Phil Fedora Philip A. Fedora Assistant Vice President-Reliability Services
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1 June 13, 2014 Members, Reliability Coordinating Committee and Members, Task Force on Coordination of Operation Members, Task Force on Coordination of Planning Members, Task Force on Infrastructure Security and Technology Members, Task Force on System Protection Members, Task Force on System Studies Re: Minutes of the RCC Meeting Sir / Madam: Attached are the minutes of the meeting of the NPCC Reliability Coordinating Committee, as approved at the June 4, 2014 meeting. Sincerely, Phil Fedora Philip A. Fedora Assistant Vice President-Reliability Services cc: NPCC Staff
2 Mr. Briggs called the meeting of the Reliability Coordinating Committee (RCC), held at the New York Times Square Residence Inn by the Marriott to order at 10:00 am. Attendance Officers of the Reliability Coordinating Committee Alden Briggs, Chair New Brunswick Power Corporation Michael Schiavone, Co-Vice Chair National Grid USA Brian Evans-Mongeon, Co-Vice Chair Utility Services, Inc. Sector 1 - Transmission Owners Central Hudson Gas & Electric Corp. Central Maine Power Company Consolidated Edison Company of New York, Inc. Long Island Power Authority National Grid USA New Brunswick Power Corporation New York Power Authority New York State Electric & Gas Corp. Northeast Utilities Nova Scotia Power Incorporated Rochester Gas & Electric Corporation The United Illuminating Company Vermont Transco Sector 2 Reliability Coordinators Hydro-Québec TransÉnergie Independent Electricity System Operator ISO-New England, Inc. New Brunswick Power Corporation New York Independent System Operator (proxy to James McCloskey) David Conroy (Alternate) Mike Forte (proxy to Anie Philip via phone) Michael Schiavone (proxy to Alden Briggs) (proxy to Randy Crissman) Ray Kinney Brad Bentley (via written proxy) John Allen (Alternate - via phone) Robert Pelligrini Jonathan Appelbaum (via phone) (via written proxy) Pierre Paquet Barbara Constantinescu Mike Henderson Alden Briggs Dana Walters (Alternate) Sector 3 Transmission Dependent Utilities, Distribution Companies and Load Serving Entities Hydro-Québec Distribution Stephane Dufrense (via phone) New York Power Authority (proxy to Randy Crissman) Long Island Power Authority Anie Philip (Alternate via phone) Northeast Utilities Dwayne Basler 2
3 Sector 4 Generation Owners Dominion Energy Marking, Inc. Dynegy, Inc. Entergy Nuclear Northeast Long Island Power Authority New York Power Authority NextEra Energy Resources Northeast Utilities Mike Garton (via phone) (via written proxy) Tom Czerniewski (via phone) (proxy to Anie Philip via phone) Randy Crissman (via written proxy) (proxy to Dwayne Basler) Sector 5 Marketers, Brokers, and Aggregators Constellation Energy Commodities Group (via written proxy) HQ Energy Marketing Inc. (via written proxy) HQ Energy Services (US) Inc. (via written proxy) Long Island Power Authority (proxy to Anie Philip via phone) New York Power Authority (proxy to Randy Crissman) PPL EnergyPlus, LLC Elizabeth Davis (Alternate - via phone) Utility Services Brian Evans-Mongeon Sector 6 State and provincial Regulatory and/or Governmental Authorities New York Power Authority (proxy to Randy Crissman) New York State Department Ed Schrom (Alternate) of Public Service Sector 7 Sub-Regional Reliability Councils, Customers, other Regional Entities and Interested Entities New York State Reliability Council, LLC Roger Clayton (via phone) NPCC Staff Gerry Dunbar Phil Fedora Brian Hogue Stanley Kopman Quoc Le Jennifer Mattiello John Mosier, Jr. Scott Neid Andrey Oks (via phone) Manager of Reliability Criteria Requirements Assistant Vice President, Reliability Services Information Systems & Security Management Assistant Vice President of Compliance Registration & Enforcement Manager, System Planning and Protection Vice President & Chief Operating Officer Assistant Vice President of System Operations Manager, Compliance Program Development Manager, Reliability Performance Criteria 3
