83_FR_23954 83 FR 23854 - Geomagnetic Disturbance Reliability Standard

83 FR 23854 - Geomagnetic Disturbance Reliability Standard

DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission

Federal Register Volume 83, Issue 100 (May 23, 2018)

Page Range23854-23864
FR Document2018-11001

The Federal Energy Regulatory Commission (Commission) proposes to approve Reliability Standard TPL-007-2 (Transmission System Planned Performance for Geomagnetic Disturbance Events). The North American Electric Reliability Corporation (NERC), the Commission-certified Electric Reliability Organization, submitted proposed Reliability Standard TPL-007-2 for Commission approval. Geomagnetic disturbance events (GMDs) occur when the sun ejects charged particles that interact with and cause changes in the earth's magnetic fields. Proposed Reliability Standard TPL-007-2 modifies currently-effective Reliability Standard TPL-007-1 by requiring applicable entities to: Conduct supplemental GMD vulnerability assessments and thermal impact assessments; obtain geomagnetically induced current and magnetometer data; and meet certain deadlines for the development and completion of tasks in corrective action plans. In addition, the Commission proposes to direct NERC to develop and submit modifications to the Reliability Standard to require applicable entities to develop and implement corrective action plans to mitigate supplemental GMD event vulnerabilities.

Federal Register, Volume 83 Issue 100 (Wednesday, May 23, 2018)
[Federal Register Volume 83, Number 100 (Wednesday, May 23, 2018)]
[Proposed Rules]
[Pages 23854-23864]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-11001]


-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Part 40

[Docket No. RM18-8-000]


Geomagnetic Disturbance Reliability Standard

AGENCY: Federal Energy Regulatory Commission, Department of Energy.

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: The Federal Energy Regulatory Commission (Commission) proposes 
to approve Reliability Standard TPL-007-2 (Transmission System Planned 
Performance for Geomagnetic Disturbance Events). The North American 
Electric Reliability Corporation (NERC), the Commission-certified 
Electric Reliability Organization, submitted proposed Reliability 
Standard TPL-007-2 for Commission approval. Geomagnetic disturbance 
events (GMDs) occur when the sun ejects charged particles that interact 
with and cause changes in the earth's magnetic fields. Proposed 
Reliability Standard TPL-007-2 modifies currently-effective Reliability 
Standard TPL-007-1 by requiring applicable entities to: Conduct 
supplemental GMD vulnerability assessments and thermal impact 
assessments; obtain geomagnetically induced current and magnetometer 
data; and meet certain deadlines for the development and completion of 
tasks in corrective action plans. In addition, the Commission proposes 
to direct NERC to develop and submit modifications to the Reliability 
Standard to require applicable entities to develop and implement 
corrective action plans to mitigate supplemental GMD event 
vulnerabilities.

DATES:  Comments are due July 23, 2018.

ADDRESSES: Comments, identified by docket number, may be filed 
electronically at http://www.ferc.gov in acceptable native applications 
and print-to-PDF, but not in scanned or picture format. For those 
unable to file electronically, comments may be filed by mail or hand-
delivery to: Federal Energy Regulatory Commission, Secretary of the 
Commission, 888 First Street NE, Washington, DC 20426. The Comment 
Procedures Section of this document contains more detailed filing 
procedures.

FOR FURTHER INFORMATION CONTACT: 
Justin Kelly (Technical Information), Office of Electric Reliability, 
Federal Energy Regulatory Commission, 888 First Street NE, Washington, 
DC 20426, Telephone: (301) 665-1394, Justin.Kelly@ferc.gov.
Matthew Vlissides (Legal Information), Office of the General Counsel, 
Federal Energy Regulatory Commission, 888 First Street NE, Washington, 
DC 20426, Telephone: (202) 502-8408, Matthew.Vlissides@ferc.gov.

SUPPLEMENTARY INFORMATION: 
    1. Pursuant to section 215 of the Federal Power Act (FPA), the 
Commission proposes to approve Reliability Standard TPL-007-2 
(Transmission System Planned Performance for Geomagnetic Disturbance 
Events).\1\ The Commission also proposes to approve the associated 
violation risk factors and violation severity levels, implementation 
plan, and effective date for proposed Reliability Standard TPL-007-2. 
The North American Electric Reliability Corporation (NERC), the 
Commission-certified Electric Reliability Organization (ERO), submitted 
proposed Reliability Standard TPL-007-2 for approval in response to a 
Commission directive in Order No. 830.\2\ Geomagnetic disturbance 
events (GMDs) occur when the sun ejects charged particles that interact 
with and cause changes in the earth's magnetic fields. This interaction 
can cause geomagnetically induced currents (GICs) to flow in an 
electric power system and, depending on various factors affecting the 
intensity of the current, can result in a risk of voltage instability 
or voltage collapse, as well as equipment loss or failure.
---------------------------------------------------------------------------

    \1\ 16 U.S.C. 824o (2012).
    \2\ Reliability Standard for Transmission System Planned 
Performance for Geomagnetic Disturbance Events, Order No. 830, 156 
FERC ] 61,215 (2016), reh'g denied, 158 FERC ] 61,041 (2017).
---------------------------------------------------------------------------

    2. Proposed Reliability Standard TPL-007-2 modifies currently-
effective Reliability Standard TPL-007-1 (Transmission System Planned 
Performance for Geomagnetic Disturbance Events) by requiring applicable 
entities to: (1) Conduct supplemental GMD vulnerability assessments and 
thermal impact assessments; (2) obtain GIC and magnetometer data; and 
(3) meet certain deadlines for the development and completion of tasks 
in corrective action plans.
    3. The Commission proposes to approve proposed Reliability Standard 
TPL-007-2 as it largely addresses (with one exception discussed below) 
the directives in Order No. 830 to modify currently-effective 
Reliability Standard TPL-007-1: (1) To revise the benchmark GMD event 
definition, as it pertains to the required GMD Vulnerability 
Assessments and transformer thermal impact assessments, so that the 
definition is not based solely on spatially-averaged data; (2) to 
require the collection of necessary GIC monitoring and magnetometer 
data; and (3) to include a one-year deadline for the completion of 
corrective action plans and two- and four-year deadlines to complete 
mitigation actions involving non-hardware and hardware mitigation, 
respectively.
    4. While proposed Reliability Standard TPL-007-2 addresses the 
first directive in Order No. 830 by requiring applicable entities to 
conduct supplemental GMD vulnerability and thermal impact assessments, 
which do not rely solely upon on spatially-averaged data, the proposed 
Reliability Standard does not require applicable entities to mitigate 
vulnerabilities identified pursuant to such a supplemental 
assessment.\3\ NERC's proposal to modify the benchmark, but then allow 
entities the discretion to take corrective action based solely on the 
results of the spatially-averaged data while taking under advisement 
(``an evaluation of possible actions'') the results of the supplemental 
assessment, does not satisfy the clear intent of the Commission's 
directive. Moreover, Order No. 830 reiterated the directive in Order 
No. 779 that NERC develop a second stage GMD Reliability Standard 
requiring GMD vulnerability

[[Page 23855]]

assessments and that ``owners and operators [ ] develop and implement a 
plan to protect against instability, uncontrolled separation, or 
cascading failures of the Bulk-Power System.''\4\ Accordingly, as 
discussed below, the Commission proposes to direct that NERC, pursuant 
to section 215(d)(5) of the FPA, develop and submit modifications to 
the Reliability Standard to require applicable entities to develop and 
implement corrective action plans to mitigate vulnerabilities revealed 
by conducting supplemental GMD vulnerability assessments.\5\ The 
Commission proposes to direct NERC to submit the modified Reliability 
Standard for approval within 12 months from the effective date of 
Reliability Standard TPL-007-2.
---------------------------------------------------------------------------

    \3\ See Order No. 830, 156 FERC ] 61,215 at P 44 (directing NERC 
to ``develop revisions to the benchmark GMD event definition so that 
the reference peak geoelectric field amplitude component is not 
based solely on spatially-averaged data'').
    \4\ Order No. 830, 156 FERC ] 61,215 at P 7.
    \5\ 16 U.S.C. 824o(d)(5).
---------------------------------------------------------------------------

    5. In addition, while proposed Reliability Standard TPL-007-2 
imposes deadlines for the preparation and completion of tasks in 
corrective action plans, Requirement R7.4 of the proposed Reliability 
Standard also permits applicable entities to exceed deadlines for 
completing corrective action plan tasks when ``situations beyond the 
control of the responsible entity [arise].'' As discussed below, the 
Commission seeks comment on two options that it is considering 
regarding proposed Requirement R7.4. Under the first option, the 
Commission would, pursuant to section 215(d)(5) of the FPA, direct NERC 
to modify the Reliability Standard to bring the proposed standard into 
alignment with the Commission's direction in Order No. 830, through a 
process whereby NERC considers extensions on a case-by-case basis 
informed by proposed Requirement R7.4.\6\ Under the second option, the 
Commission would approve proposed Requirement R7.4. Under both options, 
the Commission would direct NERC to prepare and submit a report 
regarding how often and why applicable entities are exceeding 
corrective action plan deadlines following implementation of the 
proposed Reliability Standard. Under such a directive, NERC would 
submit the report within 12 months from the date on which applicable 
entities must comply with the last requirement of Reliability Standard 
TPL-007-2.\7\
---------------------------------------------------------------------------

    \6\ Order No. 830, 156 FERC ] 61,215 at P 102.
    \7\ NERC's proposed implementation plan provides that, depending 
on the effective date of Reliability Standard TPL-007-2, applicable 
entities will be required to comply with the requirements of the 
proposed Reliability Standard on a staggered schedule. For example, 
if proposed Reliability Standard TPL-007-2 becomes effective before 
January 1, 2021, the last requirement applicable entities will be 
required to comply with is Requirement R7 54 months following the 
effective date of Reliability Standard TPL-007-2. If proposed 
Reliability Standard TPL-007-2 becomes effective after January 1, 
2021, the last requirement applicable entities will be required to 
comply with is Requirement R8 72 months following the effective date 
of Reliability Standard TPL-007-2.
---------------------------------------------------------------------------

I. Background

A. Section 215 and Mandatory Reliability Standards

    6. Section 215 of the FPA requires the Commission to certify an ERO 
to develop mandatory and enforceable Reliability Standards, subject to 
Commission review and approval. Once approved, the Reliability 
Standards may be enforced in the United States by the ERO, subject to 
Commission oversight, or by the Commission independently.\8\
---------------------------------------------------------------------------

    \8\ 16 U.S.C. 824o(e).
---------------------------------------------------------------------------

B. GMD Primer

    7. GMD events occur when the sun ejects charged particles that 
interact and cause changes in the earth's magnetic fields.\9\ Once a 
solar particle is ejected, it can take between 17 to 96 hours 
(depending on its energy level) to reach earth.\10\ A geoelectric field 
is the electric potential (measured in volts per kilometer (V/km)) on 
the earth's surface and is directly related to the rate of change of 
the magnetic fields.\11\ The geoelectric field has an amplitude and 
direction and acts as a voltage source that can cause GICs to flow on 
long conductors, such as transmission lines.\12\ The magnitude of the 
geoelectric field amplitude is impacted by local factors such as 
geomagnetic latitude and local earth conductivity.\13\ Geomagnetic 
latitude is the proximity to earth's magnetic north and south poles, as 
opposed to earth's geographic poles.\14\ Local earth conductivity is 
the ability of the earth's crust to conduct electricity at a certain 
location to depths of hundreds of kilometers down to the earth's 
mantle. Local earth conductivity impacts the magnitude (i.e., severity) 
of the geoelectric fields that are formed during a GMD event by, all 
else being equal, a lower earth conductivity resulting in higher 
geoelectric fields.\15\
---------------------------------------------------------------------------

    \9\ See NERC, 2012 Special Reliability Assessment Interim 
Report: Effects of Geomagnetic Disturbances on the Bulk Power System 
at i-ii (February 2012), http://www.nerc.com/files/2012GMD.pdf.
    \10\ Id. at ii.
    \11\ Id.
    \12\ Id.
    \13\ NERC, Benchmark Geomagnetic Disturbance Event Description, 
Docket No. 15-11-000, at 4 (filed June 28, 2016) (2016 NERC White 
Paper).
    \14\ Id.
    \15\ Id.
---------------------------------------------------------------------------

    8. GICs can flow in an electric power system with varying intensity 
depending on the various factors discussed above. As explained in the 
Background section of the proposed Reliability Standard, ``[d]uring a 
GMD event, geomagnetically[hyphen]induced currents (GIC) may cause 
transformer hot[hyphen]spot heating or damage, loss of Reactive Power 
sources, increased Reactive Power demand, and Misoperation(s), the 
combination of which may result in voltage collapse and blackout.''

C. Currently-Effective Reliability Standard TPL-007-1 and Order No. 830

1. Currently-Effective Reliability Standard TPL-007-1
    9. Reliability Standard TPL-007-1 consists of seven requirements 
and applies to planning coordinators, transmission planners, 
transmission owners and generation owners who own or whose planning 
coordinator area or transmission planning area includes a power 
transformer with a high side, wye-grounded winding connected at 200 kV 
or higher.
    10. Requirement R1 requires planning coordinators and transmission 
planners (i.e., ``responsible entities'') to determine the individual 
and joint responsibilities in the planning coordinator's planning area 
for maintaining models and performing studies needed to complete the 
GMD vulnerability assessment required in Requirement R4. Requirement R2 
requires responsible entities to maintain system models and GIC system 
models needed to complete the GMD vulnerability assessment required in 
Requirement R4. Requirement R3 requires each responsible entity to have 
criteria for acceptable system steady state voltage performance for its 
system during the GMD conditions described in Attachment 1 of 
Reliability Standard TPL-007-1. Requirement R4 requires responsible 
entities to conduct a GMD vulnerability assessment every 60 months 
using the benchmark GMD event described in Attachment 1. Requirement R5 
requires responsible entities to provide GIC flow information, based on 
the benchmark GMD event definition, to be used in the transformer 
thermal impact assessments required in Requirement R6, to each 
transmission owner and generator owner that owns an applicable 
transformer within the applicable planning area. Requirement R6 
requires transmission owners and generator owners to conduct thermal 
impact assessments on solely and jointly owned applicable transformers 
where the maximum effective GIC value provided in Requirement R5 is 75 
amps per phase (A/phase) or greater. Requirement R7 requires 
responsible entities to develop

[[Page 23856]]

corrective action plans if the GMD vulnerability assessment concludes 
that the system does not meet the performance requirements in Table 1 
of Reliability Standard TPL-007-1.
    11. Calculation of the benchmark GMD event, against which 
applicable entities must assess their facilities, is fundamental to 
compliance with Reliability Standard TPL-007-1. Reliability Standard 
TPL-007-1, Requirement R3 states that ``[e]ach responsible entity, as 
determined in Requirement R1, shall have criteria for acceptable System 
steady state voltage performance for its System during the benchmark 
GMD event described in Attachment 1.''
    Reliability Standard TPL-007-1, Attachment 1 states that the 
benchmark GMD event is composed of four elements: (1) A reference peak 
geoelectric field amplitude of 8 V/km derived from statistical analysis 
of historical magnetometer data; (2) a scaling factor to account for 
local geomagnetic latitude; (3) a scaling factor to account for local 
earth conductivity; and (4) a reference geomagnetic field time series 
or wave shape to facilitate time-domain analysis of GMD impact on 
equipment. The product of the first three elements is referred to as 
the regional peak geoelectric field amplitude. The benchmark GMD event 
defines the geoelectric field values used to compute GIC flows for a 
GMD vulnerability assessment, which is required in Reliability Standard 
TPL-007-1.\16\
---------------------------------------------------------------------------

    \16\ See Reliability Standard TPL-007-1, Requirements R4 and R5. 
Reliability Standard TPL-007-1 does not set a threshold amount of 
GIC flow that would constitute a vulnerable transformer. However, if 
a transformer is calculated to experience a maximum effective GIC 
flow during a benchmark GMD event of a least 75 A/phase, a thermal 
impact assessment of that transformer is required. See Reliability 
Standard TPL-007-1, Requirement R6.
---------------------------------------------------------------------------

    12. For the purpose of determining a benchmark event that specifies 
what severity GMD events a responsible entity must assess for potential 
impacts on the Bulk-Power System, NERC determined that a 1-in-100 year 
GMD event would cause an 8 V/km reference peak geoelectric field 
amplitude at 60 degree north geomagnetic latitude using Qu[eacute]bec's 
earth conductivity.\17\ Scaling factors (i.e., multiplying values) are 
applied to this reference peak geoelectric field amplitude to adjust 
the 8 V/km value for different geomagnetic latitudes (scaling factors 
between 0.1 and 1.0) and earth conductivities (scaling factors between 
0.21 and 1.17). NERC identified a reference geomagnetic field time 
series from an Ottawa, Ontario magnetic observatory during a 1989 GMD 
storm affecting Qu[eacute]bec. NERC used this to estimate a time series 
(i.e., 10-second values over a period of days) of the geoelectric field 
that is representative of what is expected to occur at 60 degree 
geomagnetic latitude during a 1-in-100 year GMD event. Such a time 
series is used in some methods of calculating the vulnerability of a 
transformer to damage from heating caused by GIC.
---------------------------------------------------------------------------

    \17\ NERC used Qu[eacute]bec as the location for the reference 
peak 1-in-100 year GMD event because of its proximity to 60 degree 
geomagnetic latitude and its well understood earth model. By 
creating scaling factors, each entity can scale this reference peak 
geoelectric field and geoelectric field time series values to match 
its own expected field conditions.
---------------------------------------------------------------------------

    13. NERC used field measurements taken from the International 
Monitor for Auroral Geomagnetic Effects (IMAGE) magnetometer chain, 
which consists of 39 magnetometer stations in Northern Europe, for the 
period 1993-2013 to calculate the reference peak geoelectric field 
amplitude. As described in the 2016 NERC White Paper, to arrive at a 
reference peak geoelectric field amplitude of 8 V/km, NERC ``spatially 
averaged'' four different station groups each spanning a square area of 
approximately 500 km (roughly 310 miles) in width.\18\
---------------------------------------------------------------------------

    \18\ ``Spatial Averaging'' refers to the averaging of 
magnetometer readings over a geographic area. The standard drafting 
team averaged several (but not all) geomagnetic field readings taken 
by magnetometers located within square geographical areas of 500 km 
per side.
---------------------------------------------------------------------------

2. Order No. 830
    14. On January 21, 2015, NERC submitted for Commission approval 
Reliability Standard TPL-007-1 in response to a directive in Order No. 
779, which directed NERC to develop one or more Reliability Standards 
to address the effects of GMD events on the electric grid.\19\ In Order 
No. 830, the Commission approved Reliability Standard TPL-007-1, 
concluding that Reliability Standard TPL-007-1 addressed the 
Commission's directive by requiring applicable Bulk-Power System owners 
and operators to conduct, on a recurring five-year cycle, initial and 
ongoing vulnerability assessments regarding the potential impact of a 
benchmark GMD event on the Bulk-Power System as a whole and on Bulk-
Power System components. In addition, the Commission determined that 
Reliability Standard TPL-007-1 requires applicable entities to develop 
and implement corrective action plans to mitigate vulnerabilities 
identified through those recurring vulnerability assessments and that 
potential mitigation strategies identified in Reliability Standard TPL-
007-1 include, but are not limited to, the installation, modification 
or removal of transmission and generation facilities and associated 
equipment.
---------------------------------------------------------------------------

    \19\ Reliability Standards for Geomagnetic Disturbances, Order 
No. 779, 143 FERC ] 61,147, reh'g denied, 144 FERC ] 61,113 (2013).
---------------------------------------------------------------------------

