standard.

50 Agenda Item 6 Standards Committee December 6, 2017 Consultants on Standard Drafting Teams Action Endorse approach for the Standards Committee Executive Committee (SCEC) to work with NERC staff to develop guidelines on the appointment of consultants to Standard Authorization Request and standard drafting teams, and provide the guidelines for Standards Committee endorsement at the March 2018 Standards Committee meeting. Background Standards Committee members have requested to discuss and develop guidance on the appointment of consultants to Standard Authorization Request and standard drafting teams.

51 Standards Committee Strategic Work Plan Agenda Item 7 Standards Committee December 6, 2017 Action Approve the Standards Committee (SC) Strategic Work Plan. Background The draft SC Strategic Work Plan was provided for comment to the SC and NERC staff from November 15 to November 24, Based on the comments submitted, a draft plan is attached. Once approved, the plan will be presented to the NERC Board of Trustees for endorsement.

52 Agenda Item 7(i) Standards Committee December 6, Standards Committee Strategic Work Plan Introduction The Standards Committee (SC) Strategic Work Plan (Plan) focuses Reliability Standards development activities on: (1) addressing Federal Energy Regulatory Commission (FERC) directives; (2) continuing Periodic Reviews (PRs); and (3) addressing emerging risks using input from the Reliability Issues Steering Committee (RISC). The SC will continue: (i) providing oversight for Reliability Standards grading activities evaluating Reliability Standards for quality and content; and (ii) prioritizing Reliability Standards development activities. Emerging Risks Through input by a NERC technical committee, the RISC, or a governmental authority (such as FERC), the SC develops new or revised Reliability Standards, as appropriate. Vision, Mission and Guiding Principles Vision A comprehensive body of Reliability Standards collectively helping achieve an adequate level of reliability and promote reliable operation of the North American bulk power system. Mission For the SC to effectively manage and oversee development of a comprehensive set of Reliability Standards aligned with NERC s strategic goals through open and inclusive processes and procedures. Guiding Principles Consistent with the Reliability Standards Development Plan (RSDP), this Plan recognizes the transition of a Reliability Standard development process addressing a small number of FERC directives, PRs, and emerging risks. The details of the goals and objectives for appear in the RSDP. SC continues to promote and implement a collaborative working environment with other NERC Standing Committees, NERC Standards staff, stakeholders, and standard drafting teams. SC continues to execute the Reliability Standards development process for effective and efficient use of NERC and industry resources. SC continues to promote and take a leadership role on consensus-building activities.