2 Module 1: WECC History & Roles Review of ResourcesSettlement ProcessesEnforcement ProcessesNew Possible ViolationCompliance ProcessesImplementation of CMEPDevelopment of CMEPRegulatory Structure in U.S.WECC History & Roles
3 WECC ProfileThe Western Electricity Coordinating Council (WECC) is a non-profit corporation that exists to assure a reliable bulk electric system in the geographic area of the Western Interconnection. This area includes all or parts of the 14 western United States, two Canadian provinces, and the northern portion of Baja California, Mexico.
4 WECC History Incorporated in 2002 Predecessor, WSCC formed in 1967 Largest geographic area of the eight Regional EntitiesEntire Western Interconnection (1.8 million square miles) - includes all or part of 14 U.S. states, 2 Canadian provinces and a portion of Baja California Norte, MexicoNon-GovernmentalIndustry participants join together to promote system reliabilityMember-driven (401 members divided into 7 membership classes)
5 WECC Coverage Service Area 1.8 million square miles126,285 miles of transmissionPopulation of 78 million
7 WECC Organization Members Board of Directors 401 32 members Committees Grid owners, operators, usersStakeholdersState and ProvincialBoard of Directors32 membersCommitteesBoardMember
8 WECC Services Reliability coordination Operate two Reliability Coordination Offices (Vancouver Wa. and Loveland Co.) that provide situational awareness and real-time supervision of the entire Western Interconnection
9 WECC Services Transmission expansion planning Studies Management of a comprehensive planning databaseProvide coordination of sub-regional planning processesAnalyses and modelingStudiesModel the system and perform studies under a variety of scenarios to set operating policies and limitsMarket-operations interfaceEnsure that competitive power markets do not negatively impact reliability
10 WECC Services Loads and Resources Assessments Operator training WREGIS Perform annual assessment of 10-year loads and resourcesMaintain 10-year coordinated plan of system growthProvide information to NERC for summer and winter assessments of the reliability and adequacy of the bulk-power systemOperator trainingProvide training sessions for operators, schedulers and dispatchersWREGISHosts the Western Renewable Energy Generation Information System, which creates and tracks renewable energy certificates
11 WECC Services Delegation Agreement Perform functions delegated to WECC as a Regional Entity under Delegation Agreement with NERC, including regulating entities subject to mandatory Reliability Standards
12 Mandatory Reliability Regulation Northeast Blackout of 200310 Million people in Ontario, Canada45 million people in eight U.S. states
15 Task Force ReportFinal report of the U.S.-Canada Power System Outage Task Force on the 2003 blackout concluded:the single most important recommendation for preventing future blackouts, and reducing the scope of those that occur, is for the U.S. government to make reliability standards mandatory and enforceable.
16 Task Force Findings Inadequate System Understanding Inadequate Situational AwarenessInadequate Tree TrimmingInadequate Reliability Center Diagnostic Support
17 Congressional Action Energy Policy Act of 2005 “Section 215” On August 8, 2005, the Energy Policy Act of 2005 (EPAct 2005) was signed into law.“Section 215”Section 215 of the EPAct 2005 directed FERC to certify an Electric Reliability Organization (ERO) and develop procedures for establishing, approving and enforcing electric reliability standards.
18 Authority for Compliance Monitoring ●FERC Order 672 (Implementing Rule 18 CFR 39)Responsibility and oversight assigned to FERCFERC designated NERC as Electric Reliability OrganizationNERC has delegation agreement with WECC and seven other regions
19 Implementing Section 215 SECTION 215 Creates Electrical Reliability Organization (ERO)FERC names NERC as ERORegional EntitiesNERC selects 8 regional entitiesWECC is selected for Western InterconnectionDelegation AgreementNERC and WECC sign agreementsWECC oversight begins in Western Interconnection
20 Development of Mandatory Reliability Standards Operations and Planning (O&P) Standards become mandatory and enforceableJune17, 2007 (FERC Order 693)Critical Infrastructure Protection (CIP) standards becomemandatory and enforceable December 2009(FERC Order 706)
21 Order 693 & Order 706 Standards Order 693 (Operations and Planning) includes:Resource and Demand Balancing (BAL)Emergency Preparedness & Operations (EOP)Facilities Design, Connection & Mtnce. (FAC)Protection and Control (PRC)Order 706 (CIP) includes:Critical Cyber Asset IdentificationPersonnel & TrainingElectronic Security Perimeters
22 WECC Compliance Registers Entities Monitors Compliance with Standards Register users, owners, operators according to functionMonitors Compliance with StandardsMonitor compliance by users, owners and operators of the bulk power system in the United StatesEnforces ComplianceViolation mitigation and settlement negotiationRepresentation of WECC in any hearing or appeal processAdministrationAudit coordinationReporting systems
26 Enforcement Activities If a violation is identified, due process includesNotice of Alleged Violation and Penalty or SanctionRegistered Entity ResponseRequest for Settlement or HearingNERC ApprovalFERC Approval
27 Enforcement Activities Mitigation of ViolationsPrompt mitigation of violations and of risk to BES is importantMitigation is not an “admission of guilt”WECC reviews mitigation plans and accepts, rejects or requests revisionsWECC reviews completion of mitigation activities
28 OutreachCompliance User Groups/ Critical Infrastructure Compliance User GroupsOpen WebEX - MonthlyTargeted TrainingCIP 101WebCDMS and EFTE-learning ModulesCompliance 101
29 Reference DocumentsCompliance Monitoring and Enforcement Program (CMEP) & WECC’s annual planDelegation AgreementRules of ProcedureNERC Standards and WECC Regional StandardsNERC Guidance, Bulletins, Directives and Compliance Application Notices (CANs)FERC Orders
30 Questions?Constance B. WhiteVice President of Compliance
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