    15. In Order No. 830, the Commission also determined that 
Reliability Standard TPL-007-1 should be modified. Specifically, Order 
No. 830 directed NERC to develop and submit modifications to 
Reliability Standard TPL-007-1 concerning: (1) The calculation of the 
reference peak geoelectric field amplitude component of the benchmark 
GMD event definition; (2) the collection and public availability of 
necessary GIC monitoring and magnetometer data; and (3) deadlines for 
completing corrective action plans and the mitigation measures called 
for in corrective action plans. Order No. 830 directed NERC to develop 
and submit these revisions for Commission approval within 18 months of 
the effective date of Order No. 830.
    16. With respect to the calculation of the reference peak 
geoelectric field amplitude component of the benchmark GMD event 
definition, Order No. 830 expressed concern with relying solely on 
spatial averaging in Reliability Standard TPL-007-1 because ``the use 
of spatial averaging in this context is new, and thus there is a dearth 
of information or research regarding its application or appropriate 
scale.'' \20\ While Order No. 830 directed that the peak geoelectric 
field amplitude should not be based solely on spatially-averaged data, 
the Commission indicated that this ``directive should not be construed 
to prohibit the use of spatial averaging in some capacity, particularly 
if more research results in a better understanding of how spatial 
averaging can be used to reflect actual GMD events.'' \21\
---------------------------------------------------------------------------

    \20\ Order No. 830, 156 FERC ] 61,215 at P 45.
    \21\ Id. P 46.
---------------------------------------------------------------------------

D. NERC Petition and Proposed Reliability Standard TPL-007-2

    17. NERC states that proposed Reliability Standard TPL-007-2 
enhances currently-effective Reliability Standard TPL-007-1 by 
addressing reliability risks posed by GMDs more effectively and 
implementing the directives in Order No. 830.\22\ NERC asserts that 
proposed Reliability Standard TPL-007-2 reflects the latest

[[Page 23857]]

in GMD understanding and provides a technically sound and flexible 
approach to addressing the concerns discussed in Order No. 830. NERC 
contends that the proposed modifications enhance reliability by 
expanding GMD vulnerability assessments to include severe, localized 
impacts and by implementing deadlines and processes to maintain 
accountability in the development, completion, and revision of 
corrective action plans developed to address identified 
vulnerabilities. Further, NERC states that the proposed modifications 
improve the availability of GMD monitoring data that may be used to 
inform GMD vulnerability assessments.
---------------------------------------------------------------------------

    \22\ Proposed Reliability Standard TPL-007-2 is not attached to 
this Notice of Proposed Rulemaking (NOPR). Proposed Reliability 
Standard TPL-007-2 is available on the Commission's eLibrary 
document retrieval system in Docket No. RM18-8-000 and on the NERC 
website, www.nerc.com.
---------------------------------------------------------------------------

    18. Proposed Reliability Standard TPL-007-2 modifies currently-
effective Reliability Standard TPL-007-1 by requiring applicable 
entities to: (1) Conduct supplemental GMD vulnerability and transformer 
thermal impact assessments in addition to the existing benchmark GMD 
vulnerability and transformer thermal impact assessments required in 
Reliability Standard TPL-007-1; (2) collect data from GIC monitors and 
magnetometers as necessary to enable model validation and situational 
awareness; and (3) develop necessary corrective action plans within one 
year from the completion of the benchmark GMD vulnerability assessment, 
include a two-year deadline for the implementation of non-hardware 
mitigation, and include a four-year deadline to complete hardware 
mitigation.\23\
---------------------------------------------------------------------------

    \23\ Unless otherwise indicated, the requirements of proposed 
Reliability Standard TPL-007-2 are substantively the same as the 
requirements in currently-effective Reliability Standard TPL-007-1. 
Proposed Reliability Standard TPL-007-2 contains conforming and 
other non-substantive modifications that are not addressed in this 
NOPR.
---------------------------------------------------------------------------

    19. In particular, proposed Reliability Standard TPL-007-2 modifies 
Requirements R1 (identification of responsibilities) and R2 (system and 
GIC system models) to extend the existing requirements pertaining to 
benchmark GMD assessments to the proposed supplemental GMD assessments. 
Proposed Reliability Standard TPL-007-2 adds the newly mandated 
supplemental GMD vulnerability and transformer thermal impact 
assessments in new Requirements R8 (supplemental GMD vulnerability 
assessment), R9 (GIC flow information needed for supplemental GMD 
thermal impact assessments) and R10 (supplemental GMD thermal impact 
assessments). The supplemental GMD event definition contains a higher, 
non-spatially-averaged reference peak geoelectric field amplitude 
component than the benchmark GMD event definition (12 V/km versus 8 V/
km). These three new requirements largely mirror existing Requirements 
R4, R5, and R6 that currently apply, and would continue to apply, only 
to benchmark GMD vulnerability and transformer thermal impact 
assessments.\24\
---------------------------------------------------------------------------

    \24\ An exception is the qualifying threshold for transformers 
required to undergo thermal impact assessments: For the supplemental 
GMD assessment the qualifying threshold for transformers is a 
maximum effective GIC value of 85 A/phase while the threshold for 
benchmark GMD event assessments is 75 A/phase.
---------------------------------------------------------------------------

    20. In addition, proposed Reliability Standard TPL-007-2 includes 
two other new requirements, Requirements R11 and R12, that require 
applicable entities to gather GIC monitored data (Requirement R11) and 
magnetometer data (Requirement R12).
    21. Proposed Reliability Standard TPL-007-2 modifies existing 
Requirement R7 (corrective action plans) to create a one-year deadline 
for the development of corrective action plans and two and four-year 
deadlines to complete actions involving non-hardware and hardware 
mitigation, respectively, for vulnerabilities identified in the 
benchmark GMD assessment. The proposed modifications to Requirement R7 
include a provision allowing for extension of deadlines if ``situations 
beyond the control of the responsible entity determined in Requirement 
R1 prevent implementation of the [corrective action plan] within the 
timetable for implementation.''

II. Discussion

    22. Pursuant to section 215(d) of the FPA, the Commission proposes 
to approve Reliability Standard TPL-007-2 as just, reasonable, not 
unduly discriminatory or preferential, and in the public interest. 
Proposed Reliability Standard TPL-007-2 addresses the directives in 
Order No. 830 to modify currently-effective Reliability Standard TPL-
007-1: (1) To revise the benchmark GMD event definition, as it pertains 
to the required GMD Vulnerability Assessments and transformer thermal 
impact assessments, so that the definition is not based solely on 
spatially-averaged data; (2) to require the collection of necessary GIC 
monitoring and magnetometer data; and (3) to include a one-year 
deadline for the completion of corrective action plans and two and 
four-year deadlines to complete mitigation actions involving non-
hardware and hardware mitigation, respectively.\25\
---------------------------------------------------------------------------

    \25\ NERC states that it will address the directive in Order No. 
830 on public dissemination of GIC monitoring and magnetometer data 
through a forthcoming NERC data request to applicable entities 
pursuant to Section 1600 of the NERC Rules of Procedure rather than 
through a Reliability Standard requirement. On February 7, 2018, 
NERC released a draft data request for a 45-day comment period. 
After reviewing the comments, NERC indicates that it intends to seek 
authorization from the NERC Board of Trustees to issue the data 
request in August 2018. NERC Petition at 27.
---------------------------------------------------------------------------

    23. Proposed Reliability Standard TPL-007-2 complies with the 
directives in Order No. 830 by requiring, in addition to the benchmark 
GMD event vulnerability and thermal impact assessments, supplemental 
GMD vulnerability and thermal impact assessments. The supplemental GMD 
event definition in proposed Reliability Standard TPL-007-2 contains a 
non-spatially-averaged reference peak geoelectric field amplitude 
component of 12 V/km, in contrast to the 8 V/km figure in the 
spatially-averaged benchmark GMD event definition. As NERC explains in 
its petition, the supplemental GMD event will be used to ``represent 
conditions associated with localized enhancement of the geomagnetic 
field during a severe GMD event for use in assessing GMD impacts.'' 
\26\ Proposed Reliability Standard TPL-007-2 therefore addresses the 
Commission's directive to modify currently-effective Reliability 
Standard TPL-007-1 so that the benchmark GMD event does not rely solely 
on spatially-averaged data to calculate the reference peak geoelectric 
field amplitude.
---------------------------------------------------------------------------

    \26\ NERC Petition at 12.
---------------------------------------------------------------------------

    24. While proposed Reliability Standard TPL-007-2 addresses the 
first directive in Order No. 830 by requiring applicable entities to 
conduct supplemental GMD vulnerability and thermal impact assessments, 
the proposed Reliability Standard does not require applicable entities 
to mitigate such vulnerabilities. Instead, proposed Reliability 
Standard TPL-007-2, Requirement R8.3 only requires applicable entities 
to make ``an evaluation of possible actions designed to reduce the 
likelihood or mitigate the consequences and adverse impacts of the 
event(s)'' if a supplemental GMD event is assessed to result in 
Cascading.\27\ As discussed below, NERC's proposal differs 
significantly from Order No. 830 because the intent of the directive 
was not only to identify vulnerabilities arising from localized

[[Page 23858]]

GMD events but also to mitigate such vulnerabilities. Moreover, Order 
No. 830 reiterated the directive in Order No. 779 that NERC develop a 
second stage GMD Reliability Standard requiring GMD vulnerability 
assessments and that ``owners and operators [ ] develop and implement a 
plan to protect against instability, uncontrolled separation, or 
cascading failures of the Bulk-Power System.'' \28\ Accordingly, the 
Commission proposes to direct NERC, pursuant to section 215(d)(5) of 
the FPA, to develop and submit modifications to the Reliability 
Standard to require applicable entities to develop and implement 
corrective action plans to mitigate supplemental GMD event 
vulnerabilities. The Commission proposes to direct NERC to submit the 
modified Reliability Standard for approval within 12 months from the 
effective date of Reliability Standard TPL-007-2.
---------------------------------------------------------------------------

    \27\ The NERC Glossary defines Cascading as ``uncontrolled 
successive loss of System Elements triggered by an incident at any 
location . . . [c]ascading results in widespread electric service 
interruption that cannot be restrained from sequentially spreading 
beyond an area predetermined by studies.'' Glossary of Terms Used in 
NERC Reliability Standards (January 31, 2018).
    \28\ Order No. 830, 156 FERC ] 61,215 at P 7.
---------------------------------------------------------------------------

    25. In addition, as discussed below, the Commission seeks comment 
on the need for Requirement R7.4 of proposed Reliability Standard TPL-
007-2, which allows applicable entities to extend corrective action 
plan implementation deadlines, as compared to a process whereby NERC 
considers extensions on a case-by-case basis, as suggested in Order No. 
830.\29\ After reviewing the comments, the Commission may approve the 
requirement but direct NERC to prepare and submit a report concerning 
the use of corrective action plan deadline extensions as allowed under 
proposed Reliability Standard TPL-007-2, Requirement R7.4. Under such a 
directive, NERC would submit the report within 12 months from the date 
on which applicable entities must comply with the last requirement of 
Reliability Standard TPL-007-2. Alternatively, pursuant to section 
215(d)(5) of the FPA, the Commission may direct NERC to modify the 
Reliability Standard to remove Requirement R7.4.
---------------------------------------------------------------------------

    \29\ Id. P 102.
---------------------------------------------------------------------------

A. Corrective Action Plan for Supplemental GMD Event Vulnerabilities

NERC Petition
    26. In requiring applicable entities to assess their 
vulnerabilities to a supplemental GMD event, NERC states that 
geomagnetic fields during severe GMD events can be spatially 
non[hyphen]uniform with higher and lower strengths across a geographic 
region. NERC explains that the supplemental GMD event was derived using 
individual station measurements rather than spatially-averaged 
measurements, and thus includes localized enhancement of field strength 
above the average value found in the benchmark GMD event. NERC contends 
that the supplemental GMD event thus addresses the directive in Order 
No. 830 to revise Reliability Standard TPL-007-1 to account for the 
effects of localized peaks that could potentially affect reliable 
operations.
    27. NERC maintains that the benchmark GMD event and supplemental 
GMD event are similar in structure but the supplemental GMD event 
contains differences to account for localized impacts. NERC explains 
that, like the benchmark GMD event, the supplemental GMD event defines 
the geomagnetic and geoelectric field values used to compute GIC flows 
for use in a GMD vulnerability assessment and is composed of four 
elements: (1) Reference peak geoelectric field amplitude of 12 V/km 
derived from statistical analysis of historical magnetometer data; (2) 
scaling factors to account for local geomagnetic latitude; (3) scaling 
factors to account for local earth conductivity; and (4) a locally-
enhanced reference geomagnetic field time series or waveform to 
facilitate time-domain analysis of GMD impact on equipment.
    28. NERC states that the higher reference peak geoelectric field 
amplitude (12 V/km compared to 8 V/km used in the benchmark GMD event) 
and local enhancements to the geomagnetic field time series or waveform 
are distinguishing characteristics of the supplemental GMD event and 
are intended to represent conditions associated with localized 
enhancement of the geomagnetic field during a severe GMD event for use 
in assessing GMD impacts.\30\
---------------------------------------------------------------------------

    \30\ NERC states that the supplemental GMD event waveform is 
more severe than the benchmark GMD event waveform because it 
includes a five-minute duration enhanced peak up to 12 V/km for the 
reference earth model and 60 degree geomagnetic latitude. NERC 
Petition at 13. NERC explains that this synthetic enhancement 
represents the observed localized, rapid magnetic field variation 
periods associated with ionospheric sources during some severe GMD 
events. Id. NERC observes that such GMD conditions could result in 
increased transformer heating for short durations during a severe 
GMD event due to increased GIC flows. Id.
---------------------------------------------------------------------------

    29. In developing the supplemental GMD event, NERC indicates that 
the standard drafting team ensured that the peak geoelectric field does 
not rely on spatial averaging of geomagnetic field data. NERC states 
that, like the value in the existing benchmark GMD event, the 
supplemental GMD event peak geoelectric field is a 1-in-100 year 
extreme value determined using statistical analysis of historical 
geomagnetic field data. NERC explains that the fundamental difference 
in the supplemental GMD event amplitude is that it is based on 
geomagnetic field observations taken at individual observation stations 
(i.e., localized measurements), instead of the spatially-averaged 
geoelectric fields used in the benchmark GMD event. NERC states that 
the result of the extreme value analysis shows that the supplemental 
GMD event peak of 12 V/km is above the upper limit of the 95 percent 
confidence interval for a 100[hyphen]year interval, while the same 
confidence interval with spatially-averaged data (i.e., the benchmark 
GMD event) is 8 V/km.
    30. NERC indicates that the corrective action plans mandated in 
Requirement R7 continue to apply only if an entity has identified 
system performance issues through the benchmark GMD vulnerability 
assessments. NERC explains that mitigation for assessed supplemental 
GMD vulnerabilities are addressed in proposed Requirement R8.3, which 
states that if a responsible entity concludes that there would be 
``Cascading'' caused by the supplemental GMD event, the entity shall 
conduct an analysis of possible actions to reduce the likelihood or 
mitigate the impacts of the event.\31\
---------------------------------------------------------------------------

    \31\ NERC Petition at 23.
---------------------------------------------------------------------------

    31. NERC states that the standard drafting team determined that 
requiring corrective action plans in response to assessed supplemental 
GMD event vulnerabilities would not be appropriate at this time because 
the supplemental GMD event definition uses a small number of observed 
localized enhanced geoelectric field events that provide only general 
insight into the geographic size of localized events during severe 
solar storms.\32\ NERC also contends that currently available modeling 
tools do not provide entities with capabilities to model localized 
enhancements within a severe GMD event realistically.\33\ As a result, 
NERC claims that applicable entities may need to employ conservative 
approaches when performing the supplemental GMD vulnerability 
assessment, such as applying the localized peak geoelectric field over 
an entire planning area.\34\ NERC states that, for these reasons, 
``requiring mandatory mitigation may not provide effective reliability 
benefit

[[Page 23859]]

or use resources optimally.'' \35\ NERC contends that the approach used 
in proposed Reliability Standard TPL-007-2 for the supplemental GMD 
event provides entities with flexibility to consider and select 
mitigation actions based on their circumstances and is similar to the 
approach used in Reliability Standard TPL-001-4, Requirement R3.5 for 
extreme events.\36\
---------------------------------------------------------------------------

    \32\ Id.
    \33\ Id.
    \34\ Id. at 24.
    \35\ Id.
    \36\ Id.
---------------------------------------------------------------------------

Commission Proposal
    32. NERC's proposal not to require corrective action plans for 
supplemental GMD event vulnerabilities differs significantly from Order 
No. 830 because the intent and clear meaning of the directive was not 
only to identify vulnerabilities arising from localized GMD events but 
also to mitigate such vulnerabilities. Order No. 830 reiterated the 
directive in Order No. 779 that NERC develop a second stage GMD 
Reliability Standard requiring GMD vulnerability assessments and that 
``owners and operators [ ] develop and implement a plan to protect 
against instability, uncontrolled separation, or cascading failures of 
the Bulk-Power System.'' \37\ By contrast, proposed Reliability 
Standard TPL-007-2 allows supplemental GMD event vulnerabilities to 
potentially go unmitigated even, for example, if an applicable entity 
assesses that the supplemental GMD event causes Cascading.\38\
---------------------------------------------------------------------------

    \37\ Order No. 830, 156 FERC ] 61,215 at P 7.
    \38\ Proposed Reliability Standard TPL-007-2, Requirement R8.3 
(``If the analysis concludes there is Cascading caused by the 
supplemental GMD event described in Attachment 1, an evaluation of 
possible actions designed to reduce the likelihood or mitigate the 
consequences and adverse impacts of the event(s) shall be 
conducted.'').
---------------------------------------------------------------------------

    33. Moreover, in Order No. 830, the Commission directed NERC to 
``develop revisions to the benchmark GMD event definition so that the 
reference peak geoelectric field amplitude component is not based 
solely on spatially-averaged data.'' \39\ NERC's proposal to modify the 
benchmark, but then allow applicable entities the discretion to take 
corrective action based solely on the results of the spatially-averaged 
benchmark analysis while taking under advisement (``an evaluation of 
possible actions'') the results of the supplemental assessment, does 
not satisfy the clear intent of the Commission's directive.
---------------------------------------------------------------------------

    \39\ Id. at 44.
---------------------------------------------------------------------------

    34. Further, we are not persuaded by NERC's reasoning that: (1) 
Existing technical limitations, specifically the limited number of 
observations used to define the supplemental GMD event and the 
availability of modeling tools to assist entities in assessing 
vulnerabilities, make requiring mitigation premature at this time; and 
(2) requiring only an evaluation of possible actions for supplemental 
GMD events that result in Cascading is similar to the treatment of 
extreme events in Reliability Standard TPL-001-4 (Transmission System 
Planning Performance Requirements).
    35. We believe, based on the information before us, that it is 
reasonable to require applicable entities to mitigate supplemental GMD 
event vulnerabilities because, as NERC contends, the supplemental GMD 
event ``provides a technically justified method of assessing 
vulnerabilities to the localized peak effects of severe GMD events.'' 
\40\ While the supplemental GMD event possesses characteristics that 
differentiate it from the benchmark GMD event (i.e., geographic area, 
peak amplitude, duration, and geoelectric field waveform), both events 
were developed by the standard drafting team using a common framework. 
The standard drafting team determined the peak amplitude of the 
supplemental GMD event using generalized extreme value statistical 
analysis methods, as it did for the benchmark GMD event, and found a 
consistent result of 12 V/km with a 95 percent confidence interval. 
Generalized extreme value analysis is well-supported in the technical 
literature and, in approving the benchmark GMD event, was previously 
accepted in Order No. 830. The basic waveform used for the supplemental 
GMD event is the same waveform used in the benchmark GMD event.\41\ 
Similar to the methodology for determining peak amplitude, the 
benchmark GMD event waveform was previously considered appropriate in 
Order No. 830. While the supplemental GMD event waveform includes a 
``five-minute duration enhanced peak up to 12 V/km,'' NERC does not 
suggest that the duration of the enhanced peak is unrepresentative of 
the behavior of localized enhancements.
---------------------------------------------------------------------------

