Key Compliance Trends Item 2.A

Transcription

1 Key Compliance Trends Item 2.A

2 Key Compliance Trends The number of violations received each month exceeds the total monthly violations approved by the BOTCC or dismissed, but the BOTCC approved violations are increasing each month The use of the administrative citation process should help to increase the number of violations that are approved each month Supporting slides 9, 1, and 11 2

3 Key Compliance Trends CIP 2-9 violations ramp up is in accordance with the implementation plans, unlike 693, but CIP steady state timing should be similar to 693 A tapering off has recently been exhibited as a result of all entities and all requirements moving through the implementation plans Supporting slide 16 3

4 Key Compliance Trends 4 Over 5 percent of all active violations are not yet mitigated The regions should consider evaluating the appropriateness of violation mitigation plan durations and continue to monitor mitigation milestones and completion dates Supporting slides 7,18,19 and 2 Refer to Update on Mitigation Item 3.A.1

5 Key Compliance Trends The high number of violations without mitigation plans is beginning to decline The industry has been positively reacting to this observation by submitting mitigation plans earlier in the process. Supporting slides 17,18, and 19 Refer to Update on Mitigation Item 3.A.1 5

6 Overall Trends The number of new violations received in March is down slightly from last month. However the percentage of CIP to Non-CIP violations has risen 8%. In March 211, 57% (19 of 19) of the new violations submitted were CIP violations compared to 49% (13 of 211) in February. 6 month violation receipt average (October 1, 21 through March 31, 211) = 184 violations/month 19 violations received in March 211 compared to 211 violations received in February 211 6

7 Compliance Processing Statistics Number of Violations M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year Active NERC Work UnMitigated Mitigated 7

8 Graph Definitions Active All Violations that have not been Closed or Dismissed Closed Violations have all the following characteristics: Violation NOP approved by FERC, Verified Completion of Mitigation Plan, and Payment of any associated Penalties. NERC Work Active Violations minus Violation Sub State I (NERC Issues NOP) Unmitigated Violations where Mitigation Plans have not been received or not yet been closed minus completed Mitigation Plans that NERC is reviewing Closed Mitigation Plan: Regional Entity has Verified Completion of all Mitigated Elements specified by Plan Mitigated Active Violations minus Unmitigated Deem Date Date of the violation which the Regional Entity is using for purposes of calculating penalties and / or sanctions 8

9 Violation In/Out Trend Number of Violations M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year Violations Received BOTCC Approved + Dismissed Dismissed + Violations Closed 9

10 Violations Approved by the BOTCC (Includes Omnibus I) 16 Number of Violations Includes Omnibus II Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Month 1

11 Notices of Penalty Approved by the BOTCC 4 35 Number of Notices of Penalty Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Month 11

12 Settlement Negotiation Trend Number of Violations M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year Violations Into Settlement Negotiation Violations Out of Negotiations (Agreement Received or Dismissed) 12

13 Violations Active at NERC and Regional Entities Number of Violations M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year Active Violations Violations at Region Violations at NERC (Sub State H) NERC issues NOP (Sub State I) 13

14 Deem Dates from March 211 Violations ( 19 Violations) 4 38 of 38 violations were CIP-2 thru CIP-9 for Jul Number of Violations of 12 violations were CIP-2 thru CIP-9 for Jul 8 21of 23 violations were CIP-2 thru CIP-9 for Jan 1 4 of 9 violations were CIP-2 thru CIP-9 for Jul 1 6 of 11 violations were CIP-2 thru CIP-9 for Dec 1 5 J-7 J-7 A-7 S-7 O-7 N-7 D-7 J-8 F-8 M-8 A-8 M-8 J-8 J-8 A-8 S-8 O-8 N-8 D-8 J-9 F-9 M-9 A-9 M-9 J-9 J-9 A-9 S-9 O-9 N-9 D-9 J-1 F-1 M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year of Deemed Date 14

15 Deem Date Trend for Active and Closed Violations of the 57 violations were CIP-2 thru CIP-9 Number of Violations of the 346 violations were CIP-2 thru CIP-9 36 of the 387 violations were CIP-2 thru CIP-9 1 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Deem Date of Violation 15

16 CIP versus Non-CIP Violation Trend All time Number of Violations J-7 A-7 O-7 D-7 F-8 A-8 J-8 A-8 O-8 D-8 F-9 A-9 J-9 A-9 O-9 D-9 F-1 A-1 J-1 A-1 O-1 D-1 F-11 Month and Year of Violation Submission Non-CIP Violations (US only) CIP Violations (US only) 16

17 Mitigation Status Number of Violations M-1 A-1 M-1 J-1 J-1 A-1 S-1 O-1 N-1 D-1 J-11 F-11 M-11 Month and Year Region Awaiting MP (A) Entity Implementation (E) MP Validated Complete (G) 17