4 Frantz Roc Paul Roman Ralph Rufrano Edward Schwerdt Guests Paul DiFilippo Marc Dusseault Gregory Goodrich Dean Latulipe (via phone) Jim McCloskey John Norden Isen Widjaja (via phone) Raey Yohannes (via phone) Manager, Information Technologies Manager, Operations Planning Manager, Event Analysis President & Chief Executive Officer Chair, Task Force on System Protection Chair, Task Force on Coordination of Planning Chair, Task Force on Infrastructure Security & Technology Chair, SS-38 Working Group Central Hudson Gas & Electric Chair, Task Force on Coordination of Operation Chair, Load Modeling Working Group Entergy Services, Inc. Quorum Statement Mr. Fedora indicated that a quorum had been achieved, by member attendance, proxy or alternate designation. He also noted having received the following written proxies: Sector 1 Transmission Owners Paul Casey Nova Scotia Power Incorporated Paul Renaud Vermont Electric Power Company, Inc. Sector 4 Generator Owners Allen D. Schriver - NextEra Energy Resources James Watson Dynegy, Inc. Sector 5 Marketers, Brokers, and Aggregators Glenn McCartney - Constellation Energy Commodities Group, Inc. Yannick Vennes HQ Energy Marketing Inc. Louis Guilbault - HQ Energy Services (US) Inc. Antitrust Guidelines for NPCC Meetings Mr. Fedora reviewed the NPCC Antitrust Guidelines in the Agenda package, and suggested contacting NPCC Inc. s Secretary, Andrianne S. Payson, at (212) for further information. 4
5 President & CEO Report Mr. Schwerdt reported on the following items: Bulk Electric System Definition Following a 74% affirmative vote from the industry ballot body and a unanimous approval by the NERC Board of Trustees during their November 21, 2013 teleconference meeting, NERC filed the revised BES Definition with FERC on December 13, 2013 with a request for expedited action. Timely approval by FERC is necessary for an orderly implementation in the U.S. of the revised definition effective July 1, In anticipation of that implementation, work on BES Exception Process ERO-wide IT tool has continued, addressing some technical issues identified during the end-to-end testing by NERC and Regional staffs. Guidelines for evaluating BES exception requests and guidelines for reviewing self-determined notifications have been developed to both enhance the efficiency of the processes and to support consistency between the Regional Entities. Reference documentation for stakeholder users is under development and currently out for industry comment. Last week s RSC meeting included a review of the current draft document. Finally, stakeholder training regarding the implementation of the definition and use of the BES tool is being scheduled, including a session in conjunction with the May 2014 NPCC Compliance and Standards Workshop being held in Cooperstown, New York. ERO Enterprise Strategic Plan The NERC Board of Trustees at its February 6, 2014 meeting approved the ERO Enterprise Strategic Plan for 2014 through 2017 as it was modified based on discussions at the previous day s Member Representatives Committee meeting. The five Enterprisewide Goals can be summarized as follows: Goal 1 Develop clear, reasonable and sound mandatory standards that are practical to implement and cost effective Goal 2 Implement risk-based registration, compliance and enforcement that holds industry accountable for violations Goal 3 Support a culture of compliance that addresses reliability risks and leverages the industry s internal controls Goal 4 - Identify and prioritize risks and consistently analyze events and system performance Goal 5 Operate a collaborative enterprise with improved efficiencies and cost effectiveness 2015 Business Plan and Budget NERC and the eight Regional Entities are currently working on establishing shared business plan and budget assumptions to support the development of a more collaborative ERO Enterprise plan for the 2015 Business Cycle. NPCC will be providing an initial draft of its 2015 Business Plan and Budget to the NPCC Finance and Audit Committee in 5
6 mid-april, with a review by the full Board scheduled for their April 29, 2014 meeting. NERC is looking to post Draft 1 of its 2015 Business Plan and Budget, along with all of the Regional Entity BP&Bs by mid-may. A presentation to the RCC on the NPCC BP&B is scheduled for the June RCC meeting, with final NPCC Board approval expected in late June. Chair Report Meeting Agenda Mr. Briggs said he had received no changes to the meeting Agenda as provided in the Agenda package. The RCC then approved the Agenda. Events Analysis Lessons Learned Template Mr. Briggs refereed to the Events Analysis Lessons Learned Template provided in the Agenda package. He stated that comments received from the RCC review of the template have been incorporated. Common Task Force Statement of Purpose Mr. Briggs indicated that the Task Force Chairs have agreed to common