    \40\ NERC Petition at 13.
    \41\ Id. (``Both the benchmark and supplemental GMD event 
waveforms are based on 10-second sampling interval magnetic field 
data from the Ottawa observatory recorded during the March 13-14, 
1989 GMD event.'').
---------------------------------------------------------------------------

    36. NERC contends that the low number of real-world observations on 
which the supplemental GMD event is based calls into question the 
accuracy of its geographic size.\42\ However, any uncertainty regarding 
the size of the geographic footprint of the supplemental GMD event 
could be addressed by applicable entities through sensitivity analysis 
and other methods within the planning studies. The proposed Reliability 
Standard does not prescribe how applicable entities must perform such 
studies; so applicable entities may incorporate this uncertainty into 
their studies. Indeed, Attachment 1 (Calculating Geoelectric Fields for 
the Benchmark and Supplemental GMD Events) of proposed Reliability 
Standard TPL-007-2 states that ``Planners have flexibility to determine 
how to apply the localized peak geoelectric field over the planning 
area in performing GIC calculations.'' \43\ Attachment 1 provides that 
an applicable entity may apply the supplemental GMD event definition 
over the entire planning area; apply some combination of the benchmark 
GMD event and supplemental GMD event over portions of a planning area; 
or use ``[o]ther methods to adjust the benchmark GMD event analysis to 
account for the localized geoelectric field enhancement of the 
supplemental GMD event.'' \44\ The flexibility afforded to applicable 
entities by proposed Reliability Standard TPL-007-2 to determine the 
geographic size of the supplemental GMD event, in our view, addresses 
NERC's concern.
---------------------------------------------------------------------------

    \42\ Id. at 23 (``[the] small number of observed localized 
enhanced geoelectric field events . . . provide only general insight 
into the geographic size of localized events during severe solar 
storms'').
    \43\ Proposed Reliability Standard TPL-007-2, Attachment 1, 
Applying the Localized Peak Geoelectric Field in the Supplemental 
GMD Event.
    \44\ Id.
---------------------------------------------------------------------------

    37. The Supplemental Geomagnetic Disturbance Event Description 
appended to NERC's petition further supports the supplemental GMD event 
definition by stating that ``[b]ased on the above analysis and the 
previous work associated with the benchmark GMD event, it is reasonable 
to incorporate a second (or supplemental) assessment into 
TPL[hyphen]007[hyphen]2 to account for the potential impact of a local 
enhancement in both the network analysis and the transformer thermal 
assessment(s).'' \45\ The Supplemental GMD Event White Paper also 
states that ``[g]iven the current state of knowledge regarding the 
spatial extent of a local geomagnetic field enhancements, upper 
geographic boundaries, such as the values used in the approaches above, 
are reasonable but are not definitive.'' \46\
---------------------------------------------------------------------------

    \45\ NERC Petition, Exhibit I (Supplemental Geomagnetic 
Disturbance Event Description) at 12 (Supplemental GMD Event White 
Paper).
    \46\ Id. at 13.
---------------------------------------------------------------------------

    38. With respect to NERC's contention regarding the unavailability 
of modeling tools, we are not persuaded. We understand that there are 
commercially available tools that could allow for

[[Page 23860]]

modeling of supplemental GMD events.\47\ In addition to these modeling 
tools, other methods could be used within the framework of the 
Reliability Standard to study planning areas (e.g., superposition or 
sensitivity studies) in conjunction with other power system modeling 
tools. However, we will consider any comments that substantiate NERC's 
position.
---------------------------------------------------------------------------

    \47\ See, e.g., Siemens Power Technologies International, GIC 
Module to Analyze Geomagnetic Disturbances on the Grid, Features 
Summary, http://w3.usa.siemens.com/smartgrid/us/en/transmission-grid/products/grid-analysis-tools/transmission-system-planning/Documents/PTI_FF_EN_SWPE_GIC_1412.pdf; PowerWorld, Simulator, 
Geomagnetically Induced Current (GIC), https://www.powerworld.com/products/simulator/add-ons-2/simulator-gic.
---------------------------------------------------------------------------

    39. In addition, the Commission recognized in Order No. 830 that an 
improved understanding of GMDs is necessary and directed NERC to 
conduct certain GMD-related research. The GMD research directed in 
Order No. 830 is meant to address technical limitations regarding GMD 
mitigation, among other areas. In the preliminary GMD research work 
plan submitted by NERC on May 30, 2017, NERC stated that the Commission 
in Order No. 830 ``noted its concern that a spatially-averaged 
benchmark may not adequately account for localized peak geoelectric 
fields that could potentially affect reliable operations.'' \48\ In 
response, NERC indicated that it will conduct ``(i) research [Task 1 of 
the GMD research work plan] to improve understanding of the 
characteristics and spatial scales of localized geoelectric field 
enhancements caused by severe GMD events; and (ii) research to 
determine the impacts of spatial averaging assumptions on [Bulk-Power 
System] reliability.'' \49\ NERC estimated that Task 1, which includes 
the development of better models, will require approximately 24-36 
months to complete from start of work. Such GMD research on localized 
events should inform the standard development process and aid 
applicable entities when implementing a modified Reliability 
Standard.\50\
---------------------------------------------------------------------------

    \48\ NERC, Geomagnetic Disturbance Research Work Plan of the 
North American Electric Reliability Corporation, Docket No. RM15-11-
002, at 8 (filed May 30, 2017).
    \49\ Id.
    \50\ On April 19, 2018, NERC submitted a revised GMD Work Plan 
that is currently pending before the Commission. NERC, Revised 
Geomagnetic Disturbance Research Work Plan of the North American 
Electric Reliability Corporation, Docket No. 15-11-003 (filed April 
19, 2018). The revised GMD Work Plan provides additional detail to 
the previous version. NERC now estimates that Task 1 deliverables 
will be completed in 2019. Id., Attachment 1 (Order No. 830 GMD 
Research Work Plan (April 2018)) at 7.
---------------------------------------------------------------------------

    40. We are also not persuaded by NERC's reliance on Reliability 
Standard TPL-001-4 to justify only requiring an evaluation of possible 
actions for supplemental GMD events that result in Cascading in light 
of the directive in Order No. 830. In Order No. 830, the Commission 
directed NERC to modify the proposed Reliability Standard to assess and 
address the risks posed by enhanced localized GMD events to the Bulk-
Power System. In contrast, in approving Reliability Standard TPL-001-4, 
the Commission did not direct NERC to further modify the Reliability 
Standard to address the risks posed by extreme events. Accordingly, the 
treatment of extreme events under Reliability Standard TPL-001-4 does 
not support the notion here that applicable entities should, as NERC 
suggests, have the ``the flexibility to . . . consider mitigation.'' 
\51\ However, as with the mitigation of benchmark GMD event 
vulnerabilities, we agree with NERC that any required mitigation of 
supplemental GMD event vulnerabilities should be flexible in terms of 
how applicable entities choose to mitigate such vulnerabilities. NERC's 
petition already stresses that proposed Reliability Standard TPL-007-2 
affords flexibility as to how applicable entities apply the 
supplemental GMD event to their planning areas.\52\
---------------------------------------------------------------------------

    \51\ NERC Petition at 24 (emphasis added).
    \52\ NERC Petition, Exhibit I at 13 (``Proposed 
TPL[hyphen]007[hyphen]2 provides flexibility for planners to 
determine how to apply the supplemental GMD event to the planning 
area.'').
---------------------------------------------------------------------------

    41. Accordingly, the Commission proposes to direct NERC, pursuant 
to section 215(d)(5) of the FPA, to develop and submit modifications to 
the Reliability Standard to require applicable entities to develop and 
implement corrective action plans to mitigate supplemental GMD event 
vulnerabilities. The Commission proposes to direct NERC to submit the 
modified Reliability Standard for approval within 12 months from the 
effective date of Reliability Standard TPL-007-2. The Commission seeks 
comments from NERC and other interested entities on this proposal.

B. Corrective Action Plan Deadline Extensions NERC Petition

    42. NERC states that proposed Reliability Standard TPL-007-2, 
Requirement R7.2 requires responsible entities to develop a corrective 
action plan within one year of the benchmark GMD vulnerability 
assessment, if the entity concludes that its System does not meet the 
performance requirements for the steady state planning benchmark GMD 
event. NERC indicates that under Requirement R7.3, the corrective 
action plan shall include a timeline that specifies the completion of 
non-hardware and hardware mitigation within two and four years of 
development of the corrective action plan, respectively.
    43. NERC maintains that proposed Reliability Standard TPL-007-2 
also recognizes that there may be circumstances outside of a 
responsible entity's control that could prevent the completion of a 
mitigation activity within the specified timetable. NERC cites as 
examples delays due to regulatory or legal processes, such as 
permitting; delays from stakeholder processes required by tariffs; 
delays resulting from equipment lead times; or delays resulting from 
the inability to acquire necessary right-of-way. NERC explains that in 
such circumstances, a responsible entity may maintain compliance by 
revising its corrective action plan in accordance with Requirement 
R7.4. NERC states that under Requirement R7.4, the responsible entity 
shall revise its corrective action plan if events beyond its control 
prevent implementation within the original timetable. NERC explains 
that in the revised corrective action plan, the responsible entity must 
provide justification for its revised timetable by documenting: (1) The 
circumstances causing the delay; (2) description of the original 
corrective action plan and any changes; and (3) revisions to selected 
actions, including the use of any operating procedures if applicable, 
along with an updated timetable for completion. NERC states that the 
revised corrective action plan shall be updated at least annually and 
the responsible entity must then provide its revised corrective action 
plan to recipients of the original corrective action plan (i.e., 
reliability coordinator, adjacent planning coordinator(s), adjacent 
transmission planner(s), functional entities referenced in the 
corrective action plan, and any functional entity that submits a 
written request and has a reliability related need for the 
information).
    44. NERC contends that this proposal is consistent with other 
Commission-approved Reliability Standards. NERC cites Reliability 
Standard FAC-003-4, Requirement R7 and asserts that it provides that an 
entity may modify its annual vegetation work plan in light of 
circumstances beyond the entity's control, such as a natural disaster 
or other circumstance. NERC also cites Reliability Standard PRC-004-
5(i), Requirement R5 and contends that under that Reliability Standard 
a responsible entity that owns a protection system component that 
caused a misoperation shall either

[[Page 23861]]

develop a corrective action plan or explain in a declaration why 
corrective actions are beyond the entity's control or would not improve 
reliability.
Commission Proposal
    45. Proposed Reliability Standard TPL-007-2 satisfies Order No. 830 
by incorporating the deadlines set out by the Commission for the 
development and implementation of corrective action plans. However, 
Requirement R7.4 of the proposed Reliability Standard differs from 
Order No. 830 by allowing applicable entities to ``revise'' or 
``update'' corrective action plans to extend deadlines. This provision 
contrasts with the Commission's guidance in Order No. 830 that ``NERC 
should consider extensions of time on a case-by-case basis.'' \53\
---------------------------------------------------------------------------

    \53\ Order No. 830, 156 FERC ] 61,215 at P 102.
---------------------------------------------------------------------------

    46. NERC contends that the proposed Reliability Standard ``would 
implement the Commission directed deadlines for Corrective Action Plans 
and mitigation, along with a process to maintain accountability and 
communication with affected entities when circumstances beyond a 
responsible entity's control affect the entity's ability to complete 
implementation within the original deadlines.'' \54\ Given the 
complexities and potential novelty of steps applicable entities may 
take to mitigate the risks of GMDs, we agree with NERC that there 
should be a mechanism for allowing extensions of corrective action plan 
implementation deadlines. However, we would like to avoid unnecessary 
delay in implementing protection against GMD threats. Moreover, we are 
not persuaded that the proposal is supported by the precedent cited by 
NERC because the Reliability Standards NERC cites are distinguishable.
---------------------------------------------------------------------------

    \54\ NERC Petition at 22.
---------------------------------------------------------------------------

    47. NERC maintains that provisions similar to Requirement R7.4 are 
found in two Reliability Standards. NERC states that Reliability 
Standard FAC-003-4, Requirement R7, allows a registered entity to 
modify its annual vegetation work plan in light of circumstances beyond 
the entity's control. While Reliability Standard FAC-003-4, Requirement 
R7 permits modifications to annual vegetation work plans, the 
modifications cannot result in a registered entity's failure to avoid 
the damage contemplated by Requirement R7--vegetation encroachment: 
``Modifications to the work plan in response to changing conditions or 
to findings from vegetation inspections may be made (provided they do 
not allow encroachment of vegetation into the [minimum vegetation 
clearance distance]) and must be documented.'' In contrast, proposed 
Requirement R7.4 could enable applicable entities to delay mitigation 
that would avoid the damage of known GMD vulnerabilities. Accordingly, 
the extensions of time permitted by Reliability Standard FAC-003-4, 
because they may not result in the damage contemplated by the 
Reliability Standard, are not comparable, as NERC asserts, to failure 
to mitigate an existing GMD vulnerability in a timely manner.
    48. NERC also compares the corrective action plan provision in 
proposed Reliability Standard TPL-007-2 with Reliability Standard PRC-
004-5(i), Requirement R5, which allows ``a responsible entity that owns 
a Protection System component that caused a Misoperation . . . [to] 
either develop a Corrective Action Plan or explain in a declaration why 
corrective actions are beyond the entity's control or would not improve 
reliability.'' We are not persuaded that NERC's proposal to allow self-
declared extensions of time in Requirement R7.4 is supported by the 
quoted language in Reliability Standard PRC-004-5(i), Requirement R5 
because Requirement R5 does not allow for extensions of time. Rather, 
Requirement R5 permits the registered entity to declare that it cannot 
carry out corrective actions (e.g., because the misoperation occurred 
on facilities it does not own or control) or because the corrective 
action would not improve Bulk-Power System reliability. Moreover, the 
Guidelines and Technical Basis document accompanying Reliability 
Standard PRC-004-5(i) concludes by stating that a ``declaration that no 
further corrective actions will be taken is expected to be used 
sparingly.''
    49. Given these concerns, the Commission is considering two options 
in response to Requirement R7.4 of the proposed Reliability Standard. 
The Commission seeks comment from NERC and other interested entities on 
each of these proposals.
    50. Under the first option, the Commission would, pursuant to 
section 215(d)(5) of the FPA, direct NERC to modify the proposed 
Reliability Standard to comport with Order No. 830, by requiring that 
NERC and the Regional Entities, as appropriate, consider requests for 
extension of time on a case-by-case basis.\55\ Under this option, 
responsible entities seeking an extension would submit the information 
required by proposed Requirement R7.4 to NERC and the Regional Entities 
for their consideration of the request. The Commission would also 
direct NERC to prepare and submit a report addressing the disposition 
of any such requests, as well as information regarding how often and 
why applicable entities are exceeding corrective action plan deadlines 
following implementation of the proposed Reliability Standard.\56\ 
Under such a directive, NERC would submit the report within 12 months 
from the date on which applicable entities must comply with the last 
requirement of Reliability Standard TPL-007-2. Following receipt of the 
report, the Commission would determine whether further action is 
necessary.
---------------------------------------------------------------------------

    \55\ Order No. 830, 156 FERC ] 61,215 at P 102.
    \56\ Under proposed Requirement R7.4, when an applicable entity 
extends a corrective action plan deadline, it must revise the 
corrective action plan to explain the ``[c]ircumstances causing the 
delay for fully or partially implementing the selected actions.'' 
NERC could use this information to populate the proposed report.
---------------------------------------------------------------------------

    51. Under the second option, the Commission would approve proposed 
Requirement R7.4 but also direct NERC to prepare and submit a report 
regarding how often and why applicable entities are exceeding 
corrective action plan deadlines following implementation of the 
proposed Reliability Standard. Under such a directive, NERC would 
submit the report within 12 months from the date on which applicable 
entities must comply with the last requirement of Reliability Standard 
TPL-007-2. Following receipt of the report, the Commission would 
determine whether further action is necessary.

III. Information Collection Statement

    52. The collection of information contained in this Notice of 
Proposed Rulemaking is subject to review by the Office of Management 
and Budget (OMB) under section 3507(d) of the Paperwork Reduction Act 
of 1995.\57\ OMB's regulations require review and approval of certain 
information collection requirements imposed by agency rules.\58\ Upon 
approval of a collection of information, OMB will assign an OMB control 
number and an expiration date. Respondents subject to the information 
collection requirements of a 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.
---------------------------------------------------------------------------

    \57\ 44 U.S.C. 3507(d) (2012).
    \58\ 5 CFR part 1320 (2017).
---------------------------------------------------------------------------

    53. We solicit comments on the Commission's need for this 
information, whether the information will have practical utility, the 
accuracy of the burden estimates, ways to enhance the quality, utility, 
and clarity of the

[[Page 23862]]

information to be collected or retained, and any suggested methods for 
minimizing respondents' burden, including the use of automated 
information techniques. Specifically, the Commission asks that any 
revised burden or cost estimates submitted by commenters be supported 
by sufficient detail to understand how the estimates are generated.
    54. The Commission proposes to approve proposed Reliability 
Standard TPL-007-2, which would replace currently-effective Reliability 
Standard TPL-007-1. When compared to Reliability Standard TPL-007-1, 
proposed Reliability Standard TPL-007-2 maintains the current 
information collection requirements, modifies existing Requirement R7 
and adds new requirements in Requirements R8 through R12.
    55. Proposed Reliability Standard TPL-007-2 includes new corrective 
action plan development and implementation deadlines in Requirement R7, 
new supplemental GMD vulnerability and transformer thermal impact 
assessments in Requirements R8 through R10, and requirements for 
applicable entities to gather magnetometer and GIC monitored data in 
Requirements R11 and R12. Deadlines in Requirement R7 for the 
development and implementation of corrective action plans would only 
change the timeline of such documentation and are not expected to 
revise the burden to applicable entities. The burden estimates for new 
Requirements R8 through R10 are expected to be similar to the burden 
estimates for Requirements R4 through R6 in currently-effective 
Reliability Standard TPL-007-1 due to the closely-mirrored 
requirements.\59\ The Commission expects that only 25 percent or fewer 
of transmission owners and generator owners would have to complete a 
supplemental transformer thermal impact assessment per Requirement R10. 
Requirements R11 and R12 require applicable entities to have a process 
to collect GIC and magnetometer data from meters in planning 
coordinator planning areas.
---------------------------------------------------------------------------

    \59\ NERC Petition at 15-17.
---------------------------------------------------------------------------

    Public Reporting Burden: The burden and cost estimates below are 
based on the changes to the reporting and recordkeeping burden imposed 
by proposed Reliability Standard TPL-007-2. Our estimates for the 
number of respondents are based on the NERC Compliance Registry as of 
3/9/2018, which indicates there are 183 entities registered as 
transmission planner (TP), 65 planning coordinators (PC), 330 
transmission owners (TO), 944 generator owners (GO) within the United 
States. However, due to significant overlap, the total number of unique 
affected entities (i.e., entities registered as a transmission planner, 
planning coordinator, transmission owner or generator owner, or some 
combination of these functional entities) is 1,130 entities. This 
includes 188 entities that are registered as a transmission planner or 
planning coordinator (applicability for Requirements R7 to R9 and R11 
to R12), and 1,119 entities registered as a transmission or generation 
owner (applicability for Requirement R10). Given the assumption above, 
there is an expectation that at most only 25 percent of the 1,119 
entities (or 280 entities) will have to complete compliance activities 
for Requirement R10. The estimated burden and cost are as follow.\60\
---------------------------------------------------------------------------

    \60\ Hourly costs are based on the Bureau of Labor Statistics 
(BLS) figures for May 2017 (Sector 22, Utilities) for wages (https://www.bls.gov/oes/current/naics2_22.htm) and benefits for December 
2017 (https://www.bls.gov/news.release/ecec.nr0.htm). We estimate 
that an Electrical Engineer (NAICS code 17-2071) would perform the 
functions associated with reporting requirements, at an average 
hourly cost (for wages and benefits) of $66.90. The functions 
associated with recordkeeping requirements, we estimate, would be 
performed by a File Clerk (NAICS code 43-4071) at an average hourly 
cost of $32.04 for wages and benefits.
    The estimated burden and cost are in addition to the burden and 
cost that are associated with the existing requirements in 
Reliability Standard TPL-007-1 (and in the current OMB-approved 
inventory), which would continue under proposed Reliability Standard 
TPL-007-2.