18 Mitigation Plan Status by Discovery Month for ALL Violations - June 27 thru March # of Violations Discovery Month / Year Dismissed Completed In Progress No MP 18

19 Mitigation Plan Status by Discovery Month for Open Violations - June 27 thru March # of Violations Discovery Month / Year Completed In Progress No MP 19

20 Rolling Six Month MP - Average days from Discovery to Validate October 1, 21 thru March 31, 211 Total of 545 violations with a 6 month average days to validate of Average Number of Days Month/Year Mitigation Plan Validated Complete 2

21 TOP TWENTY MOST VIOLATED STANDARDS

22 Top 2 FERC Enforceable Standards Rolling 12 Months Submit Dates: 4/1/21 thru 3/31/ Number of Violations Standards Analysis Complete: PRC-5, CIP-4, FAC-8, FAC-9, CIP-1, VAR-2, PER-2, CIP-6, CIP-7 April 6, 211

23 Top 2 All Time FERC Enforceable Standards Violated Active and Closed Violations thru 3/31/ Number of Violations Standard Analysis Complete: PRC-5, CIP-4, FAC-8, FAC-9, CIP-1, VAR-2, PER-2, CIP-6, CIP-7 April 6, 211

24 MONTHLY REPORTING UPDATES

25 Snapshot comparison between March 1, 211 and March 31, New 19 Preliminary Alleged Violation Information Submitted State 1 (Assessment and Validation) Substate A (Region Preparing NAVAPS NAVAPS NAVAPS Received By NERC and Concurrently sent to Registered Entity 55 Substate C (NERC Reviewing NAVAPS and Awaiting Registered Entity Response) -33 State 2 (Confirmation) NOAV Accepted or Not Contested Substate D (Region Preparing NOCV) NOCV +4 NOCV Received by NERC State 3 (Regulatory Filings) Substate H (NERC Reviewing NOCV and Settlement and Preparing NOP) -43 NERC issues NOP State 4 (Filed/Awaiting Closing Actions) Substate I (Awaiting Closing Action) 157 State 5 (Closing) Substate J (Violations Closed) Substate E (Pending Hearing ) Hearing decision Not appealed No hearing requested 3 Substate F (RE Hearing Process) Hearing Hearing decision requested appealed to NERC +7 1 NERC affirms hearing decision Substate G (NERC Appeal Process) Region approved settlement 48 Alleged violation Dismissed in State 1 73 Dismissal Alleged violation Dismissed in State 2 18 NERC remanded hearing decision 22 Legend: PNOAV Preliminary Notice of Alleged Violation NAVAPS Notice of Alleged Violation NOCV Notice of Confirmed Violation NOP Notice of Penalty Initiation of Settlement Negotiations (Anytime after preliminary alleged violation information received) 147 Substate K (Settlement Negotiations in Progress) Settlement Negotiation State +64 Page 1 of 7

26 C-RATS Violation Process State Summary Table Active FERC Enforceable Alleged Violations Below is a breakdown, as of March 31, 211 of the Compliance Monitoring and Enforcement Program (CMEP) Violation state summary for the 4852 active violations. Assessment and Validation Confirmation Settlement Substate C (NERC Reviewing Substate D Substate G NAVAP and (Region Substate E Substate F (NERC Substate K Substate A (NERC awaiting RE Preparing (Pending (RE Hearing Appeal (Settlement Reviewing) Response) NOCV) Hearing) Process) Process) Negotiations) Regulatory Filings Substate H (NERC Reviewing NOCV / Settlement) Filed/Awaiting Closing Actions Substate I (NERC Issues NOP) Completed and Closed Substate J (Violation Closed) Region (New) Total FRCC (11) MRO (9) NPCC (14) RFC (61) SERC (16) SPP (9) TRE (38) WECC (32) NERC () TOTAL (19) Percentage of Total 26.3% 1.13%.47%.35%.62%.% 21.58% 7.96% 9.1% 32.85% State Totals Definitions Substate A = Preliminary Notice of Alleged violation information has been received from the Region and NERC is awaiting receipt of Notice of Alleged Violation Proposed Penalty or Sanction from the Region. Substate C = NERC has received Notice of Alleged Violation Proposed Penalty or Sanction and is awaiting acceptance, auto acceptance or contest. Substate D = Region received acceptance letter from Registered Entity, or 3 day clock expired and violation is Auto Accepted and is now Confirmed. Substate E = Region has received letter contesting violation from Registered Entity. Substate F = Region has received request for Hearing from Registered Entity. Substate G = NERC has received request for Appeal from Registered Entity. Substate H = NERC has received a Notice of Confirmed Violation or a Settlement Agreement from the Region. Substate I = Violation is Confirmed/Settled and a Notice of Penalty has been issued by NERC to Registered Entity and submitted to FERC. Substate J = Payment of Penalties, Fulfillment of Sanctions, Completion of Mitigation Plan, Exhaustion of Administrative and Judicial Remedies, and Fulfillment of Settlement terms have all been met and violation is closed. Substate K = Settlement negotiations are in progress. * Includes new violations received through 3/31/211. Page 2 of 7