wording for their respective Task Force s Statement of Purpose; the Task Forces will be presenting their revised Task Force Scopes for approval at the June 2014 RCC meeting. Approved RCC Work Plan Mr. Briggs explained that at their January 29, 2014 meeting, the NPCC Board approved the RCC Work Plan, adding the highlighted words to the extent possible, are conducted in an efficient and cost-effective manner, as shown in the Agenda package. Consent Agenda The Reliability Coordinating Committee unanimously approved the following Consent Agenda items (all written proxies in favor, with three abstentions: Sector 5, Marketers, Brokers, and Aggregators - Glen McCartney, Constellation Energy Commodities Group, Inc., Louis Guilbault, HQ Energy Services (US) Inc., and Yannick Vennes, HQ Energy Marketing Inc.): September11, 2013 Meeting Minutes The Draft-For-Approval Minutes of the December 3, 2013 Reliability Coordinating Committee were approved, with corrections noted. RCC Membership Changes The following changes to RCC Membership were approved: 6
7 Sector 1, Transmission Owners Mr. James McCloskey of Central Hudson Gas & Electric Corporation succeeds Mr. Thomas C. Duffy, as the member. Task Force Roster Changes The following changes to Task Force and Working Group memberships were approved: Task Force on Coordination of Operation Mr. Robert Reinmuller succeeds Mr. Paul Tremblay as a member, both of Hydro One, Inc. Mr. Tony O Hara succeeds Mr. Alden Briggs as a member, both of New Brunswick Power Corporation. CO-1 Control Performance Working Group Mr. David Devereaux to represent the Ontario Independent Electric System Operator as an alternate. Mr. Ed Rappold to represent ISO-New England as an alternate. CO-2 Working Group on System Operator Training Ms. Diane Leferriere of HQ TransEnergie succeeds Mr. Stephen George of ISO New England, Inc. as Chair. Mr. Eduardo Sanchez to replace Mr. Stephen George as the ISO-New England, Inc. as member. Mr. Keith Harris of New York Independent System Operator to serve as Vice Chair. CO-12 System Operator Training Working Group Mr. Michael Courchesne to replace Mr. Yan Beachamp as the CO-12 Chairman. Ms. Candida D Costa to replace John Medal as the IESO alternate representative. SS-38 Inter-Area Dynamic Analysis Working Group Mr. Emeka Ojukwu will represent New York Independent System Operator as a member. Mr. Tao has retired. SS-38 Load Modeling Ad Hoc Working Group Mr. Daniele D Aquila succeeds Mr. Tao as member. Interim Review of Resource Adequacy Approved as provided in the Agenda package. Mr. Bentley noted corrections to his transmittal letters NPCC SPS List, BPS List, UVLS Program List, Major Projects List, and DCT Exclusions List Approved as referenced in the Agenda package. A-10 Implementation Plan Update Approved as provided in the Agenda package. Chicopee Alternative UFLS Plan Approved as provided in the Agenda package. 7
8 Reliability Coordinating Committee Actions NPCC 2013 Long Range Adequacy Overview Mr. Fedora explained that this study evaluated, on a consistent basis, the long range adequacy of NPCC and neighboring Regions plans to meet their Loss of Load Expectation (LOLE) planning criteria through a multi-area probabilistic assessment for the period from 2014 to 2018, based on the reported NERC 2013 Long Term Reliability Assessment data. Mr. Dusseault added that the Task Force on Coordination of Planning discussed and approved the overview at their February 5, 2014, meeting, and requested RCC approval. The RCC then approved the NPCC 2013 Long Range Adequacy Overview as provided in the Agenda (all written proxies in favor, with two abstentions: Sector 5, Marketers, Brokers, and Aggregators - Louis Guilbault, HQ Energy Services (US) Inc., and Yannick Vennes, HQ Energy Marketing Inc.). Mr. Henderson indicated he would be contacting Mr. Fedora suggesting some editorial changes following the meeting NPCC Summer Reliability Assessment Mr. Roman presented the preliminary results of the 2014 NPCC Summer Reliability Assessment provided in the Agenda package. He explained that the NPCC CO 12 Seasonal Assessment Working Group focused on the assessment of reliability within NPCC for the 2014 Summer Operating Period. Mr. Fedora then provided the CP-8 Working Group s multi area probabilistic reliability assessment regarding the estimated use of operating procedures designed to mitigate resource shortages for the same period. He also provided the RCC with the preliminary weather projection for the 2014 summer period. In response to a question, Mr. Fedora indicated that the assessment also compares last year s actual experience with that estimated in the previous year s (2013) assessment. The schedule for RCC review and Task Force approvals was discussed; public release of the assessment will be provided at a May 1, 2014 Media Event. Status Reports Mr. Briggs referred the RCC to the materials provided in the Agenda package; the RCC discussed the following Agenda items: 8