                                             FERC-725N, Changes Proposed in NOPR in Docket No. RM18-8 61 62
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                     Total annual
                                  Number and type of   Annual number of     Total number of     Average burden     burden hours and        Cost per
         Requirement (R)              respondents        responses per         responses      hours and cost per   total annual cost    respondent ($)
                                                          respondent                               response            (rounded)
                                  (1)...............  (2)...............  (1) x (2) = (3)...  (4)...............  (3) x (4) = (5)...  (5) / (1)
--------------------------------------------------------------------------------------------------------------------------------------------------------
R1 through R6...................  No change.........  No change.........  No change.........  No change.........  No change.........  No change.
R7..............................  188...............  1/5 (once for       37.6..............  Rep. 5 hrs.,        Rep. 188            Rep. 1 hr., $66.9;
                                  (PC and TP).......   every five year                         $334.5; RK 5        hrs.,$12,577; RK    RK 1 hr., $32.04.
                                                       study).                                 hrs., $160.2.       188 hrs., $6,023.
R8..............................  188...............  1/5 (once for       37.6..............  Rep., 27 hrs.,      Rep. 1,015 hrs.,    Rep., 5.4 hrs.,
                                  (PC and TP).......   every five year                         $1,806.30;RK, 21    $67,917; RK 790     $361.26; RK 4.2
                                                       study).                                 hrs., $672.84.      hrs., $25,299.      hrs., $134.57.
R9..............................  188...............  1/5 (once for       37.6..............  Rep. 9 hrs.,        Rep. 338 hrs.;      Rep. 1.8 hrs.,
                                  (PC and TP).......   every five year                         $602.10.            $22,639 RK 263      $120.42; RK 1.4
                                                       study).                                RK 7 hrs., $224.28   hrs., $8,432.       hrs., $44.85.
R10.............................  280...............  1/5 (once for       56................  Rep. 22 hrs.,       Rep. 1,232 hrs.,    Rep. ;4.4 hrs.,
                                  (25% of 1,119)....   every five year                         $1,471.8;.          $82,421; RK 1,008   $294.36; RK 3.6
                                  (GO and TO).......   study).                                RK 18 hrs. $576.72   hrs., $32,296.      hrs., $115.34.
R11.............................  188...............  1 (on-going         188...............  Rep. 10 hrs.,       Rep. 1,880 hrs.,    Rep. 10 hrs.,
                                  (PC and TP).......   reporting).                             $669;.              $125,772; RK        $669; RK 10 hrs.,
                                                                                              RK. 10 hrs.,         1,880 hrs.,         $320.40.
                                                                                               $320.40.            $60,235.
R12.............................  188...............  1 (on-going         188...............  Rep. 10 hrs., $669  Rep. 1,880 hrs.     Rep. 10 hrs.,
                                  (PC and TP).......   reporting).                            RK. hrs 320.4.....   $125,772; RK        $669; RK 10 hrs.,
                                                                                                                   1,880 hrs.,         $320.40.
                                                                                                                   $60,235.
                                                                                             -----------------------------------------------------------

[[Page 23863]]

 
    Total Additional Hrs. and     ..................  ..................  ..................  ..................  Rep., 6,533.......  ..................
     Cost (rounded), due to NOPR                                                                                  hrs., $437,057; RK
     in RM18-8.                                                                                                    6,009.
                                                                                                                  hrs., $192,528....
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Title: FERC-725N, Mandatory Reliability Standards: TPL Reliability 
Standards.
---------------------------------------------------------------------------

    \61\ Rep. = reporting requirements; RK = recordkeeping 
requirements.
    \62\ For each Reliability Standard, the Measure shows the 
acceptable evidence (Reporting Requirement) for the associated 
Requirement (R numbers), and the Compliance section details the 
related Recordkeeping Requirement.
---------------------------------------------------------------------------

    Action: Proposed revisions to an existing collection of 
information.
    OMB Control No: 1902-0264.
    Respondents: Business or other for profit, and not for profit 
institutions.
    Frequency of Responses: \63\ Every five years (for Requirement R7-
R10), annually (for Requirement R11 and R12).
---------------------------------------------------------------------------

    \63\ The frequency of Requirements R1 through R6 in proposed 
Reliability Standard TPL-007-2 is unchanged from the existing 
requirements in Reliability Standard TPL-007-1.
---------------------------------------------------------------------------

    Necessity of the Information: Proposed Reliability Standard TPL-
007-2, if adopted, would implement the Congressional mandate of the 
Energy Policy Act of 2005 to develop mandatory and enforceable 
Reliability Standards to better ensure the reliability of the nation's 
Bulk-Power System. Specifically, these requirements address the threat 
posed by GMD events to the Bulk-Power System and conform to the 
Commission's directives to modify Reliability Standard TPL-007-1 as 
directed in Order No. 830.
    Internal review: The Commission has reviewed proposed Reliability 
Standard TPL-007-2, and made a determination that its action is 
necessary to implement section 215 of the FPA. The Commission has 
assured itself, by means of its internal review, that there is 
specific, objective support for the burden estimates associated with 
the information requirements.
    56. Interested persons may obtain information on the reporting 
requirements by contacting the Federal Energy Regulatory Commission, 
Office of the Executive Director, 888 First Street NE, Washington, DC 
20426 [Attention: Ellen Brown, email: DataClearance@ferc.gov, phone: 
(202) 502-8663, fax: (202) 273-0873].
    Comments concerning the proposed collection of information and the 
associated burden estimate should be sent to the Commission in this 
docket and may also be sent to the Office of Information and Regulatory 
Affairs, Office of Management and Budget, 725 17th Street NW, 
Washington, DC 20503 [Attention: Desk Officer for the Federal Energy 
Regulatory Commission]. Due to security concerns, comments should be 
sent electronically to the following email address: 
oira_submission@omb.eop.gov. Comments submitted to OMB should refer to 
FERC-725N and OMB Control No. 1902-0264.

IV. Environmental Analysis

    57. The Commission is required to prepare an Environmental 
Assessment or an Environmental Impact Statement for any action that may 
have a significant adverse effect on the human environment.\64\ The 
Commission has categorically excluded certain actions from this 
requirement as not having a significant effect on the human 
environment. Included in the exclusion are rules that are clarifying, 
corrective, or procedural or that do not substantially change the 
effect of the regulations being amended.\65\ The actions proposed here 
fall within this categorical exclusion in the Commission's regulations.
---------------------------------------------------------------------------

    \64\ Regulations Implementing the National Environmental Policy 
Act of 1969, Order No. 486, FERC Stats. & Regs. ] 30,783 (1987).
    \65\ 18 CFR 380.4(a)(2)(ii) (2017).
---------------------------------------------------------------------------

V. Regulatory Flexibility Act

    58. The Regulatory Flexibility Act of 1980 (RFA) \66\ generally 
requires a description and analysis of proposed rules that will have 
significant economic impact on a substantial number of small entities. 
The definition of small business is provided by the Small Business 
Administration (SBA) at 13 CFR 121.201. The threshold for a small 
utility (using SBA's sub-sector 221) is based on the number of 
employees for a concern and its affiliates. As discussed above, 
proposed Reliability Standard TPL-007-2 would apply to a total of 1,130 
unique planning coordinators, transmission planners, transmission 
owners, and generation owners.\67\ A small utility (and its affiliates) 
is defined as having no more than the following number of employees:
---------------------------------------------------------------------------

    \66\ 5 U.S.C. 601-12 (2012).
    \67\ In the NERC Registry, there are approximately 65 PCs, 188 
TPs, 944 GOs, and 330 TOs (in the United States), which will be 
affected by this NOPR. Because some entities serve in more than one 
role, these figures involve some double counting.
---------------------------------------------------------------------------

 For planning coordinators, transmission planners, and 
transmission owners (NAICS code 221121, Electric Bulk Power 
Transmission and Control), a maximum of 500 employees
 for generator owners, a maximum of 750 employees.\68\
---------------------------------------------------------------------------

    \68\ The maximum number of employees for a generator owner (and 
its affiliates) to be ``small'' varies from 250 to 750 employees, 
depending on the type of generation (e.g., hydroelectric, nuclear, 
fossil fuel, wind). For this analysis, we use the most conservative 
threshold of 750 employees.
---------------------------------------------------------------------------

    59. The total cost to all entities (large and small) is $629,585 
annually (or an average of $1,345.27 for each of the estimated 468 
entities affected annually). For the estimated 280 generator owners and 
transmission owners affected annually, the average cost would be 
$409.70 per year. For the estimated 188 planning coordinators and 
transmission planners, the estimated average annual cost would be 
$2,738.84. The estimated annual cost to each affected entity varies 
from $409.70 to $2,738.84 and is not considered significant.
    60. Accordingly, the Commission certifies that the proposals 
contained in this NOPR will not have a significant economic impact on a 
substantial number of small entities. The Commission seeks comment on 
this certification.

[[Page 23864]]

VI. Comment Procedures

    61. The Commission invites interested persons to submit comments on 
the matters and issues proposed in this notice to be adopted, including 
any related matters or alternative proposals that commenters may wish 
to discuss. Comments are due July 23, 2018. Comments must refer to 
Docket No. RM18-8-000, and must include the commenter's name, the 
organization they represent, if applicable, and their address in their 
comments.
    62. The Commission encourages comments to be filed electronically 
via the eFiling link on the Commission's website at http://www.ferc.gov. The Commission accepts most standard word processing 
formats. Documents created electronically using word processing 
software should be filed in native applications or print-to-PDF format 
and not in a scanned format. Commenters filing electronically do not 
need to make a paper filing.
    63. Commenters that are not able to file comments electronically 
must send an original of their comments to: Federal Energy Regulatory 
Commission, Secretary of the Commission, 888 First Street NE, 
Washington, DC 20426.
    64. All comments will be placed in the Commission's public files 
and may be viewed, printed, or downloaded remotely as described in the 
Document Availability section below. Commenters on this proposal are 
not required to serve copies of their comments on other commenters.

VII. Document Availability

    65. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
internet through the Commission's Home Page (http://www.ferc.gov) and 
in the Commission's Public Reference Room during normal business hours 
(8:30 a.m. to 5:00 p.m. Eastern time) at 888 First Street NE, Room 2A, 
Washington DC 20426.
    66. From the Commission's Home Page on the internet, this 
information is available on eLibrary. The full text of this document is 
available on eLibrary in PDF and Microsoft Word format for viewing, 
printing, and/or downloading. To access this document in eLibrary, type 
the docket number, excluding the last three digits of this document in 
the docket number field.
    67. User assistance is available for eLibrary and the Commission's 
website during normal business hours from the Commission's Online 
Support at 202-502-6652 (toll free at 1-866-208-3676) or email at 
ferconlinesupport@ferc.gov, or the Public Reference Room at 202-502-
8371, TTY 202-502-8659. Email the Public Reference Room at 
public.referenceroom@ferc.gov.

    By direction of the Commission.

    Issued: May 17, 2018.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2018-11001 Filed 5-22-18; 8:45 am]
 BILLING CODE 6717-01-P



                                                 23854                 Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 project vicinity, and on any project                    Reliability Standard to require                       a risk of voltage instability or voltage
                                                 website, the approved recreation plan,                  applicable entities to develop and                    collapse, as well as equipment loss or
                                                 any recreation-related reports approved                 implement corrective action plans to                  failure.
                                                 by the Commission, and the entire                       mitigate supplemental GMD event                          2. Proposed Reliability Standard TPL–
                                                 license instrument, properly indexed for                vulnerabilities.                                      007–2 modifies currently-effective
                                                 easy reference to the license conditions                                                                      Reliability Standard TPL–007–1
                                                                                                         DATES:  Comments are due July 23, 2018.
                                                 designated for publications in § 8.1.                                                                         (Transmission System Planned
                                                                                                         ADDRESSES:   Comments, identified by                  Performance for Geomagnetic
                                                 § 8.11   [Removed]                                      docket number, may be filed                           Disturbance Events) by requiring
                                                 ■   4. Remove § 8.11.                                   electronically at http://www.ferc.gov in              applicable entities to: (1) Conduct
                                                                                                         acceptable native applications and                    supplemental GMD vulnerability
                                                 PART 141—STATEMENTS AND                                 print-to-PDF, but not in scanned or                   assessments and thermal impact
                                                 REPORTS (SCHEDULES)                                     picture format. For those unable to file              assessments; (2) obtain GIC and
                                                                                                         electronically, comments may be filed                 magnetometer data; and (3) meet certain
                                                 ■ 5. The authority citation for part 141
                                                                                                         by mail or hand-delivery to: Federal                  deadlines for the development and
                                                 continues to read as follows:
                                                                                                         Energy Regulatory Commission,                         completion of tasks in corrective action
                                                   Authority: 15 U.S.C. 79; 15 U.S.C. 717–               Secretary of the Commission, 888 First                plans.
                                                 717z; 16 U.S.C. 791a–828c, 2601–2645; 31                Street NE, Washington, DC 20426. The                     3. The Commission proposes to
                                                 U.S.C. 9701; 42 U.S.C. 7101–7352.                       Comment Procedures Section of this                    approve proposed Reliability Standard
                                                 § 141.14   [Removed]                                    document contains more detailed filing                TPL–007–2 as it largely addresses (with
                                                 ■ 6. Remove 141.14.
                                                                                                         procedures.                                           one exception discussed below) the
                                                 [FR Doc. 2018–11002 Filed 5–22–18; 8:45 am]             FOR FURTHER INFORMATION CONTACT:                      directives in Order No. 830 to modify
                                                 BILLING CODE 6717–01–P                                  Justin Kelly (Technical Information),                 currently-effective Reliability Standard
                                                                                                           Office of Electric Reliability, Federal             TPL–007–1: (1) To revise the benchmark
                                                                                                           Energy Regulatory Commission, 888                   GMD event definition, as it pertains to
                                                 DEPARTMENT OF ENERGY                                      First Street NE, Washington, DC                     the required GMD Vulnerability
                                                                                                           20426, Telephone: (301) 665–1394,                   Assessments and transformer thermal
                                                 Federal Energy Regulatory                                 Justin.Kelly@ferc.gov.                              impact assessments, so that the
                                                 Commission                                              Matthew Vlissides (Legal Information),                definition is not based solely on
                                                                                                           Office of the General Counsel, Federal              spatially-averaged data; (2) to require
                                                 18 CFR Part 40                                            Energy Regulatory Commission, 888                   the collection of necessary GIC
                                                                                                           First Street NE, Washington, DC                     monitoring and magnetometer data; and
                                                 [Docket No. RM18–8–000]
                                                                                                           20426, Telephone: (202) 502–8408,                   (3) to include a one-year deadline for
                                                 Geomagnetic Disturbance Reliability                       Matthew.Vlissides@ferc.gov.                         the completion of corrective action
                                                 Standard                                                                                                      plans and two- and four-year deadlines
                                                                                                         SUPPLEMENTARY INFORMATION:
                                                                                                                                                               to complete mitigation actions involving
                                                 AGENCY: Federal Energy Regulatory                         1. Pursuant to section 215 of the
                                                                                                                                                               non-hardware and hardware mitigation,
                                                 Commission, Department of Energy.                       Federal Power Act (FPA), the
                                                                                                                                                               respectively.
                                                                                                         Commission proposes to approve                           4. While proposed Reliability
                                                 ACTION: Notice of proposed rulemaking.
                                                                                                         Reliability Standard TPL–007–2                        Standard TPL–007–2 addresses the first
                                                 SUMMARY:   The Federal Energy                           (Transmission System Planned                          directive in Order No. 830 by requiring
                                                 Regulatory Commission (Commission)                      Performance for Geomagnetic                           applicable entities to conduct
                                                 proposes to approve Reliability                         Disturbance Events).1 The Commission                  supplemental GMD vulnerability and
                                                 Standard TPL–007–2 (Transmission                        also proposes to approve the associated               thermal impact assessments, which do
                                                 System Planned Performance for                          violation risk factors and violation                  not rely solely upon on spatially-
                                                 Geomagnetic Disturbance Events). The                    severity levels, implementation plan,                 averaged data, the proposed Reliability
                                                 North American Electric Reliability                     and effective date for proposed                       Standard does not require applicable
                                                 Corporation (NERC), the Commission-                     Reliability Standard TPL–007–2. The                   entities to mitigate vulnerabilities
                                                 certified Electric Reliability                          North American Electric Reliability                   identified pursuant to such a
                                                 Organization, submitted proposed                        Corporation (NERC), the Commission-                   supplemental assessment.3 NERC’s
                                                 Reliability Standard TPL–007–2 for                      certified Electric Reliability                        proposal to modify the benchmark, but
                                                 Commission approval. Geomagnetic                        Organization (ERO), submitted proposed                then allow entities the discretion to take
                                                 disturbance events (GMDs) occur when                    Reliability Standard TPL–007–2 for                    corrective action based solely on the
                                                 the sun ejects charged particles that                   approval in response to a Commission                  results of the spatially-averaged data
                                                 interact with and cause changes in the                  directive in Order No. 830.2                          while taking under advisement (‘‘an
                                                 earth’s magnetic fields. Proposed                       Geomagnetic disturbance events (GMDs)                 evaluation of possible actions’’) the
                                                 Reliability Standard TPL–007–2                          occur when the sun ejects charged                     results of the supplemental assessment,
                                                 modifies currently-effective Reliability                particles that interact with and cause                does not satisfy the clear intent of the
                                                 Standard TPL–007–1 by requiring                         changes in the earth’s magnetic fields.               Commission’s directive. Moreover,
                                                 applicable entities to: Conduct                         This interaction can cause                            Order No. 830 reiterated the directive in
                                                 supplemental GMD vulnerability                          geomagnetically induced currents (GICs)               Order No. 779 that NERC develop a
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 assessments and thermal impact                          to flow in an electric power system and,              second stage GMD Reliability Standard
                                                 assessments; obtain geomagnetically                     depending on various factors affecting                requiring GMD vulnerability
                                                 induced current and magnetometer data;                  the intensity of the current, can result in
                                                 and meet certain deadlines for the                                                                              3 See Order No. 830, 156 FERC ¶ 61,215 at P 44
                                                                                                           1 16 U.S.C. 824o (2012).
                                                 development and completion of tasks in                                                                        (directing NERC to ‘‘develop revisions to the
                                                                                                           2 Reliability Standard for Transmission System      benchmark GMD event definition so that the
                                                 corrective action plans. In addition, the               Planned Performance for Geomagnetic Disturbance       reference peak geoelectric field amplitude
                                                 Commission proposes to direct NERC to                   Events, Order No. 830, 156 FERC ¶ 61,215 (2016),      component is not based solely on spatially-averaged
                                                 develop and submit modifications to the                 reh’g denied, 158 FERC ¶ 61,041 (2017).               data’’).