27 Snapshot comparison between March 1, 211 and March 31, Dismissed 13 State 1 (Assessment and Validation) 1263 Change +27 Dismissed State 2 (Confirmation) 125 Change -22 Dismissed State 3 (Regulatory Filings) NERC Reviewing NOCV and Settlement and Preparing NOP 386 Change State 4 (Filed/Awaiting Closing Action) NERC Issues NOP 437 Change -28 State 5 (Completed and Closed) Total closed Settlement State 147 Change Dismissed Page 3 of 7

28 C-RATS Pending Violations Summary by Process Steps FERC Enforceable Alleged Violations Summarized by State Below is a breakdown, as of March 31, 211, of the Compliance Monitoring and Enforcement Program (CMEP) Violation Process Steps summarized by State for the 4852 FERC enforceable violations. Assessment and Validation NERC Enforcement Actions Awaiting Closing Actions Completed and Closed Confirmation Settlement Dismissed Sub- Region Total Total FRCC MRO NPCC RFC SERC SPP TRE WECC NERC TOTAL * Includes new violations received through 3/31/211. C-RATS Report Date: 4/5/211 Page 4 of 7

29 C-RATS Summary of all Post June 18, 27 Alleged Violations by Region Below is a breakdown, as of March 31, 211 of the Compliance Monitoring and Enforcement (CMEP) alleged violation summary for all 6391 violations. Dismissed Previously Closed Newly Closed Total FERC Enforceable Normalized by Registered Entity % Non- Document Related Total Canadian Violations FRCC % 437 MRO % NPCC % RFC % 828 SERC % 79 SPP % 537 TRE % 35 WECC % 2849 NERC % 17 TOTAL % Total Includes new violations received through 3/31/211. C-RATS Report Date: 4/6/211 Page 5 of 7

30 Snapshot comparison between March 1, 211 and March 31, 211 State 1 (Regional Assessment) State 2 (NERC Assessment) State 3 (Mitigation Plan Implementation) State 4 (Regional Verification of Completion) State 5 (Closing) 19 New Mitigation Plan requested by Regional Entity 86 Substate A (Region awaiting mitigation plan) Region Awaiting +59 Proposed mitigation plan received by Regional Entity 353 Substate B (Region reviewing mitigation plan) Region Reviewing Region accepts active MP and sends to NERC and the Registered Entity NERC remands active MP for revision 99 Substate C (NERC reviewing active mitigation plan) NERC Reviewing Active MP -62 Active MP becomes completed/ verified prior to NERC approval NERC approves active MP and sends to FERC 253 Substate E (Registered Entity Implementing Mitigation Plan) Mitigation Implementation +34 Mitigation Plan is Complete 171 Substate F (Region Verifying Mitigation Plan Completion) Mitigation Verification +22 Region informs NERC that Mitigation Plan is Complete and Verified 174 Substate G (Mitigation Plan Validated Complete) Mitigation Completed Violation Mitigated Region accepts and verifies completed MP and sends to NERC and the Registered Entity NERC remands completed MP for revision NERC Reviewing Completed MP Substate D (NERC reviewing completed mitigation plan) NERC approves completed MP 35 Dismissal Page 6 of 7

31 C-RATS Mitigation Plans Process State Table Active FERC Enforceable Alleged Violations Below is a breakdown, as of March 31, 211, of the Compliance Monitoring and Enforcement Program (CMEP) Mitigation Plan state summary for the 1937 active violations. Region State 1 State 2 State 3 State 4 State 5 (Regional Assessment) (NERC Assessment) (Mitigation Plan Implementation) (Regional Verification of Completion) (Closing) Substate A Substate B Substate C Substate D Substate E Substate F Substate G Mitigation Accepted MP NERC Regional Plan Region Region Not Received Reviewing NERC Reviewing Registered Entity Verification of Validated Awaiting Reviewing from Region Active MP Completed MP Implementation MP Completion Complete FRCC MRO NPCC RFC SERC SPP TRE WECC NERC TOTAL State Totals Definitions Substate A = Region is still awaiting receipt of mitigation plan from Registered Entity. Substate B = Region has received mitigation plan and is reviewing. Substate C = NERC has received mitigation plan and is reviewing. Also includes any mitigation plans not yet received by NERC. Substate D = Mitigation plan has been verified completed by the Region but is still awaiting approval by NERC. Substate E = Mitigation plan has been approved by NERC, and sent to FERC, but has not been completed. Substate F = Mitigation Plan has been completed per Registered Entity but is being verified by the Region. Substate G = Mitigation plan has been verified completed by Region, has been approved by NERC, and sent to FERC. Includes Mitigation Plans received through 3/31/211. Mitigation information reported at the violation level. Total Page 7 of 7