9 NPCC Regional Standards Committee (RSC) Report Mr. Dunbar highlighted the materials described in the Agenda package; he indicated that the pace of NERC Standard development activity has been very aggressive this year, and that this high level of activity is expected to continue going forward in He then highlighted the following activities: approval of the NPCC Regional Standard Processes Manual; development of the continent wide Disturbance Monitoring Standard PRC , and the related Cost Effective Analysis Process; and, development of the continent-wide Cost Effective Analysis Process. NPCC Reliability Directory Status Report Mr. Dunbar referred the RCC to the materials provided in the Agenda package. NPCC Compliance Committee Mr. Kopman provided a brief summary of the materials provided in the Agenda package, and provided a highlight of aspects of the RAI Pilot Program. Mr. Schwerdt added that transitioning toward the uniform ERO-wide Self-Certification schedule described in the Agenda package will provide greater consistency and lessen the burden for those registered in more than one Region. SS-38 Working Group Update Mr. Widjaja stated that the SS-38 Load Modeling Working Group continues to make progress on the load modeling study effort, and reviewed the materials provided in the Agenda package. Mr. Latulipe indicated that the SS-38 Working Group on Inter-Area Dynamic Analysis continues to make good progress on the UFLS Adequacy Assessment Study. He reported that the S-38 Working Group has mostly completed the work on identification of islands to be studied by performing coherent generation analysis including the use multiple methods of forming islands. Results of the work completed by each Area are being documented; during the first Quarter of 2014, all Areas are expected to complete the preliminary assessment of the NPCC UFLS program. Sensitivity analysis will be conducted during this summer. TFCO/TFCP Phase 2 revision of Directory No. 1 Mr. Dunbar reported that the CP-11 /CO-7 Working Group have reviewed the revision of Directory No. 1 through a series of weekly WebEx meetings in 2013 and posted the draft of the Directory for Open Process review on December 11, 2013; the review concluded on January 25, The CP-11/CO-7 Working Group has reconvened and will be considering any resultant revision of Directory No. 1 to address the comments received. 9
10 TFIST Cyber Update Mr. Goodrich highlighted the following items provided in the Agenda package: an update on CIP Version 5; FERC Order 791; and, NERC Project: CIP Version 5 Revisions Standard Drafting Team activities. The RCC discussed substation relay communication with respect to the level of protection to be assigned under CIP TFSP Update Mr. DiFilippo referred the RCC to the materials provided in the Agenda package regarding the SP-7 Working Group s review of Protection Systems Misoperations and the BPS Risk Reduction Implementation Status Report Task Force Work Plan Progress The Chairs of the NPCC Task Forces provided a brief summary of their respective Task Force Work Plan Progress reports provided in the Agenda package. NPCC Reliability Assessment Program (NRAP) Highlights Report Mr. Fedora indicated that the NPCC Reliability Assessment Program Highlights Report has been updated as of February 21, 2014 and is posted on the NPCC website. NERC Agenda Items Operating Committee (OC) Mr. Mosier reviewed the following March 2014 NERC Operating Committee Agenda items: continued monitoring of the implementation of the Operating Reliability Coordination Agreement; review of the Geomagnetic Disturbance Planning Guide; and, the transition of NERCnet to the Eastern Interconnection Data Sharing Network. Planning Committee (PC) Mr. Fedora reviewed the following March 2014 NERC Planning Committee Agenda items: roundtable discussion of identified strategic Regional issues to help the Planning Committee prioritize its work activities moving forward; formation of the Essential Reliability Services Task Force; Integration of Variable Generation Task Force follow-up activities; and, approval of a revised metric for ALR1-4 one that better reflects the loss of supply from BPS generation/transmission events rather than from distribution level events. 10