                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00028   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                                        Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules                                          23855

                                                 assessments and that ‘‘owners and                       I. Background                                         discussed above. As explained in the
                                                 operators [ ] develop and implement a                                                                         Background section of the proposed
                                                                                                         A. Section 215 and Mandatory
                                                 plan to protect against instability,                                                                          Reliability Standard, ‘‘[d]uring a GMD
                                                                                                         Reliability Standards
                                                 uncontrolled separation, or cascading                                                                         event, geomagnetically-induced currents
                                                 failures of the Bulk-Power System.’’4                     6. Section 215 of the FPA requires the              (GIC) may cause transformer hot-spot
                                                 Accordingly, as discussed below, the                    Commission to certify an ERO to                       heating or damage, loss of Reactive
                                                 Commission proposes to direct that                      develop mandatory and enforceable                     Power sources, increased Reactive
                                                 NERC, pursuant to section 215(d)(5) of                  Reliability Standards, subject to                     Power demand, and Misoperation(s), the
                                                 the FPA, develop and submit                             Commission review and approval. Once                  combination of which may result in
                                                 modifications to the Reliability                        approved, the Reliability Standards may               voltage collapse and blackout.’’
                                                 Standard to require applicable entities                 be enforced in the United States by the
                                                                                                         ERO, subject to Commission oversight,                 C. Currently-Effective Reliability
                                                 to develop and implement corrective
                                                                                                         or by the Commission independently.8                  Standard TPL–007–1 and Order No. 830
                                                 action plans to mitigate vulnerabilities
                                                 revealed by conducting supplemental                     B. GMD Primer                                         1. Currently-Effective Reliability
                                                 GMD vulnerability assessments.5 The                                                                           Standard TPL–007–1
                                                                                                            7. GMD events occur when the sun
                                                 Commission proposes to direct NERC to                                                                            9. Reliability Standard TPL–007–1
                                                                                                         ejects charged particles that interact and
                                                 submit the modified Reliability                                                                               consists of seven requirements and
                                                                                                         cause changes in the earth’s magnetic
                                                 Standard for approval within 12 months                                                                        applies to planning coordinators,
                                                                                                         fields.9 Once a solar particle is ejected,
                                                 from the effective date of Reliability                                                                        transmission planners, transmission
                                                                                                         it can take between 17 to 96 hours
                                                 Standard TPL–007–2.                                                                                           owners and generation owners who own
                                                                                                         (depending on its energy level) to reach
                                                    5. In addition, while proposed                                                                             or whose planning coordinator area or
                                                                                                         earth.10 A geoelectric field is the electric
                                                 Reliability Standard TPL–007–2                                                                                transmission planning area includes a
                                                                                                         potential (measured in volts per
                                                 imposes deadlines for the preparation                                                                         power transformer with a high side,
                                                                                                         kilometer (V/km)) on the earth’s surface
                                                 and completion of tasks in corrective                                                                         wye-grounded winding connected at
                                                                                                         and is directly related to the rate of
                                                 action plans, Requirement R7.4 of the                                                                         200 kV or higher.
                                                                                                         change of the magnetic fields.11 The
                                                 proposed Reliability Standard also                                                                               10. Requirement R1 requires planning
                                                                                                         geoelectric field has an amplitude and
                                                 permits applicable entities to exceed                                                                         coordinators and transmission planners
                                                                                                         direction and acts as a voltage source
                                                 deadlines for completing corrective                                                                           (i.e., ‘‘responsible entities’’) to
                                                                                                         that can cause GICs to flow on long
                                                 action plan tasks when ‘‘situations                                                                           determine the individual and joint
                                                                                                         conductors, such as transmission
                                                 beyond the control of the responsible                                                                         responsibilities in the planning
                                                                                                         lines.12 The magnitude of the geoelectric
                                                 entity [arise].’’ As discussed below, the                                                                     coordinator’s planning area for
                                                                                                         field amplitude is impacted by local
                                                 Commission seeks comment on two                                                                               maintaining models and performing
                                                                                                         factors such as geomagnetic latitude and
                                                 options that it is considering regarding                                                                      studies needed to complete the GMD
                                                                                                         local earth conductivity.13 Geomagnetic
                                                 proposed Requirement R7.4. Under the                                                                          vulnerability assessment required in
                                                                                                         latitude is the proximity to earth’s
                                                 first option, the Commission would,                                                                           Requirement R4. Requirement R2
                                                                                                         magnetic north and south poles, as
                                                 pursuant to section 215(d)(5) of the                                                                          requires responsible entities to maintain
                                                                                                         opposed to earth’s geographic poles.14
                                                 FPA, direct NERC to modify the                                                                                system models and GIC system models
                                                                                                         Local earth conductivity is the ability of
                                                 Reliability Standard to bring the                                                                             needed to complete the GMD
                                                                                                         the earth’s crust to conduct electricity at
                                                 proposed standard into alignment with                                                                         vulnerability assessment required in
                                                                                                         a certain location to depths of hundreds
                                                 the Commission’s direction in Order No.                                                                       Requirement R4. Requirement R3
                                                                                                         of kilometers down to the earth’s
                                                 830, through a process whereby NERC                                                                           requires each responsible entity to have
                                                                                                         mantle. Local earth conductivity
                                                 considers extensions on a case-by-case                                                                        criteria for acceptable system steady
                                                                                                         impacts the magnitude (i.e., severity) of
                                                 basis informed by proposed                                                                                    state voltage performance for its system
                                                                                                         the geoelectric fields that are formed
                                                 Requirement R7.4.6 Under the second                                                                           during the GMD conditions described in
                                                                                                         during a GMD event by, all else being
                                                 option, the Commission would approve                                                                          Attachment 1 of Reliability Standard
                                                                                                         equal, a lower earth conductivity
                                                 proposed Requirement R7.4. Under both                                                                         TPL–007–1. Requirement R4 requires
                                                                                                         resulting in higher geoelectric fields.15
                                                 options, the Commission would direct                                                                          responsible entities to conduct a GMD
                                                                                                            8. GICs can flow in an electric power
                                                 NERC to prepare and submit a report                                                                           vulnerability assessment every 60
                                                                                                         system with varying intensity
                                                 regarding how often and why applicable                                                                        months using the benchmark GMD
                                                                                                         depending on the various factors
                                                 entities are exceeding corrective action                                                                      event described in Attachment 1.
                                                 plan deadlines following                                entities will be required to comply with is           Requirement R5 requires responsible
                                                 implementation of the proposed                          Requirement R7 54 months following the effective      entities to provide GIC flow
                                                 Reliability Standard. Under such a                      date of Reliability Standard TPL–007–2. If proposed   information, based on the benchmark
                                                 directive, NERC would submit the                        Reliability Standard TPL–007–2 becomes effective
                                                                                                         after January 1, 2021, the last requirement
                                                                                                                                                               GMD event definition, to be used in the
                                                 report within 12 months from the date                   applicable entities will be required to comply with   transformer thermal impact assessments
                                                 on which applicable entities must                       is Requirement R8 72 months following the             required in Requirement R6, to each
                                                 comply with the last requirement of                     effective date of Reliability Standard TPL–007–2.     transmission owner and generator
                                                 Reliability Standard TPL–007–2.7                           8 16 U.S.C. 824o(e).
                                                                                                                                                               owner that owns an applicable
                                                                                                            9 See NERC, 2012 Special Reliability Assessment

                                                                                                         Interim Report: Effects of Geomagnetic Disturbances
                                                                                                                                                               transformer within the applicable
                                                   4 Order No. 830, 156 FERC ¶ 61,215 at P 7.
                                                                                                         on the Bulk Power System at i–ii (February 2012),     planning area. Requirement R6 requires
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                   5 16 U.S.C. 824o(d)(5).
                                                   6 Order No. 830, 156 FERC ¶ 61,215 at P 102.
                                                                                                         http://www.nerc.com/files/2012GMD.pdf.                transmission owners and generator
                                                   7 NERC’s proposed implementation plan provides
                                                                                                            10 Id. at ii.
                                                                                                                                                               owners to conduct thermal impact
                                                                                                            11 Id.
                                                 that, depending on the effective date of Reliability                                                          assessments on solely and jointly owned
                                                                                                            12 Id.
                                                 Standard TPL–007–2, applicable entities will be
                                                                                                            13 NERC, Benchmark Geomagnetic Disturbance
                                                                                                                                                               applicable transformers where the
                                                 required to comply with the requirements of the                                                               maximum effective GIC value provided
                                                 proposed Reliability Standard on a staggered            Event Description, Docket No. 15–11–000, at 4
                                                 schedule. For example, if proposed Reliability          (filed June 28, 2016) (2016 NERC White Paper).        in Requirement R5 is 75 amps per phase
                                                 Standard TPL–007–2 becomes effective before                14 Id.                                             (A/phase) or greater. Requirement R7
                                                 January 1, 2021, the last requirement applicable           15 Id.                                             requires responsible entities to develop


                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00029   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                 23856                  Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 corrective action plans if the GMD                      latitudes (scaling factors between 0.1                  assessments and that potential
                                                 vulnerability assessment concludes that                 and 1.0) and earth conductivities                       mitigation strategies identified in
                                                 the system does not meet the                            (scaling factors between 0.21 and 1.17).                Reliability Standard TPL–007–1
                                                 performance requirements in Table 1 of                  NERC identified a reference                             include, but are not limited to, the
                                                 Reliability Standard TPL–007–1.                         geomagnetic field time series from an                   installation, modification or removal of
                                                   11. Calculation of the benchmark                      Ottawa, Ontario magnetic observatory                    transmission and generation facilities
                                                 GMD event, against which applicable                     during a 1989 GMD storm affecting                       and associated equipment.
                                                 entities must assess their facilities, is               Québec. NERC used this to estimate a                      15. In Order No. 830, the Commission
                                                 fundamental to compliance with                          time series (i.e., 10-second values over                also determined that Reliability
                                                 Reliability Standard TPL–007–1.                         a period of days) of the geoelectric field              Standard TPL–007–1 should be
                                                 Reliability Standard TPL–007–1,                         that is representative of what is                       modified. Specifically, Order No. 830
                                                 Requirement R3 states that ‘‘[e]ach                     expected to occur at 60 degree                          directed NERC to develop and submit
                                                 responsible entity, as determined in                    geomagnetic latitude during a 1-in-100                  modifications to Reliability Standard
                                                 Requirement R1, shall have criteria for                 year GMD event. Such a time series is                   TPL–007–1 concerning: (1) The
                                                 acceptable System steady state voltage                  used in some methods of calculating the                 calculation of the reference peak
                                                 performance for its System during the                   vulnerability of a transformer to damage                geoelectric field amplitude component
                                                 benchmark GMD event described in                        from heating caused by GIC.                             of the benchmark GMD event definition;
                                                 Attachment 1.’’                                            13. NERC used field measurements                     (2) the collection and public availability
                                                   Reliability Standard TPL–007–1,                       taken from the International Monitor for                of necessary GIC monitoring and
                                                 Attachment 1 states that the benchmark                  Auroral Geomagnetic Effects (IMAGE)                     magnetometer data; and (3) deadlines
                                                 GMD event is composed of four                           magnetometer chain, which consists of                   for completing corrective action plans
                                                 elements: (1) A reference peak                          39 magnetometer stations in Northern                    and the mitigation measures called for
                                                 geoelectric field amplitude of 8 V/km                   Europe, for the period 1993–2013 to                     in corrective action plans. Order No.
                                                 derived from statistical analysis of                    calculate the reference peak geoelectric                830 directed NERC to develop and
                                                 historical magnetometer data; (2) a                     field amplitude. As described in the                    submit these revisions for Commission
                                                 scaling factor to account for local                     2016 NERC White Paper, to arrive at a                   approval within 18 months of the
                                                 geomagnetic latitude; (3) a scaling factor              reference peak geoelectric field                        effective date of Order No. 830.
                                                 to account for local earth conductivity;                amplitude of 8 V/km, NERC ‘‘spatially                      16. With respect to the calculation of
                                                 and (4) a reference geomagnetic field                   averaged’’ four different station groups                the reference peak geoelectric field
                                                 time series or wave shape to facilitate                 each spanning a square area of                          amplitude component of the benchmark
                                                 time-domain analysis of GMD impact on                   approximately 500 km (roughly 310                       GMD event definition, Order No. 830
                                                 equipment. The product of the first                     miles) in width.18                                      expressed concern with relying solely
                                                 three elements is referred to as the                                                                            on spatial averaging in Reliability
                                                 regional peak geoelectric field                         2. Order No. 830                                        Standard TPL–007–1 because ‘‘the use
                                                 amplitude. The benchmark GMD event                         14. On January 21, 2015, NERC                        of spatial averaging in this context is
                                                 defines the geoelectric field values used               submitted for Commission approval                       new, and thus there is a dearth of
                                                 to compute GIC flows for a GMD                          Reliability Standard TPL–007–1 in                       information or research regarding its
                                                 vulnerability assessment, which is                      response to a directive in Order No. 779,               application or appropriate scale.’’ 20
                                                 required in Reliability Standard TPL–                   which directed NERC to develop one or                   While Order No. 830 directed that the
                                                 007–1.16                                                more Reliability Standards to address                   peak geoelectric field amplitude should
                                                   12. For the purpose of determining a                  the effects of GMD events on the electric               not be based solely on spatially-
                                                 benchmark event that specifies what                     grid.19 In Order No. 830, the                           averaged data, the Commission
                                                 severity GMD events a responsible                       Commission approved Reliability                         indicated that this ‘‘directive should not
                                                 entity must assess for potential impacts                Standard TPL–007–1, concluding that                     be construed to prohibit the use of
                                                 on the Bulk-Power System, NERC                          Reliability Standard TPL–007–1                          spatial averaging in some capacity,
                                                 determined that a 1-in-100 year GMD                     addressed the Commission’s directive                    particularly if more research results in
                                                 event would cause an 8 V/km reference                   by requiring applicable Bulk-Power                      a better understanding of how spatial
                                                 peak geoelectric field amplitude at 60                  System owners and operators to                          averaging can be used to reflect actual
                                                 degree north geomagnetic latitude using                 conduct, on a recurring five-year cycle,                GMD events.’’ 21
                                                 Québec’s earth conductivity.17 Scaling                 initial and ongoing vulnerability
                                                 factors (i.e., multiplying values) are                                                                          D. NERC Petition and Proposed
                                                                                                         assessments regarding the potential                     Reliability Standard TPL–007–2
                                                 applied to this reference peak                          impact of a benchmark GMD event on
                                                 geoelectric field amplitude to adjust the               the Bulk-Power System as a whole and                       17. NERC states that proposed
                                                 8 V/km value for different geomagnetic                  on Bulk-Power System components. In                     Reliability Standard TPL–007–2
                                                                                                         addition, the Commission determined                     enhances currently-effective Reliability
                                                    16 See Reliability Standard TPL–007–1,
                                                                                                         that Reliability Standard TPL–007–1                     Standard TPL–007–1 by addressing
                                                 Requirements R4 and R5. Reliability Standard TPL–
                                                 007–1 does not set a threshold amount of GIC flow       requires applicable entities to develop                 reliability risks posed by GMDs more
                                                 that would constitute a vulnerable transformer.         and implement corrective action plans                   effectively and implementing the
                                                 However, if a transformer is calculated to              to mitigate vulnerabilities identified                  directives in Order No. 830.22 NERC
                                                 experience a maximum effective GIC flow during a                                                                asserts that proposed Reliability
                                                 benchmark GMD event of a least 75 A/phase, a            through those recurring vulnerability
                                                                                                                                                                 Standard TPL–007–2 reflects the latest
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 thermal impact assessment of that transformer is
                                                 required. See Reliability Standard TPL–007–1,             18 ‘‘Spatial Averaging’’ refers to the averaging of
                                                                                                                                                                   20 Order  No. 830, 156 FERC ¶ 61,215 at P 45.
                                                 Requirement R6.                                         magnetometer readings over a geographic area. The
                                                    17 NERC used Québec as the location for the         standard drafting team averaged several (but not all)     21 Id. P 46.
                                                 reference peak 1-in-100 year GMD event because of       geomagnetic field readings taken by magnetometers          22 Proposed Reliability Standard TPL–007–2 is

                                                 its proximity to 60 degree geomagnetic latitude and     located within square geographical areas of 500 km      not attached to this Notice of Proposed Rulemaking
                                                 its well understood earth model. By creating scaling    per side.                                               (NOPR). Proposed Reliability Standard TPL–007–2
                                                 factors, each entity can scale this reference peak        19 Reliability Standards for Geomagnetic              is available on the Commission’s eLibrary
                                                 geoelectric field and geoelectric field time series     Disturbances, Order No. 779, 143 FERC ¶ 61,147,         document retrieval system in Docket No. RM18–8–
                                                 values to match its own expected field conditions.      reh’g denied, 144 FERC ¶ 61,113 (2013).                 000 and on the NERC website, www.nerc.com.



                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00030   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM       23MYP1


                                                                       Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules                                                     23857

