Culturing Compliance: NERC, Federal Energy Regulatory Commission, Regional Entities and you

NERC, Federal Energy Regulatory Commission, Regional Entities and your entity all work in concert to regulate, protect and distribute the nation’s energy supply. While all the governing bodies can seem confusing and bureaucratic, understanding how they work in concert together can help you foster a culture of compliance, improve your overall operations, profits and protect your assets.

NERC, Federal Energy Regulatory Commission and Regional Entities: Partners in regulation

The Federal Energy Regulatory Commission (FERC) is an independent agency that regulates the interstate transmission of electricity, natural gas and oil. FERC has jurisdiction over wholesale electricity rates, natural gas pricing and oil pipeline rates.

While the Federal Energy Regulatory Commission concerns itself with the transmission of energy, NERC ensures the bulk power system is reliable and secure. NERC has over 90 Reliability Standards including Critical Infrastructure Protection standards that protect your entity’s cyber assets.

The eight NERC Regional Entities enforce NERC in their designated region, perform audits and work to improve the reliability of the nation’s bulk power system.

NERC, Federal Energy Regulatory Commission and Regional Entities all have certain guidelines and compliance requirements that all energy entities in North America must follow to avoid hefty penalties and interruptions to their operations.

Compliance with NERC, Federal Energy Regulatory Commission=

To maintain compliance with NERC and  the Federal Energy Regulatory Commission, your entity needs to be aware of all the nuances and changes to their regulations and standards. Both NERC and FERC perform routine audits and investigations into compliance violations. Non-compliance can result in hefty civil penalties and sanctions, which can be devastating to your entity’s operations and profit margin.

NERC has a very specific and complication program for compliance. FERC, on the other hand does not mandate a specific program for compliance but prefers a compliance program that focuses on:

  • The role of senior management in fostering compliance

  • Effective preventive measures to ensure compliance

  • Prompt detection, cessation, and reporting of violation

  • Remediation efforts

Managing the compliance requirements of both entities is essential–but can be confusing.

Operations Based Portal Compliance for NERC, Federal Energy Regulatory Commission Compliance

Versify Solutions developed its Portal Compliance software to help energy entities navigate FERC and NERC standards and regulations everyday, in real-time. Portal Compliance is an automated workflow solution that includes a management dashboard. As FERC and NERC regulations are updated, Portal Compliance is updated so it stays compliant with the NERC Federal Energy Regulatory Commission.The software works directly with your existing operations division to ensure compliance and satisfy the stands for NERC and FERC.

For more information, contact Versify Solutions today.