11 Critical Infrastructure Protection Committee (CIPC) Mr. Hogue reported that there were no voting items on the March 2014 NERC Critical Infrastructure Committee Agenda; the previously identified Cyber Security issues will be discussed. Informational Items Mr. Briggs referred the RCC to the materials included in the Agenda package. The following Informational Items were discussed at the meeting: Executive Order and Presidential Policy Directive 21/NIPP/NIST Update Mr. Goodrich provided an update of the information provided in the Agenda package regarding the National Infrastructure Protection Plan and the 2014 NIST Framework for Improving Critical Infrastructure Cybersecurity. He explained that the Integrated Task Force will continue on information sharing, research and development with a focus on public and private sector partnership. The re-alignment within US Government agencies impacted Sector Specific that spawned updates to the Electric Sub-sector Coordinating Council. Cyber-Physical Security Update Mr. Goodrich provided an overview of the material provided in the Agenda package. He stated the GridEx II report is expected to be released soon, and described plans for GridEx III in White House Quadrennial Energy Review Mr. Goodrich referred the RCC to the materials in the Agenda package regarding the Presidential Memorandum that established a Quadrennial Energy Review. Definition of the Bulk Electric System Mr. Fedora described the recent activities related to the revised definition of the Bulk Electric System (BES). They included posting of guidance documents and other supporting materials on the NERC Bulk Electric System Definition, Notification, and Exception Process Project Web Page. He also reminded the RCC of the BES related sessions scheduled for the Spring NPCC Compliance and Standards Workshop. A pre-workshop training session is scheduled for explaining how to submit BES Self-Determined Notifications and BES Exception Requests through the BESNet application. Events Analysis Program Overview and Status Mr. Rufrano provided a status and overview of the Events Analysis program provided in the Agenda package. 11
12 July 3 rd Quebec Event Mr. Paquet provided a brief overview of the July 3, 2013 Quebec event. He indicated that Quebec is in the process of providing the NPCC Task Forces detailed presentations of the event and Quebec s Action Plan to address the lessons learned. He stated that a Final Report summarizing the event and any corresponding NPCC Task Force recommendations are expected to be presented at the June 2014 RCC meeting. Eastern Interconnection Frequency Response Activities Mr. Briggs referred the RCC to the materials in the Agenda package. Other Matters Mr. Briggs noted the announced retirement of Ms. Constantinescu from the IESO and recognized her contributions. She responded that she was grateful to be provided the opportunity to work with the RCC over the years. The RCC wished her the very best in her future plans. The RCC meeting was then adjourned. Next RCC Meeting Date June 4, 2014 Location New York Times Square Residence Inn by the Marriott Distribution of Approved Minutes NPCC Full & General Member Representatives and Alternates Members, NPCC Board of Directors Members, NPCC Reliability Coordinating Committee Members, NPCC Public Information Committee Members, NPCC Compliance Committee Members, NPCC Regional Standards Committee Members, NPCC Task Force on Coordination of Operation Members, NPCC Task Force on Coordination of Planning Members, NPCC Task Force on Infrastructure Security and Technology Members, NPCC Task Force on System Protection Members, NPCC Task Force on System Studies NPCC Officers NPCC Staff Andrew J. Fawbush, Esq. Andrianne S. Payson, Esq. and Federal Energy Regulatory Commission Mike Bardee, David O Connor, Juan Villar 12
13 La Régie de L Énergie Daniel Soulier Ontario Energy Board Peter Fraser United States Department of Energy David Meyer New Brunswick Department of Energy and Mines David Sallows Nova Scotia Utility & Review Board S. Bruce Outhouse, Q.C. 13
Phil Fedora Philip A. Fedora Assistant Vice President-Reliability Services
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