                                                 in GMD understanding and provides a                     benchmark GMD event definition (12 V/                     23. Proposed Reliability Standard
                                                 technically sound and flexible approach                 km versus 8 V/km). These three new                     TPL–007–2 complies with the directives
                                                 to addressing the concerns discussed in                 requirements largely mirror existing                   in Order No. 830 by requiring, in
                                                 Order No. 830. NERC contends that the                   Requirements R4, R5, and R6 that                       addition to the benchmark GMD event
                                                 proposed modifications enhance                          currently apply, and would continue to                 vulnerability and thermal impact
                                                 reliability by expanding GMD                            apply, only to benchmark GMD                           assessments, supplemental GMD
                                                 vulnerability assessments to include                    vulnerability and transformer thermal                  vulnerability and thermal impact
                                                 severe, localized impacts and by                        impact assessments.24                                  assessments. The supplemental GMD
                                                 implementing deadlines and processes                       20. In addition, proposed Reliability               event definition in proposed Reliability
                                                 to maintain accountability in the                       Standard TPL–007–2 includes two other                  Standard TPL–007–2 contains a non-
                                                 development, completion, and revision                   new requirements, Requirements R11                     spatially-averaged reference peak
                                                 of corrective action plans developed to                 and R12, that require applicable entities              geoelectric field amplitude component
                                                 address identified vulnerabilities.                     to gather GIC monitored data                           of 12 V/km, in contrast to the 8 V/km
                                                 Further, NERC states that the proposed                  (Requirement R11) and magnetometer                     figure in the spatially-averaged
                                                 modifications improve the availability                  data (Requirement R12).                                benchmark GMD event definition. As
                                                 of GMD monitoring data that may be                         21. Proposed Reliability Standard                   NERC explains in its petition, the
                                                 used to inform GMD vulnerability                        TPL–007–2 modifies existing                            supplemental GMD event will be used
                                                 assessments.                                            Requirement R7 (corrective action                      to ‘‘represent conditions associated with
                                                    18. Proposed Reliability Standard                    plans) to create a one-year deadline for               localized enhancement of the
                                                 TPL–007–2 modifies currently-effective                  the development of corrective action                   geomagnetic field during a severe GMD
                                                 Reliability Standard TPL–007–1 by                       plans and two and four-year deadlines                  event for use in assessing GMD
                                                 requiring applicable entities to: (1)                   to complete actions involving non-                     impacts.’’ 26 Proposed Reliability
                                                 Conduct supplemental GMD                                hardware and hardware mitigation,                      Standard TPL–007–2 therefore
                                                 vulnerability and transformer thermal                   respectively, for vulnerabilities                      addresses the Commission’s directive to
                                                 impact assessments in addition to the                   identified in the benchmark GMD                        modify currently-effective Reliability
                                                 existing benchmark GMD vulnerability                    assessment. The proposed modifications                 Standard TPL–007–1 so that the
                                                 and transformer thermal impact                          to Requirement R7 include a provision                  benchmark GMD event does not rely
                                                 assessments required in Reliability                     allowing for extension of deadlines if                 solely on spatially-averaged data to
                                                 Standard TPL–007–1; (2) collect data                    ‘‘situations beyond the control of the                 calculate the reference peak geoelectric
                                                 from GIC monitors and magnetometers                     responsible entity determined in                       field amplitude.
                                                 as necessary to enable model validation                 Requirement R1 prevent                                    24. While proposed Reliability
                                                 and situational awareness; and (3)                      implementation of the [corrective action               Standard TPL–007–2 addresses the first
                                                 develop necessary corrective action                     plan] within the timetable for                         directive in Order No. 830 by requiring
                                                 plans within one year from the                          implementation.’’                                      applicable entities to conduct
                                                 completion of the benchmark GMD                                                                                supplemental GMD vulnerability and
                                                 vulnerability assessment, include a two-                II. Discussion                                         thermal impact assessments, the
                                                 year deadline for the implementation of                   22. Pursuant to section 215(d) of the                proposed Reliability Standard does not
                                                 non-hardware mitigation, and include a                  FPA, the Commission proposes to                        require applicable entities to mitigate
                                                 four-year deadline to complete                          approve Reliability Standard TPL–007–                  such vulnerabilities. Instead, proposed
                                                 hardware mitigation.23                                  2 as just, reasonable, not unduly                      Reliability Standard TPL–007–2,
                                                    19. In particular, proposed Reliability              discriminatory or preferential, and in                 Requirement R8.3 only requires
                                                 Standard TPL–007–2 modifies                             the public interest. Proposed Reliability              applicable entities to make ‘‘an
                                                 Requirements R1 (identification of                      Standard TPL–007–2 addresses the                       evaluation of possible actions designed
                                                 responsibilities) and R2 (system and GIC                directives in Order No. 830 to modify                  to reduce the likelihood or mitigate the
                                                 system models) to extend the existing                   currently-effective Reliability Standard               consequences and adverse impacts of
                                                 requirements pertaining to benchmark                    TPL–007–1: (1) To revise the benchmark                 the event(s)’’ if a supplemental GMD
                                                 GMD assessments to the proposed                         GMD event definition, as it pertains to                event is assessed to result in
                                                 supplemental GMD assessments.                           the required GMD Vulnerability                         Cascading.27 As discussed below,
                                                 Proposed Reliability Standard TPL–                      Assessments and transformer thermal                    NERC’s proposal differs significantly
                                                 007–2 adds the newly mandated                           impact assessments, so that the                        from Order No. 830 because the intent
                                                 supplemental GMD vulnerability and                      definition is not based solely on                      of the directive was not only to identify
                                                 transformer thermal impact assessments                  spatially-averaged data; (2) to require                vulnerabilities arising from localized
                                                 in new Requirements R8 (supplemental                    the collection of necessary GIC
                                                 GMD vulnerability assessment), R9 (GIC                  monitoring and magnetometer data; and                  monitoring and magnetometer data through a
                                                 flow information needed for                             (3) to include a one-year deadline for                 forthcoming NERC data request to applicable
                                                 supplemental GMD thermal impact                                                                                entities pursuant to Section 1600 of the NERC Rules
                                                                                                         the completion of corrective action                    of Procedure rather than through a Reliability
                                                 assessments) and R10 (supplemental                      plans and two and four-year deadlines                  Standard requirement. On February 7, 2018, NERC
                                                 GMD thermal impact assessments). The                    to complete mitigation actions involving               released a draft data request for a 45-day comment
                                                 supplemental GMD event definition                       non-hardware and hardware mitigation,                  period. After reviewing the comments, NERC
                                                 contains a higher, non-spatially-                                                                              indicates that it intends to seek authorization from
                                                                                                         respectively.25                                        the NERC Board of Trustees to issue the data
                                                 averaged reference peak geoelectric field
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                                                                                                                                request in August 2018. NERC Petition at 27.
                                                 amplitude component than the                               24 An exception is the qualifying threshold for        26 NERC Petition at 12.

                                                                                                         transformers required to undergo thermal impact           27 The NERC Glossary defines Cascading as
                                                   23 Unless otherwise indicated, the requirements       assessments: For the supplemental GMD assessment       ‘‘uncontrolled successive loss of System Elements
                                                 of proposed Reliability Standard TPL–007–2 are          the qualifying threshold for transformers is a         triggered by an incident at any location . . .
                                                 substantively the same as the requirements in           maximum effective GIC value of 85 A/phase while        [c]ascading results in widespread electric service
                                                 currently-effective Reliability Standard TPL–007–1.     the threshold for benchmark GMD event                  interruption that cannot be restrained from
                                                 Proposed Reliability Standard TPL–007–2 contains        assessments is 75 A/phase.                             sequentially spreading beyond an area
                                                 conforming and other non-substantive                       25 NERC states that it will address the directive   predetermined by studies.’’ Glossary of Terms Used
                                                 modifications that are not addressed in this NOPR.      in Order No. 830 on public dissemination of GIC        in NERC Reliability Standards (January 31, 2018).



                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00031   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                 23858                    Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 GMD events but also to mitigate such                       individual station measurements rather                geoelectric field is a 1-in-100 year
                                                 vulnerabilities. Moreover, Order No. 830                   than spatially-averaged measurements,                 extreme value determined using
                                                 reiterated the directive in Order No. 779                  and thus includes localized                           statistical analysis of historical
                                                 that NERC develop a second stage GMD                       enhancement of field strength above the               geomagnetic field data. NERC explains
                                                 Reliability Standard requiring GMD                         average value found in the benchmark                  that the fundamental difference in the
                                                 vulnerability assessments and that                         GMD event. NERC contends that the                     supplemental GMD event amplitude is
                                                 ‘‘owners and operators [ ] develop and                     supplemental GMD event thus                           that it is based on geomagnetic field
                                                 implement a plan to protect against                        addresses the directive in Order No. 830              observations taken at individual
                                                 instability, uncontrolled separation, or                   to revise Reliability Standard TPL–007–               observation stations (i.e., localized
                                                 cascading failures of the Bulk-Power                       1 to account for the effects of localized             measurements), instead of the spatially-
                                                 System.’’ 28 Accordingly, the                              peaks that could potentially affect                   averaged geoelectric fields used in the
                                                 Commission proposes to direct NERC,                        reliable operations.                                  benchmark GMD event. NERC states
                                                 pursuant to section 215(d)(5) of the                          27. NERC maintains that the                        that the result of the extreme value
                                                 FPA, to develop and submit                                 benchmark GMD event and                               analysis shows that the supplemental
                                                 modifications to the Reliability                           supplemental GMD event are similar in                 GMD event peak of 12 V/km is above
                                                 Standard to require applicable entities                    structure but the supplemental GMD                    the upper limit of the 95 percent
                                                 to develop and implement corrective                        event contains differences to account for             confidence interval for a 100-year
                                                 action plans to mitigate supplemental                      localized impacts. NERC explains that,                interval, while the same confidence
                                                 GMD event vulnerabilities. The                             like the benchmark GMD event, the                     interval with spatially-averaged data
                                                 Commission proposes to direct NERC to                      supplemental GMD event defines the                    (i.e., the benchmark GMD event) is 8
                                                 submit the modified Reliability                            geomagnetic and geoelectric field values              V/km.
                                                 Standard for approval within 12 months                     used to compute GIC flows for use in a                   30. NERC indicates that the corrective
                                                 from the effective date of Reliability                     GMD vulnerability assessment and is                   action plans mandated in Requirement
                                                 Standard TPL–007–2.                                        composed of four elements: (1)                        R7 continue to apply only if an entity
                                                    25. In addition, as discussed below,                    Reference peak geoelectric field                      has identified system performance
                                                 the Commission seeks comment on the                        amplitude of 12 V/km derived from                     issues through the benchmark GMD
                                                 need for Requirement R7.4 of proposed                      statistical analysis of historical                    vulnerability assessments. NERC
                                                 Reliability Standard TPL–007–2, which                      magnetometer data; (2) scaling factors to             explains that mitigation for assessed
                                                 allows applicable entities to extend                       account for local geomagnetic latitude;               supplemental GMD vulnerabilities are
                                                 corrective action plan implementation                      (3) scaling factors to account for local              addressed in proposed Requirement
                                                 deadlines, as compared to a process                        earth conductivity; and (4) a locally-                R8.3, which states that if a responsible
                                                 whereby NERC considers extensions on                       enhanced reference geomagnetic field                  entity concludes that there would be
                                                 a case-by-case basis, as suggested in                      time series or waveform to facilitate                 ‘‘Cascading’’ caused by the
                                                 Order No. 830.29 After reviewing the                       time-domain analysis of GMD impact on                 supplemental GMD event, the entity
                                                 comments, the Commission may                               equipment.                                            shall conduct an analysis of possible
                                                 approve the requirement but direct                            28. NERC states that the higher
                                                                                                                                                                  actions to reduce the likelihood or
                                                 NERC to prepare and submit a report                        reference peak geoelectric field
                                                                                                                                                                  mitigate the impacts of the event.31
                                                 concerning the use of corrective action                    amplitude (12 V/km compared to 8 V/
                                                                                                            km used in the benchmark GMD event)                      31. NERC states that the standard
                                                 plan deadline extensions as allowed                                                                              drafting team determined that requiring
                                                 under proposed Reliability Standard                        and local enhancements to the
                                                                                                            geomagnetic field time series or                      corrective action plans in response to
                                                 TPL–007–2, Requirement R7.4. Under                                                                               assessed supplemental GMD event
                                                 such a directive, NERC would submit                        waveform are distinguishing
                                                                                                            characteristics of the supplemental                   vulnerabilities would not be appropriate
                                                 the report within 12 months from the                                                                             at this time because the supplemental
                                                 date on which applicable entities must                     GMD event and are intended to
                                                                                                            represent conditions associated with                  GMD event definition uses a small
                                                 comply with the last requirement of                                                                              number of observed localized enhanced
                                                 Reliability Standard TPL–007–2.                            localized enhancement of the
                                                                                                            geomagnetic field during a severe GMD                 geoelectric field events that provide
                                                 Alternatively, pursuant to section                                                                               only general insight into the geographic
                                                 215(d)(5) of the FPA, the Commission                       event for use in assessing GMD
                                                                                                            impacts.30                                            size of localized events during severe
                                                 may direct NERC to modify the                                                                                    solar storms.32 NERC also contends that
                                                 Reliability Standard to remove                                29. In developing the supplemental
                                                                                                            GMD event, NERC indicates that the                    currently available modeling tools do
                                                 Requirement R7.4.                                                                                                not provide entities with capabilities to
                                                                                                            standard drafting team ensured that the
                                                 A. Corrective Action Plan for                              peak geoelectric field does not rely on               model localized enhancements within a
                                                 Supplemental GMD Event                                     spatial averaging of geomagnetic field                severe GMD event realistically.33 As a
                                                 Vulnerabilities                                            data. NERC states that, like the value in             result, NERC claims that applicable
                                                                                                            the existing benchmark GMD event, the                 entities may need to employ
                                                 NERC Petition                                                                                                    conservative approaches when
                                                                                                            supplemental GMD event peak
                                                    26. In requiring applicable entities to                                                                       performing the supplemental GMD
                                                 assess their vulnerabilities to a                             30 NERC states that the supplemental GMD event     vulnerability assessment, such as
                                                 supplemental GMD event, NERC states                        waveform is more severe than the benchmark GMD        applying the localized peak geoelectric
                                                 that geomagnetic fields during severe                      event waveform because it includes a five-minute      field over an entire planning area.34
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                                                                            duration enhanced peak up to 12 V/km for the
                                                 GMD events can be spatially                                reference earth model and 60 degree geomagnetic
                                                                                                                                                                  NERC states that, for these reasons,
                                                 non-uniform with higher and lower                          latitude. NERC Petition at 13. NERC explains that     ‘‘requiring mandatory mitigation may
                                                 strengths across a geographic region.                      this synthetic enhancement represents the observed    not provide effective reliability benefit
                                                 NERC explains that the supplemental                        localized, rapid magnetic field variation periods
                                                                                                            associated with ionospheric sources during some
                                                 GMD event was derived using                                severe GMD events. Id. NERC observes that such
                                                                                                                                                                    31 NERC     Petition at 23.
                                                                                                                                                                    32 Id.
                                                                                                            GMD conditions could result in increased
                                                   28 Order    No. 830, 156 FERC ¶ 61,215 at P 7.                                                                   33 Id.
                                                                                                            transformer heating for short durations during a
                                                   29 Id.   P 102.                                          severe GMD event due to increased GIC flows. Id.        34 Id.   at 24.



                                            VerDate Sep<11>2014      16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00032   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM      23MYP1


                                                                        Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules                                                 23859

                                                 or use resources optimally.’’ 35 NERC                   assist entities in assessing                          geographic footprint of the
                                                 contends that the approach used in                      vulnerabilities, make requiring                       supplemental GMD event could be
                                                 proposed Reliability Standard TPL–                      mitigation premature at this time; and                addressed by applicable entities through
                                                 007–2 for the supplemental GMD event                    (2) requiring only an evaluation of                   sensitivity analysis and other methods
                                                 provides entities with flexibility to                   possible actions for supplemental GMD                 within the planning studies. The
                                                 consider and select mitigation actions                  events that result in Cascading is similar            proposed Reliability Standard does not
                                                 based on their circumstances and is                     to the treatment of extreme events in                 prescribe how applicable entities must
                                                 similar to the approach used in                         Reliability Standard TPL–001–4                        perform such studies; so applicable
                                                 Reliability Standard TPL–001–4,                         (Transmission System Planning                         entities may incorporate this
                                                 Requirement R3.5 for extreme events.36                  Performance Requirements).                            uncertainty into their studies. Indeed,
                                                                                                            35. We believe, based on the                       Attachment 1 (Calculating Geoelectric
                                                 Commission Proposal                                     information before us, that it is                     Fields for the Benchmark and
                                                    32. NERC’s proposal not to require                   reasonable to require applicable entities             Supplemental GMD Events) of proposed
                                                 corrective action plans for supplemental                to mitigate supplemental GMD event                    Reliability Standard TPL–007–2 states
                                                 GMD event vulnerabilities differs                       vulnerabilities because, as NERC                      that ‘‘Planners have flexibility to
                                                 significantly from Order No. 830                        contends, the supplemental GMD event                  determine how to apply the localized
                                                 because the intent and clear meaning of                 ‘‘provides a technically justified method             peak geoelectric field over the planning
                                                 the directive was not only to identify                  of assessing vulnerabilities to the                   area in performing GIC calculations.’’ 43
                                                 vulnerabilities arising from localized                  localized peak effects of severe GMD                  Attachment 1 provides that an
                                                 GMD events but also to mitigate such                    events.’’ 40 While the supplemental                   applicable entity may apply the
                                                 vulnerabilities. Order No. 830 reiterated               GMD event possesses characteristics                   supplemental GMD event definition
                                                 the directive in Order No. 779 that                     that differentiate it from the benchmark              over the entire planning area; apply
                                                 NERC develop a second stage GMD                         GMD event (i.e., geographic area, peak                some combination of the benchmark
                                                 Reliability Standard requiring GMD                      amplitude, duration, and geoelectric                  GMD event and supplemental GMD
                                                 vulnerability assessments and that                      field waveform), both events were                     event over portions of a planning area;
                                                 ‘‘owners and operators [ ] develop and                  developed by the standard drafting team               or use ‘‘[o]ther methods to adjust the
                                                 implement a plan to protect against                     using a common framework. The                         benchmark GMD event analysis to
                                                 instability, uncontrolled separation, or                standard drafting team determined the                 account for the localized geoelectric
                                                 cascading failures of the Bulk-Power                    peak amplitude of the supplemental                    field enhancement of the supplemental
                                                 System.’’ 37 By contrast, proposed                      GMD event using generalized extreme                   GMD event.’’ 44 The flexibility afforded
                                                 Reliability Standard TPL–007–2 allows                   value statistical analysis methods, as it             to applicable entities by proposed
                                                 supplemental GMD event vulnerabilities                  did for the benchmark GMD event, and                  Reliability Standard TPL–007–2 to
                                                 to potentially go unmitigated even, for                 found a consistent result of 12 V/km                  determine the geographic size of the
                                                 example, if an applicable entity assesses               with a 95 percent confidence interval.                supplemental GMD event, in our view,
                                                 that the supplemental GMD event                         Generalized extreme value analysis is                 addresses NERC’s concern.
                                                 causes Cascading.38                                     well-supported in the technical                          37. The Supplemental Geomagnetic
                                                    33. Moreover, in Order No. 830, the                  literature and, in approving the                      Disturbance Event Description
                                                 Commission directed NERC to ‘‘develop                   benchmark GMD event, was previously                   appended to NERC’s petition further
                                                 revisions to the benchmark GMD event                    accepted in Order No. 830. The basic                  supports the supplemental GMD event
                                                 definition so that the reference peak                   waveform used for the supplemental                    definition by stating that ‘‘[b]ased on the
                                                 geoelectric field amplitude component                   GMD event is the same waveform used                   above analysis and the previous work
                                                 is not based solely on spatially-averaged               in the benchmark GMD event.41 Similar                 associated with the benchmark GMD
                                                 data.’’ 39 NERC’s proposal to modify the                to the methodology for determining                    event, it is reasonable to incorporate a
                                                 benchmark, but then allow applicable                    peak amplitude, the benchmark GMD                     second (or supplemental) assessment
                                                 entities the discretion to take corrective              event waveform was previously                         into TPL-007-2 to account for the
                                                 action based solely on the results of the               considered appropriate in Order No.                   potential impact of a local enhancement
                                                 spatially-averaged benchmark analysis                   830. While the supplemental GMD                       in both the network analysis and the
                                                 while taking under advisement (‘‘an                     event waveform includes a ‘‘five-minute               transformer thermal assessment(s).’’ 45
                                                 evaluation of possible actions’’) the                   duration enhanced peak up to 12 V/                    The Supplemental GMD Event White
                                                                                                         km,’’ NERC does not suggest that the                  Paper also states that ‘‘[g]iven the
                                                 results of the supplemental assessment,
                                                                                                         duration of the enhanced peak is                      current state of knowledge regarding the
                                                 does not satisfy the clear intent of the
                                                                                                         unrepresentative of the behavior of                   spatial extent of a local geomagnetic
                                                 Commission’s directive.
                                                                                                         localized enhancements.                               field enhancements, upper geographic
                                                    34. Further, we are not persuaded by                    36. NERC contends that the low                     boundaries, such as the values used in
                                                 NERC’s reasoning that: (1) Existing                     number of real-world observations on                  the approaches above, are reasonable
                                                 technical limitations, specifically the                 which the supplemental GMD event is                   but are not definitive.’’ 46
                                                 limited number of observations used to                  based calls into question the accuracy of                38. With respect to NERC’s contention
                                                 define the supplemental GMD event and                   its geographic size.42 However, any                   regarding the unavailability of modeling
                                                 the availability of modeling tools to                   uncertainty regarding the size of the                 tools, we are not persuaded. We
                                                   35 Id.
                                                                                                                                                               understand that there are commercially
                                                                                                           40 NERC    Petition at 13.                          available tools that could allow for
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                   36 Id.
                                                                                                           41 Id. (‘‘Both the benchmark and supplemental
                                                   37 Order    No. 830, 156 FERC ¶ 61,215 at P 7.        GMD event waveforms are based on 10-second              43 Proposed Reliability Standard TPL–007–2,
                                                   38 Proposed    Reliability Standard TPL–007–2,        sampling interval magnetic field data from the
                                                 Requirement R8.3 (‘‘If the analysis concludes there     Ottawa observatory recorded during the March 13–      Attachment 1, Applying the Localized Peak
                                                 is Cascading caused by the supplemental GMD             14, 1989 GMD event.’’).                               Geoelectric Field in the Supplemental GMD Event.
                                                                                                                                                                 44 Id.
                                                 event described in Attachment 1, an evaluation of         42 Id. at 23 (‘‘[the] small number of observed
                                                 possible actions designed to reduce the likelihood      localized enhanced geoelectric field events . . .       45 NERC Petition, Exhibit I (Supplemental

                                                 or mitigate the consequences and adverse impacts        provide only general insight into the geographic      Geomagnetic Disturbance Event Description) at 12
                                                 of the event(s) shall be conducted.’’).                 size of localized events during severe solar          (Supplemental GMD Event White Paper).
                                                    39 Id. at 44.                                        storms’’).                                              46 Id. at 13.




