NERC Data Collection & Coordination
Rules of Procedure: Section 1600
Overview
 NERC’s authority to issue a mandatory data request in
the U.S. is contained in FERC’s rules. Volume 18 C.F.R.
Section 39.2(d) states: “Each user, owner or operator of
the Bulk-Power System within the United States (other
than Alaska and Hawaii) shall provide the Commission,
the Electric Reliability Organization and the applicable
Regional Entity such information as is necessary to
implement section 215 of the Federal Power Act as
determined by the Commission and set out in the Rules
of Procedure of the Electric Reliability Organization and
each applicable Regional Entity.”
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Rules of Procedure: Section 1600
Request Details
 A complete data request includes:
• a description of the data or information to be requested, how the
data or information will be used, and how the availability of the
data or information is necessary for NERC to meet its obligations
under applicable laws and agreements
• a description of how the data or information will be collected and
validated
• a description of the entities (by functional class and jurisdiction)
that will be required to provide the data or information (“reporting
entities”)
• the schedule or due date for the data or information
• a description of any restrictions on disseminating the data or
information (e.g., “confidential,” “critical energy infrastructure
information,” “aggregating” or “identity masking”)
• an estimate of the relative burden imposed on the reporting
entities to accommodate the data or information request
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Rules of Procedure: Section 1600
Procedure
NERC Approval Committees
Acting
Subgroup
Not Approved
Submit
Data
Request
to PC
Submit
Data
Request
to DCS
Draft
Data
Request
Not Approved
FERC Comment Period Public Comment Period
Collect,
Respond, &
Post
Comments
Post Data
Request
(45 Days)
File Data
Request
(21 Days)
Affected Parties
NERC Board of Trustees
Submit
Final Data
Request
Finalize
Data
Request
No Appeal
Submit
Data
Request
Data Rule
In Effect
Approved
Appeal
(30 Days)
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Not Approved
Rules of Procedure: Section 1600
Limitations
 NERC Registered Entities
 Subject to FERC Rules
• Data Request does not carry the same penalties to
non-U.S. entities.
• However, all NERC Registered Entities, regardless of
their country of origin, must comply with the NERC
Rules of Procedure, and as such, are required to
comply with Section 1600
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What If a GO Doesn’t Comply?
 Possible NERC actions:
• From Rule 1603: “Owners, operators, and users of
the bulk power system registered on the NERC
Compliance Registry shall comply with authorized
requests for data and information.” The data request
must identify which functional categories are required
to comply with the request. In this case, it presumably
would be Generation Owners.
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What If a GO Doesn’t Comply?
 Possible NERC actions:
• NERC will audit the GADS data submittals through
logical evaluations of the data reported and that
previously reported by the entity. Reconciliation
findings will be reviewed with the reporting entity.
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What If a GO Doesn’t Comply?
 Possible NERC actions:
• NERC may resort to a referral to FERC for only United
States entities, not Canadian entities. NERC will make
use of the mechanisms it has available for both U.S. and
Canadian entities (notices, letters to CEO, requests to
trade associations for assistance, peer pressure) to gain
compliance with the NERC Rules. A failure to comply
with NERC Rules could also be grounds for suspension
or disqualification from membership in NERC. Whether
or not NERC chooses to use that mechanism will likely
depend on the facts and circumstances of the case.
• NERC cannot impose penalties for a failure to
comply with a data request.
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What If a GO Doesn’t Comply?
 Possible FERC actions:
• All members of NERC (US and Canadian) are bound by
their membership agreement with NERC to follow
NERC’s Reliability Standards and Rules of Procedure,
including section 1600.
• Under section 215 of the Federal Power Act, FERC has
jurisdiction over all users, owners, and operators of the
bulk power system within the United States.
• FERC could treat a failure by a U.S. entity to comply with
an approved data request as a violation of a rule adopted
under the Federal Power Act using its enforcement
mechanisms in Part III of the FPA.
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What If a GO Doesn’t Comply?
 What about Canada?
• Canadian provinces who have signed agreements
stating they recognize NERC’s ERO status, will be
compliant with the NERC approved standards and
Rules of Procedure issued by the NERC Board.
• The obligation arises for the Canadian utilities if they
are members of NERC. For example, if Canadian
Utility “A” is a member of NERC, then it must go by
the Rules of Procedure, standards, etc. If Canadian
Utility “X” is not a NERC member but its providence
recognizes NERC as their ERO, then Utility “X” is not
under obligation to follow the rules.
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Questions?