                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00033   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                 23860                 Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 modeling of supplemental GMD                            TPL–001–4 to justify only requiring an                specifies the completion of non-
                                                 events.47 In addition to these modeling                 evaluation of possible actions for                    hardware and hardware mitigation
                                                 tools, other methods could be used                      supplemental GMD events that result in                within two and four years of
                                                 within the framework of the Reliability                 Cascading in light of the directive in                development of the corrective action
                                                 Standard to study planning areas (e.g.,                 Order No. 830. In Order No. 830, the                  plan, respectively.
                                                 superposition or sensitivity studies) in                Commission directed NERC to modify                       43. NERC maintains that proposed
                                                 conjunction with other power system                     the proposed Reliability Standard to                  Reliability Standard TPL–007–2 also
                                                 modeling tools. However, we will                        assess and address the risks posed by                 recognizes that there may be
                                                 consider any comments that                              enhanced localized GMD events to the                  circumstances outside of a responsible
                                                 substantiate NERC’s position.                           Bulk-Power System. In contrast, in                    entity’s control that could prevent the
                                                   39. In addition, the Commission                       approving Reliability Standard TPL–                   completion of a mitigation activity
                                                 recognized in Order No. 830 that an                     001–4, the Commission did not direct                  within the specified timetable. NERC
                                                 improved understanding of GMDs is                       NERC to further modify the Reliability                cites as examples delays due to
                                                 necessary and directed NERC to conduct                  Standard to address the risks posed by                regulatory or legal processes, such as
                                                 certain GMD-related research. The GMD                   extreme events. Accordingly, the                      permitting; delays from stakeholder
                                                 research directed in Order No. 830 is                   treatment of extreme events under                     processes required by tariffs; delays
                                                 meant to address technical limitations                  Reliability Standard TPL–001–4 does                   resulting from equipment lead times; or
                                                 regarding GMD mitigation, among other                   not support the notion here that                      delays resulting from the inability to
                                                 areas. In the preliminary GMD research                  applicable entities should, as NERC                   acquire necessary right-of-way. NERC
                                                 work plan submitted by NERC on May                      suggests, have the ‘‘the flexibility to . . .         explains that in such circumstances, a
                                                 30, 2017, NERC stated that the                          consider mitigation.’’ 51 However, as                 responsible entity may maintain
                                                 Commission in Order No. 830 ‘‘noted its                 with the mitigation of benchmark GMD                  compliance by revising its corrective
                                                 concern that a spatially-averaged                       event vulnerabilities, we agree with                  action plan in accordance with
                                                 benchmark may not adequately account                    NERC that any required mitigation of                  Requirement R7.4. NERC states that
                                                 for localized peak geoelectric fields that              supplemental GMD event vulnerabilities                under Requirement R7.4, the
                                                 could potentially affect reliable                       should be flexible in terms of how                    responsible entity shall revise its
                                                 operations.’’ 48 In response, NERC                      applicable entities choose to mitigate                corrective action plan if events beyond
                                                 indicated that it will conduct ‘‘(i)                    such vulnerabilities. NERC’s petition                 its control prevent implementation
                                                 research [Task 1 of the GMD research                    already stresses that proposed                        within the original timetable. NERC
                                                 work plan] to improve understanding of                  Reliability Standard TPL–007–2 affords                explains that in the revised corrective
                                                 the characteristics and spatial scales of               flexibility as to how applicable entities             action plan, the responsible entity must
                                                 localized geoelectric field enhancements                apply the supplemental GMD event to                   provide justification for its revised
                                                 caused by severe GMD events; and (ii)                   their planning areas.52                               timetable by documenting: (1) The
                                                 research to determine the impacts of                       41. Accordingly, the Commission                    circumstances causing the delay; (2)
                                                 spatial averaging assumptions on [Bulk-                 proposes to direct NERC, pursuant to                  description of the original corrective
                                                 Power System] reliability.’’ 49 NERC                    section 215(d)(5) of the FPA, to develop              action plan and any changes; and (3)
                                                 estimated that Task 1, which includes                   and submit modifications to the                       revisions to selected actions, including
                                                 the development of better models, will                  Reliability Standard to require                       the use of any operating procedures if
                                                 require approximately 24–36 months to                   applicable entities to develop and                    applicable, along with an updated
                                                 complete from start of work. Such GMD                   implement corrective action plans to                  timetable for completion. NERC states
                                                 research on localized events should                     mitigate supplemental GMD event                       that the revised corrective action plan
                                                 inform the standard development                         vulnerabilities. The Commission                       shall be updated at least annually and
                                                 process and aid applicable entities                     proposes to direct NERC to submit the                 the responsible entity must then provide
                                                 when implementing a modified                            modified Reliability Standard for                     its revised corrective action plan to
                                                 Reliability Standard.50                                 approval within 12 months from the                    recipients of the original corrective
                                                   40. We are also not persuaded by                      effective date of Reliability Standard                action plan (i.e., reliability coordinator,
                                                 NERC’s reliance on Reliability Standard                 TPL–007–2. The Commission seeks                       adjacent planning coordinator(s),
                                                                                                         comments from NERC and other                          adjacent transmission planner(s),
                                                    47 See, e.g., Siemens Power Technologies
                                                                                                         interested entities on this proposal.                 functional entities referenced in the
                                                 International, GIC Module to Analyze Geomagnetic                                                              corrective action plan, and any
                                                 Disturbances on the Grid, Features Summary,             B. Corrective Action Plan Deadline
                                                 http://w3.usa.siemens.com/smartgrid/us/en/                                                                    functional entity that submits a written
                                                                                                         Extensions NERC Petition
                                                 transmission-grid/products/grid-analysis-tools/                                                               request and has a reliability related need
                                                 transmission-system-planning/Documents/PTI_FF_            42. NERC states that proposed                       for the information).
                                                 EN_SWPE_GIC_1412.pdf; PowerWorld, Simulator,            Reliability Standard TPL–007–2,                          44. NERC contends that this proposal
                                                 Geomagnetically Induced Current (GIC), https://
                                                 www.powerworld.com/products/simulator/add-ons-
                                                                                                         Requirement R7.2 requires responsible                 is consistent with other Commission-
                                                 2/simulator-gic.                                        entities to develop a corrective action               approved Reliability Standards. NERC
                                                    48 NERC, Geomagnetic Disturbance Research            plan within one year of the benchmark                 cites Reliability Standard FAC–003–4,
                                                 Work Plan of the North American Electric                GMD vulnerability assessment, if the                  Requirement R7 and asserts that it
                                                 Reliability Corporation, Docket No. RM15–11–002,
                                                 at 8 (filed May 30, 2017).
                                                                                                         entity concludes that its System does                 provides that an entity may modify its
                                                    49 Id.                                               not meet the performance requirements                 annual vegetation work plan in light of
                                                    50 On April 19, 2018, NERC submitted a revised       for the steady state planning benchmark               circumstances beyond the entity’s
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 GMD Work Plan that is currently pending before the      GMD event. NERC indicates that under                  control, such as a natural disaster or
                                                 Commission. NERC, Revised Geomagnetic                   Requirement R7.3, the corrective action               other circumstance. NERC also cites
                                                 Disturbance Research Work Plan of the North
                                                 American Electric Reliability Corporation, Docket       plan shall include a timeline that                    Reliability Standard PRC–004–5(i),
                                                 No. 15–11–003 (filed April 19, 2018). The revised                                                             Requirement R5 and contends that
                                                                                                           51 NERC  Petition at 24 (emphasis added).
                                                 GMD Work Plan provides additional detail to the                                                               under that Reliability Standard a
                                                 previous version. NERC now estimates that Task 1          52 NERC  Petition, Exhibit I at 13 (‘‘Proposed
                                                 deliverables will be completed in 2019. Id.,            TPL-007-2 provides flexibility for planners to
                                                                                                                                                               responsible entity that owns a
                                                 Attachment 1 (Order No. 830 GMD Research Work           determine how to apply the supplemental GMD           protection system component that
                                                 Plan (April 2018)) at 7.                                event to the planning area.’’).                       caused a misoperation shall either


                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00034   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                                         Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules                                                     23861

                                                 develop a corrective action plan or                       distance]) and must be documented.’’ In               prepare and submit a report addressing
                                                 explain in a declaration why corrective                   contrast, proposed Requirement R7.4                   the disposition of any such requests, as
                                                 actions are beyond the entity’s control                   could enable applicable entities to delay             well as information regarding how often
                                                 or would not improve reliability.                         mitigation that would avoid the damage                and why applicable entities are
                                                                                                           of known GMD vulnerabilities.                         exceeding corrective action plan
                                                 Commission Proposal
                                                                                                           Accordingly, the extensions of time                   deadlines following implementation of
                                                    45. Proposed Reliability Standard                      permitted by Reliability Standard FAC–                the proposed Reliability Standard.56
                                                 TPL–007–2 satisfies Order No. 830 by                      003–4, because they may not result in                 Under such a directive, NERC would
                                                 incorporating the deadlines set out by                    the damage contemplated by the                        submit the report within 12 months
                                                 the Commission for the development                        Reliability Standard, are not                         from the date on which applicable
                                                 and implementation of corrective action                   comparable, as NERC asserts, to failure               entities must comply with the last
                                                 plans. However, Requirement R7.4 of                       to mitigate an existing GMD                           requirement of Reliability Standard
                                                 the proposed Reliability Standard                         vulnerability in a timely manner.                     TPL–007–2. Following receipt of the
                                                 differs from Order No. 830 by allowing                       48. NERC also compares the                         report, the Commission would
                                                 applicable entities to ‘‘revise’’ or                      corrective action plan provision in                   determine whether further action is
                                                 ‘‘update’’ corrective action plans to                     proposed Reliability Standard TPL–                    necessary.
                                                 extend deadlines. This provision                          007–2 with Reliability Standard PRC–                     51. Under the second option, the
                                                 contrasts with the Commission’s                           004–5(i), Requirement R5, which allows                Commission would approve proposed
                                                 guidance in Order No. 830 that ‘‘NERC                     ‘‘a responsible entity that owns a                    Requirement R7.4 but also direct NERC
                                                 should consider extensions of time on a                   Protection System component that                      to prepare and submit a report regarding
                                                 case-by-case basis.’’ 53                                  caused a Misoperation . . . [to] either               how often and why applicable entities
                                                    46. NERC contends that the proposed                    develop a Corrective Action Plan or                   are exceeding corrective action plan
                                                 Reliability Standard ‘‘would implement                    explain in a declaration why corrective               deadlines following implementation of
                                                 the Commission directed deadlines for                     actions are beyond the entity’s control               the proposed Reliability Standard.
                                                 Corrective Action Plans and mitigation,                   or would not improve reliability.’’ We                Under such a directive, NERC would
                                                 along with a process to maintain                          are not persuaded that NERC’s proposal                submit the report within 12 months
                                                 accountability and communication with                     to allow self-declared extensions of time             from the date on which applicable
                                                 affected entities when circumstances                      in Requirement R7.4 is supported by the               entities must comply with the last
                                                 beyond a responsible entity’s control                     quoted language in Reliability Standard               requirement of Reliability Standard
                                                 affect the entity’s ability to complete                   PRC–004–5(i), Requirement R5 because                  TPL–007–2. Following receipt of the
                                                 implementation within the original                        Requirement R5 does not allow for                     report, the Commission would
                                                 deadlines.’’ 54 Given the complexities                    extensions of time. Rather, Requirement               determine whether further action is
                                                 and potential novelty of steps applicable                 R5 permits the registered entity to                   necessary.
                                                 entities may take to mitigate the risks of                declare that it cannot carry out
                                                 GMDs, we agree with NERC that there                       corrective actions (e.g., because the                 III. Information Collection Statement
                                                 should be a mechanism for allowing                        misoperation occurred on facilities it                   52. The collection of information
                                                 extensions of corrective action plan                      does not own or control) or because the               contained in this Notice of Proposed
                                                 implementation deadlines. However, we                     corrective action would not improve                   Rulemaking is subject to review by the
                                                 would like to avoid unnecessary delay                     Bulk-Power System reliability.                        Office of Management and Budget
                                                 in implementing protection against                        Moreover, the Guidelines and Technical                (OMB) under section 3507(d) of the
                                                 GMD threats. Moreover, we are not                         Basis document accompanying                           Paperwork Reduction Act of 1995.57
                                                 persuaded that the proposal is                            Reliability Standard PRC–004–5(i)                     OMB’s regulations require review and
                                                 supported by the precedent cited by                       concludes by stating that a ‘‘declaration             approval of certain information
                                                 NERC because the Reliability Standards                    that no further corrective actions will be            collection requirements imposed by
                                                 NERC cites are distinguishable.                           taken is expected to be used sparingly.’’             agency rules.58 Upon approval of a
                                                    47. NERC maintains that provisions                        49. Given these concerns, the                      collection of information, OMB will
                                                 similar to Requirement R7.4 are found                     Commission is considering two options                 assign an OMB control number and an
                                                 in two Reliability Standards. NERC                        in response to Requirement R7.4 of the                expiration date. Respondents subject to
                                                 states that Reliability Standard FAC–                     proposed Reliability Standard. The                    the information collection requirements
                                                 003–4, Requirement R7, allows a                           Commission seeks comment from NERC                    of a rule will not be penalized for failing
                                                 registered entity to modify its annual                    and other interested entities on each of              to respond to the collection of
                                                 vegetation work plan in light of                          these proposals.                                      information unless the collection of
                                                 circumstances beyond the entity’s                            50. Under the first option, the
                                                                                                                                                                 information displays a valid OMB
                                                 control. While Reliability Standard                       Commission would, pursuant to section
                                                                                                                                                                 control number.
                                                 FAC–003–4, Requirement R7 permits                         215(d)(5) of the FPA, direct NERC to                     53. We solicit comments on the
                                                 modifications to annual vegetation work                   modify the proposed Reliability                       Commission’s need for this information,
                                                 plans, the modifications cannot result in                 Standard to comport with Order No.                    whether the information will have
                                                 a registered entity’s failure to avoid the                830, by requiring that NERC and the                   practical utility, the accuracy of the
                                                 damage contemplated by Requirement                        Regional Entities, as appropriate,                    burden estimates, ways to enhance the
                                                 R7—vegetation encroachment:                               consider requests for extension of time               quality, utility, and clarity of the
                                                 ‘‘Modifications to the work plan in                       on a case-by-case basis.55 Under this
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 response to changing conditions or to                     option, responsible entities seeking an                 56 Under proposed Requirement R7.4, when an

                                                 findings from vegetation inspections                      extension would submit the information                applicable entity extends a corrective action plan
                                                 may be made (provided they do not                         required by proposed Requirement R7.4                 deadline, it must revise the corrective action plan
                                                                                                           to NERC and the Regional Entities for                 to explain the ‘‘[c]ircumstances causing the delay
                                                 allow encroachment of vegetation into                                                                           for fully or partially implementing the selected
                                                 the [minimum vegetation clearance                         their consideration of the request. The               actions.’’ NERC could use this information to
                                                                                                           Commission would also direct NERC to                  populate the proposed report.
                                                   53 Order   No. 830, 156 FERC ¶ 61,215 at P 102.                                                                 57 44 U.S.C. 3507(d) (2012).
                                                   54 NERC    Petition at 22.                               55 Order   No. 830, 156 FERC ¶ 61,215 at P 102.        58 5 CFR part 1320 (2017).




                                            VerDate Sep<11>2014     16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00035   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1


                                                 23862                        Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 information to be collected or retained,                            requirements for applicable entities to                       proposed Reliability Standard TPL–
                                                 and any suggested methods for                                       gather magnetometer and GIC monitored                         007–2. Our estimates for the number of
                                                 minimizing respondents’ burden,                                     data in Requirements R11 and R12.                             respondents are based on the NERC
                                                 including the use of automated                                      Deadlines in Requirement R7 for the                           Compliance Registry as of 3/9/2018,
                                                 information techniques. Specifically,                               development and implementation of                             which indicates there are 183 entities
                                                 the Commission asks that any revised                                corrective action plans would only                            registered as transmission planner (TP),
                                                 burden or cost estimates submitted by                               change the timeline of such                                   65 planning coordinators (PC), 330
                                                 commenters be supported by sufficient                               documentation and are not expected to                         transmission owners (TO), 944 generator
                                                 detail to understand how the estimates                              revise the burden to applicable entities.                     owners (GO) within the United States.
                                                 are generated.                                                      The burden estimates for new                                  However, due to significant overlap, the
                                                   54. The Commission proposes to                                    Requirements R8 through R10 are                               total number of unique affected entities
                                                 approve proposed Reliability Standard                               expected to be similar to the burden                          (i.e., entities registered as a transmission
                                                 TPL–007–2, which would replace                                      estimates for Requirements R4 through
                                                 currently-effective Reliability Standard                                                                                          planner, planning coordinator,
                                                                                                                     R6 in currently-effective Reliability
                                                 TPL–007–1. When compared to                                                                                                       transmission owner or generator owner,
                                                                                                                     Standard TPL–007–1 due to the closely-
                                                 Reliability Standard TPL–007–1,                                     mirrored requirements.59 The                                  or some combination of these functional
                                                 proposed Reliability Standard TPL–                                  Commission expects that only 25                               entities) is 1,130 entities. This includes
                                                 007–2 maintains the current information                             percent or fewer of transmission owners                       188 entities that are registered as a
                                                 collection requirements, modifies                                   and generator owners would have to                            transmission planner or planning
                                                 existing Requirement R7 and adds new                                complete a supplemental transformer                           coordinator (applicability for
                                                 requirements in Requirements R8                                     thermal impact assessment per                                 Requirements R7 to R9 and R11 to R12),
                                                 through R12.                                                        Requirement R10. Requirements R11                             and 1,119 entities registered as a
                                                   55. Proposed Reliability Standard                                 and R12 require applicable entities to                        transmission or generation owner
                                                 TPL–007–2 includes new corrective                                   have a process to collect GIC and                             (applicability for Requirement R10).
                                                 action plan development and                                         magnetometer data from meters in                              Given the assumption above, there is an
                                                 implementation deadlines in                                         planning coordinator planning areas.                          expectation that at most only 25 percent
                                                 Requirement R7, new supplemental                                      Public Reporting Burden: The burden                         of the 1,119 entities (or 280 entities) will
                                                 GMD vulnerability and transformer                                   and cost estimates below are based on                         have to complete compliance activities
                                                 thermal impact assessments in                                       the changes to the reporting and                              for Requirement R10. The estimated
                                                 Requirements R8 through R10, and                                    recordkeeping burden imposed by                               burden and cost are as follow.60

                                                                                       FERC–725N, CHANGES PROPOSED IN NOPR IN DOCKET NO. RM18–8 61 62
                                                                                                                                                                        Average           Total annual burden
                                                                                        Number and               Annual number          Total number of              burden hours           hours and total               Cost per
                                                     Requirement (R)                       type of              of responses per          responses                  and cost per             annual cost              respondent ($)
                                                                                        respondents                respondent                                          response                (rounded)

                                                                                               (1)                      (2)              (1) × (2) = (3)                   (4)                (3) × (4) = (5)             (5) ÷ (1)

                                                 R1 through R6 ...........           No change .........        No change .........    No change .........         No change .........   No change .................
                                                                                                                                                                                                                No change.
                                                 R7 ..............................   188 ....................   1/5 (once for          37.6 ...................    Rep. 5 hrs.,          Rep. 188               Rep. 1 hr.,
                                                                                     (PC and TP) ......           every five year                                    $334.5; RK 5          hrs.,$12,577; RK       $66.9; RK 1
                                                                                                                  study).                                            hrs., $160.2.         188 hrs., $6,023.      hr., $32.04.
                                                 R8 ..............................   188 ....................   1/5 (once for          37.6 ...................    Rep., 27 hrs.,        Rep. 1,015 hrs.,       Rep., 5.4 hrs.,
                                                                                     (PC and TP) ......           every five year                                    $1,806.30;RK,         $67,917; RK 790        $361.26; RK
                                                                                                                  study).                                            21 hrs.,              hrs., $25,299.         4.2 hrs.,
                                                                                                                                                                     $672.84.                                     $134.57.
                                                 R9 ..............................   188 ....................   1/5 (once for          37.6 ...................    Rep. 9 hrs.,          Rep. 338 hrs.;         Rep. 1.8 hrs.,
                                                                                     (PC and TP) ......           every five year                                    $602.10.              $22,639 RK 263         $120.42; RK
                                                                                                                  study).                                          RK 7 hrs.,              hrs., $8,432.          1.4 hrs.,
                                                                                                                                                                     $224.28.                                     $44.85.
                                                 R10 ............................    280 ....................   1/5 (once for          56 ......................   Rep. 22 hrs.,         Rep. 1,232 hrs.,       Rep. ;4.4 hrs.,
                                                                                     (25% of 1,119) ..            every five year                                    $1,471.8;.            $82,421; RK 1,008      $294.36; RK
                                                                                     (GO and TO) .....            study).                                          RK 18 hrs.              hrs., $32,296.         3.6 hrs.,
                                                                                                                                                                     $576.72.                                     $115.34.
                                                 R11 ............................    188 ....................   1 (on-going re-        188 ....................    Rep. 10 hrs.,         Rep. 1,880 hrs.,       Rep. 10 hrs.,
                                                                                     (PC and TP) ......           porting).                                          $669;.                $125,772; RK           $669; RK 10
                                                                                                                                                                   RK. 10 hrs.,            1,880 hrs., $60,235.   hrs., $320.40.
                                                                                                                                                                     $320.40.
                                                 R12 ............................    188 ....................   1 (on-going re-        188 ....................    Rep. 10 hrs.,         Rep. 1,880 hrs.        Rep. 10 hrs.,
                                                                                     (PC and TP) ......           porting).                                          $669.                 $125,772; RK          $669; RK 10
                                                                                                                                                                   RK. hrs 320.4 ....      1,880 hrs., $60,235.  hrs., $320.40.
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                   59 NERC    Petition at 15–17.                                     Engineer (NAICS code 17–2071) would perform the                 The estimated burden and cost are in addition to
                                                   60 Hourly   costs are based on the Bureau of Labor                functions associated with reporting requirements, at          the burden and cost that are associated with the
                                                 Statistics (BLS) figures for May 2017 (Sector 22,                   an average hourly cost (for wages and benefits) of            existing requirements in Reliability Standard TPL–
                                                                                                                     $66.90. The functions associated with                         007–1 (and in the current OMB-approved
                                                 Utilities) for wages (https://www.bls.gov/oes/
                                                                                                                     recordkeeping requirements, we estimate, would be
                                                 current/naics2_22.htm) and benefits for December                                                                                  inventory), which would continue under proposed
                                                                                                                     performed by a File Clerk (NAICS code 43–4071) at
                                                 2017 (https://www.bls.gov/news.release/                             an average hourly cost of $32.04 for wages and                Reliability Standard TPL–007–2.
                                                 ecec.nr0.htm). We estimate that an Electrical                       benefits.



                                            VerDate Sep<11>2014        16:37 May 22, 2018       Jkt 244001      PO 00000   Frm 00036   Fmt 4702      Sfmt 4702     E:\FR\FM\23MYP1.SGM      23MYP1


                                                                       Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules                                                                                      23863

                                                                      FERC–725N, CHANGES PROPOSED IN NOPR IN DOCKET NO. RM18–8 61 62—Continued
                                                                                                                                                                             Average                   Total annual burden
                                                                                Number and                  Annual number                 Total number of                 burden hours                   hours and total               Cost per
                                                    Requirement (R)                type of                 of responses per                 responses                     and cost per                     annual cost              respondent ($)
                                                                                respondents                   respondent                                                    response                        (rounded)

                                                                                       (1)                            (2)                   (1) × (2) = (3)                       (4)                      (3) × (4) = (5)             (5) ÷ (1)

                                                      Total Additional       ...........................    ...........................   ...........................   ...........................   Rep., 6,533 ...............
                                                        Hrs. and Cost                                                                                                                                 hrs., $437,057; RK
                                                        (rounded), due                                                                                                                                  6,009.
                                                        to NOPR in                                                                                                                                    hrs., $192,528 ...........
                                                        RM18–8.



                                                    Title: FERC–725N, Mandatory                                   DataClearance@ferc.gov, phone: (202)                                        221) is based on the number of
                                                 Reliability Standards: TPL Reliability                           502–8663, fax: (202) 273–0873].                                             employees for a concern and its
                                                 Standards.                                                         Comments concerning the proposed                                          affiliates. As discussed above, proposed
                                                    Action: Proposed revisions to an                              collection of information and the                                           Reliability Standard TPL–007–2 would
                                                 existing collection of information.                              associated burden estimate should be                                        apply to a total of 1,130 unique
                                                    OMB Control No: 1902–0264.                                    sent to the Commission in this docket                                       planning coordinators, transmission
                                                    Respondents: Business or other for                            and may also be sent to the Office of                                       planners, transmission owners, and
                                                 profit, and not for profit institutions.                         Information and Regulatory Affairs,                                         generation owners.67 A small utility
                                                    Frequency of Responses: 63 Every five                         Office of Management and Budget, 725                                        (and its affiliates) is defined as having
                                                 years (for Requirement R7–R10),                                  17th Street NW, Washington, DC 20503                                        no more than the following number of
                                                 annually (for Requirement R11 and                                [Attention: Desk Officer for the Federal                                    employees:
                                                 R12).                                                            Energy Regulatory Commission]. Due to
                                                                                                                  security concerns, comments should be                                       • For planning coordinators,
                                                    Necessity of the Information:                                                                                                                transmission planners, and
                                                 Proposed Reliability Standard TPL–                               sent electronically to the following
                                                                                                                  email address: oira_submission@                                                transmission owners (NAICS code
                                                 007–2, if adopted, would implement the                                                                                                          221121, Electric Bulk Power
                                                 Congressional mandate of the Energy                              omb.eop.gov. Comments submitted to
                                                                                                                  OMB should refer to FERC–725N and                                              Transmission and Control), a
                                                 Policy Act of 2005 to develop                                                                                                                   maximum of 500 employees
                                                 mandatory and enforceable Reliability                            OMB Control No. 1902–0264.
                                                 Standards to better ensure the reliability                                                                                                   • for generator owners, a maximum of
                                                                                                                  IV. Environmental Analysis                                                     750 employees.68
                                                 of the nation’s Bulk-Power System.
                                                                                                                     57. The Commission is required to                                           59. The total cost to all entities (large
                                                 Specifically, these requirements address
                                                                                                                  prepare an Environmental Assessment
                                                 the threat posed by GMD events to the                                                                                                        and small) is $629,585 annually (or an
                                                                                                                  or an Environmental Impact Statement
                                                 Bulk-Power System and conform to the                                                                                                         average of $1,345.27 for each of the
                                                                                                                  for any action that may have a
                                                 Commission’s directives to modify                                                                                                            estimated 468 entities affected
                                                                                                                  significant adverse effect on the human
                                                 Reliability Standard TPL–007–1 as                                                                                                            annually). For the estimated 280
                                                                                                                  environment.64 The Commission has
                                                 directed in Order No. 830.                                                                                                                   generator owners and transmission
                                                                                                                  categorically excluded certain actions
                                                    Internal review: The Commission has                                                                                                       owners affected annually, the average
                                                                                                                  from this requirement as not having a
                                                 reviewed proposed Reliability Standard                                                                                                       cost would be $409.70 per year. For the
                                                                                                                  significant effect on the human
                                                 TPL–007–2, and made a determination                                                                                                          estimated 188 planning coordinators
                                                                                                                  environment. Included in the exclusion
                                                 that its action is necessary to implement                                                                                                    and transmission planners, the
                                                                                                                  are rules that are clarifying, corrective,
                                                 section 215 of the FPA. The                                                                                                                  estimated average annual cost would be
                                                                                                                  or procedural or that do not
                                                 Commission has assured itself, by                                substantially change the effect of the                                      $2,738.84. The estimated annual cost to
                                                 means of its internal review, that there                         regulations being amended.65 The                                            each affected entity varies from $409.70
                                                 is specific, objective support for the                           actions proposed here fall within this                                      to $2,738.84 and is not considered
                                                 burden estimates associated with the                             categorical exclusion in the                                                significant.
                                                 information requirements.                                        Commission’s regulations.                                                      60. Accordingly, the Commission
                                                    56. Interested persons may obtain                                                                                                         certifies that the proposals contained in
                                                 information on the reporting                                     V. Regulatory Flexibility Act                                               this NOPR will not have a significant
                                                 requirements by contacting the Federal                             58. The Regulatory Flexibility Act of                                     economic impact on a substantial
                                                 Energy Regulatory Commission, Office                             1980 (RFA) 66 generally requires a                                          number of small entities. The
                                                 of the Executive Director, 888 First                             description and analysis of proposed                                        Commission seeks comment on this
                                                 Street NE, Washington, DC 20426                                  rules that will have significant                                            certification.
                                                 [Attention: Ellen Brown, email:                                  economic impact on a substantial
                                                                                                                  number of small entities. The definition                                      67 In the NERC Registry, there are approximately
                                                   61 Rep. = reporting requirements; RK =                         of small business is provided by the                                        65 PCs, 188 TPs, 944 GOs, and 330 TOs (in the
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 recordkeeping requirements.                                      Small Business Administration (SBA) at                                      United States), which will be affected by this
                                                   62 For each Reliability Standard, the Measure                                                                                              NOPR. Because some entities serve in more than
                                                                                                                  13 CFR 121.201. The threshold for a
                                                 shows the acceptable evidence (Reporting                                                                                                     one role, these figures involve some double
                                                 Requirement) for the associated Requirement (R                   small utility (using SBA’s sub-sector                                       counting.
                                                 numbers), and the Compliance section details the                                                                                               68 The maximum number of employees for a
                                                 related Recordkeeping Requirement.                                 64 Regulations Implementing the National
                                                                                                                                                                                              generator owner (and its affiliates) to be ‘‘small’’
                                                   63 The frequency of Requirements R1 through R6                 Environmental Policy Act of 1969, Order No. 486,                            varies from 250 to 750 employees, depending on the
                                                 in proposed Reliability Standard TPL–007–2 is                    FERC Stats. & Regs. ¶ 30,783 (1987).                                        type of generation (e.g., hydroelectric, nuclear,
                                                                                                                    65 18 CFR 380.4(a)(2)(ii) (2017).
                                                 unchanged from the existing requirements in                                                                                                  fossil fuel, wind). For this analysis, we use the most
                                                 Reliability Standard TPL–007–1.                                    66 5 U.S.C. 601–12 (2012).                                                conservative threshold of 750 employees.



                                            VerDate Sep<11>2014   16:37 May 22, 2018     Jkt 244001        PO 00000       Frm 00037       Fmt 4702       Sfmt 4702      E:\FR\FM\23MYP1.SGM              23MYP1


                                                 23864                 Federal Register / Vol. 83, No. 100 / Wednesday, May 23, 2018 / Proposed Rules

                                                 VI. Comment Procedures                                  or email at ferconlinesupport@ferc.gov,               receive comments by hand delivery or
                                                    61. The Commission invites interested                or the Public Reference Room at 202–                  courier.
                                                                                                         502–8371, TTY 202–502–8659. Email                        Instructions: Direct your comments to
                                                 persons to submit comments on the
                                                                                                         the Public Reference Room at                          docket number COE–2017–0011. All
                                                 matters and issues proposed in this
                                                                                                         public.referenceroom@ferc.gov.                        comments received will be included in
                                                 notice to be adopted, including any
                                                                                                           By direction of the Commission.
                                                                                                                                                               the public docket without change and
                                                 related matters or alternative proposals
                                                                                                                                                               may be made available on-line at http://
                                                 that commenters may wish to discuss.                      Issued: May 17, 2018.
                                                                                                                                                               www.regulations.gov, including any
                                                 Comments are due July 23, 2018.                         Nathaniel J. Davis, Sr.,                              personal information provided, unless
                                                 Comments must refer to Docket No.                       Deputy Secretary.                                     the commenter indicates that the
                                                 RM18–8–000, and must include the                        [FR Doc. 2018–11001 Filed 5–22–18; 8:45 am]           comment includes information claimed
                                                 commenter’s name, the organization                      BILLING CODE 6717–01–P                                to be Confidential Business Information
                                                 they represent, if applicable, and their
                                                                                                                                                               (CBI) or other information whose
                                                 address in their comments.
                                                                                                                                                               disclosure is restricted by statute. Do
                                                    62. The Commission encourages
                                                                                                         DEPARTMENT OF DEFENSE                                 not submit information that you
                                                 comments to be filed electronically via
                                                                                                                                                               consider to be CBI, or otherwise
                                                 the eFiling link on the Commission’s                    Department of the Army, Corps of                      protected, through regulations.gov or
                                                 website at http://www.ferc.gov. The                     Engineers                                             email. The regulations.gov website is an
                                                 Commission accepts most standard
                                                                                                                                                               anonymous access system, which means
                                                 word processing formats. Documents                      33 CFR Part 334                                       we will not know your identity or
                                                 created electronically using word
                                                                                                         [COE–2017–0011]                                       contact information unless you provide
                                                 processing software should be filed in
                                                                                                                                                               it in the body of your comment. If you
                                                 native applications or print-to-PDF
                                                                                                         James River, Skiffes Creek and                        send an email directly to the Corps
                                                 format and not in a scanned format.
                                                                                                         Warwick River Surrounding Joint Base                  without going through regulations.gov,
                                                 Commenters filing electronically do not
                                                                                                         Langley-Eustis (JBLE-Eustis), Virginia;               your email address will be
                                                 need to make a paper filing.
                                                                                                         Restricted Areas and Danger Zones                     automatically captured and included as
                                                    63. Commenters that are not able to
                                                                                                                                                               part of the comment that is placed in the
                                                 file comments electronically must send                  AGENCY: United States Army Corps of                   public docket and made available on the
                                                 an original of their comments to:                       Engineers, DoD.                                       internet. If you submit an electronic
                                                 Federal Energy Regulatory Commission,                   ACTION: Notice of proposed rulemaking                 comment, we recommend that you
                                                 Secretary of the Commission, 888 First                  and request for comments.                             include your name and other contact
                                                 Street NE, Washington, DC 20426.
                                                                                                         SUMMARY:    The Corps of Engineers is                 information in the body of your
                                                    64. All comments will be placed in
                                                                                                         proposing to amend an existing                        comment and with any disk or CD–ROM
                                                 the Commission’s public files and may
                                                                                                         permanent danger zone in the waters of                you submit. If we cannot read your
                                                 be viewed, printed, or downloaded
                                                                                                         the James River, Skiffes Creek and                    comment because of technical
                                                 remotely as described in the Document
                                                                                                         Warwick River in Newport News,                        difficulties and cannot contact you for
                                                 Availability section below. Commenters
                                                                                                         Virginia. JBLE-Eustis contains a military             clarification, we may not be able to
                                                 on this proposal are not required to
                                                                                                         port berthing numerous Army vessels                   consider your comment. Electronic
                                                 serve copies of their comments on other
                                                                                                         and conducts exercises to include small               comments should avoid the use of any
                                                 commenters.
                                                                                                         craft testing and live fire training                  special characters, any form of
                                                 VII. Document Availability                              activities. The proposed amendment is                 encryption, and be free of any defects or
                                                   65. In addition to publishing the full                necessary to protect the public from                  viruses.
                                                                                                                                                                  Docket: For access to the docket to
                                                 text of this document in the Federal                    hazards associated with training and
                                                                                                                                                               read background documents or
                                                 Register, the Commission provides all                   mission operations, and to protect
                                                                                                                                                               comments received, go to
                                                 interested persons an opportunity to                    government assets, missions, and the
                                                                                                                                                               www.regulations.gov. All documents in
                                                 view and/or print the contents of this                  base population in general. The
                                                                                                                                                               the docket are listed. Although listed in
                                                 document via the internet through the                   proposed amendment increases the
                                                                                                                                                               the index, some information is not
                                                 Commission’s Home Page (http://                         restricted areas and creates danger zones
                                                                                                                                                               publicly available, such as CBI or other
                                                 www.ferc.gov) and in the Commission’s                   surrounding the existing installation
                                                                                                                                                               information whose disclosure is
                                                 Public Reference Room during normal                     and firing ranges.
                                                                                                                                                               restricted by statute. Certain other
                                                 business hours (8:30 a.m. to 5:00 p.m.                  DATES: Written comments must be
                                                                                                                                                               material, such as copyrighted material,
                                                 Eastern time) at 888 First Street NE,                   submitted on or before June 22, 2018.                 is not placed on the internet and will be
                                                 Room 2A, Washington DC 20426.                           ADDRESSES: You may submit comments,                   publicly available only in hard copy
                                                   66. From the Commission’s Home                        identified by docket number COE–                      form.
                                                 Page on the internet, this information is               2017–0011, by any of the following
                                                 available on eLibrary. The full text of                                                                       FOR FURTHER INFORMATION CONTACT: Mr.
                                                                                                         methods:
                                                 this document is available on eLibrary                    Federal eRulemaking Portal: http://                 David Olson, Headquarters, Operations
                                                 in PDF and Microsoft Word format for                    www.regulations.gov. Follow the                       and Regulatory Community of Practice,
                                                 viewing, printing, and/or downloading.                  instructions for submitting comments.                 Washington, DC at 202–761–4922, or
                                                 To access this document in eLibrary,                      Email: david.b.olson@usace.army.mil.                Nicole Woodward, Corps of Engineers,
daltland on DSKBBV9HB2PROD with PROPOSALS




                                                 type the docket number, excluding the                   Include the docket number, COE–2017–                  Norfolk District, Regulatory Branch, at
                                                 last three digits of this document in the               0011, in the subject line of the message.             757–201–7122.
                                                 docket number field.                                      Mail: U.S. Army Corps of Engineers,                 SUPPLEMENTARY INFORMATION: Pursuant
                                                   67. User assistance is available for                  Attn: CECW–CO–R (David B. Olson),                     to its authorities in Section 7 of the
                                                 eLibrary and the Commission’s website                   441 G Street NW, Washington, DC                       Rivers and Harbors Act of 1917 (40 Stat.
                                                 during normal business hours from the                   20314–1000.                                           266; 33 U.S.C. 1) and Chapter XIX of the
                                                 Commission’s Online Support at 202–                       Hand Delivery/Courier: Due to                       Army Appropriations Act of 1919 (40
                                                 502–6652 (toll free at 1–866–208–3676)                  security requirements, we cannot                      Stat. 892; 33 U.S.C. 3), the Corps of


                                            VerDate Sep<11>2014   16:37 May 22, 2018   Jkt 244001   PO 00000   Frm 00038   Fmt 4702   Sfmt 4702   E:\FR\FM\23MYP1.SGM   23MYP1



Document Created: 2018-05-22 23:49:00
Document Modified: 2018-05-22 23:49:00
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionNotice of proposed rulemaking.
DatesComments are due July 23, 2018.
ContactJustin Kelly (Technical Information), Office of Electric Reliability, Federal Energy Regulatory Commission, 888 First Street NE, Washington, DC 20426, Telephone: (301) 665-1394, [email protected] Matthew Vlissides (Legal Information), Office of the General Counsel, Federal Energy Regulatory Commission, 888 First Street NE, Washington, DC 20426, Telephone: (202) 502-8408, [email protected]
FR Citation83 FR 23854 

2024 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR