[Federal Register Volume 88, Number 61 (Thursday, March 30, 2023)]
[Notices]
[Pages 19124-19126]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-06600]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. RD23-3-000]


Commission Information Collection Activities (FERC-725B(5)); 
Comment Request; Extension

AGENCY: Federal Energy Regulatory Commission, Department of Energy.

ACTION: Notice of information collection and request for comments.

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SUMMARY: In compliance with the requirements of the Paperwork Reduction 
Act of 1995, the Federal Energy Regulatory Commission (Commission or 
FERC) is soliciting public comment on the currently approved 
information collection, FERC-725B(5), (Mandatory Reliability Standards, 
Critical Infrastructure Protection (CIP-003-9)--Temporary Placeholder 
for FERC-725B that is pending approval at OMB.

DATES: Comments on the collection of information are due May 30, 2023.

ADDRESSES: You may submit copies of your comments (identified by Docket 
No. RD23-3-000) by one of the following methods:
    Electronic filing through http://www.ferc.gov, is preferred.
     Electronic Filing: Documents must be filed in acceptable 
native applications and print-to-PDF, but not in scanned or picture 
format.
     For those unable to file electronically, comments may be 
filed by USPS mail or by hand (including courier) delivery:
    [cir] Mail via U.S. Postal Service Only: Addressed to: Federal 
Energy Regulatory Commission, Secretary of the Commission, 888 First 
Street NE, Washington, DC 20426.
    [cir] Hand (including courier) Delivery: Deliver to: Federal Energy 
Regulatory Commission, 12225 Wilkins Avenue, Rockville, MD 20852.
    Instructions: All submissions must be formatted and filed in 
accordance with submission guidelines at: http://www.ferc.gov. For user 
assistance, contact FERC Online Support by email at 
[email protected], or by phone at (866) 208-3676 (toll-free).
    Docket: Users interested in receiving automatic notification of 
activity in this docket or in viewing/downloading comments and 
issuances in this docket may do so at http://www.ferc.gov.

FOR FURTHER INFORMATION CONTACT: Ellen Brown may be reached by email at 
[email protected], telephone at (202) 502-8663.

SUPPLEMENTARY INFORMATION: 
    Title: FERC-725B(5) (Mandatory Reliability Standards, Critical 
Infrastructure Protection (CIP-003-9))--Temporary Placeholder for FERC-
725B that is pending approval at OMB.
    OMB Control No.: 1902-NEW.
    Type of Request: New collection request for FERC-725B(5)--temporary 
placeholder for FERC-725B information collection requirements with 
changes to the reporting requirements.
    Abstract: On August 8, 2005, Congress enacted the Energy Policy Act 
of 2005.\1\ The Energy Policy Act of 2005 added a new section 215 to 
the Federal Power Act (FPA),\2\ which requires a Commission-certified 
Electric Reliability Organization to develop mandatory and enforceable 
Reliability Standards,\3\ including requirements for cybersecurity 
protection, which are subject to Commission review and approval. Once 
approved, the Reliability Standards may be enforced by the Electric 
Reliability Organization subject to Commission oversight, or the 
Commission can independently enforce Reliability Standards.
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    \1\ Energy Policy Act of 2005, Public Law 109-58, sec. 1261 et 
seq., 119 Stat. 594 (2005).
    \2\ 16 U.S.C. 824o.
    \3\ Section 215 of the FPA defines Reliability Standard as a 
requirement, approved by the Commission, to provide for reliable 
operation of existing bulk-power system facilities, including 
cybersecurity protection, and the design of planned additions or 
modifications to such facilities to the extent necessary to provide 
for reliable operation of the Bulk-Power System. However, the term 
does not include any requirement to enlarge such facilities or to 
construct new transmission capacity or generation capacity. Id. at 
824o(a)(3).
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    On February 3, 2006, the Commission issued Order No. 672,\4\ 
implementing FPA section 215. The Commission subsequently certified the 
North American Electric Reliability Corporation (NERC) as the Electric 
Reliability Organization. The Reliability Standards developed by NERC 
become mandatory and enforceable after Commission approval and apply to 
users, owners, and operators of the Bulk-Power System, as set forth in 
each Reliability Standard.\5\ The CIP Reliability Standards require 
entities to comply with specific requirements to safeguard bulk 
electric system (BES) Cyber Systems \6\ and their associated BES Cyber 
Assets. These standards are results-based and do not specify a 
technology or method to achieve compliance, instead leaving it up to 
the entity to decide how best to comply.
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    \4\ Rules Concerning Certification of the Elec. Reliability 
Org.; and Procedures for the Establishment, Approval, and Enf't of 
Elec. Reliability Standards, Order No. 672, 71 FR 8661 (Feb. 17, 
2006), 114 FERC ] 61,104, order on reh'g, Order No. 672-A, 71 FR 
19814 (Apr. 28, 2006), 114 FERC ] 61,328 (2006).
    \5\ NERC uses the term ``registered entity'' to identify users, 
owners, and operators of the Bulk-Power System responsible for 
performing specified reliability functions with respect to NERC 
Reliability Standards. See, e.g., Version 4 Critical Infrastructure 
Protection Reliability Standards, Order No. 761, 77 FR 24594 (Apr. 
25, 2012), 139 FERC ] 61,058, at P 46, order denying clarification 
and reh'g, 140 FERC ] 61,109 (2012). Within the NERC Reliability 
Standards are various subsets of entities responsible for performing 
various specified reliability functions. We collectively refer to 
these as ``entities.''
    \6\ NERC defines BES Cyber System as ``[o]ne or more BES Cyber 
Assets logically grouped by a responsible entity to perform one or 
more reliability tasks for a functional entity.'' NERC, Glossary of 
Terms Used in NERC Reliability Standards, at 5 (2020), https://www.nerc.com/files/glossary_of_terms.pdf (NERC Glossary of Terms). 
NERC defines BES Cyber Asset as
    A Cyber Asset that if rendered unavailable, degraded, or misused 
would, within 15 minutes of its required operation, mis-operation, 
or non-operation, adversely impact one or more Facilities, systems, 
or equipment, which, if destroyed, degraded, or otherwise rendered 
unavailable when needed, would affect the reliable operation of the 
Bulk Electric System. Redundancy of affected Facilities, systems, 
and equipment shall not be considered when determining adverse 
impact. Each BES Cyber Asset is included in one or more BES Cyber 
Systems.
    Id. at 4.
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    The Commission has approved multiple versions of the CIP 
Reliability Standards submitted by NERC, partly to address the evolving 
nature of cyber-related threats to the Bulk-Power System. High impact 
systems include large control centers. Medium impact systems include 
smaller control centers, ultra-high voltage transmission, and large 
substations and generating

[[Page 19125]]

facilities. The remainder of the BES Cyber Systems are categorized as 
low impact systems. Most requirements in the CIP Reliability Standards 
apply to high and medium impact systems; however, a technical controls 
requirement in Reliability standard CIP-003, described below, applies 
only to low impact systems.
    The Commission is currently revising CIP-003 on this submission of 
Docket No. RD23-3-000 to update CIP-003-8 to CIP-003-9. The FERC-725B 
information collection requirements are subject to review by the Office 
of Management and Budget (OMB) under section 3507(d) of the Paperwork 
Reduction Act of 1995.\7\ OMB's regulations require approval of certain 
information collection requirements imposed by agency rules.\8\ Upon 
approval of a collection of information, OMB will assign an OMB control 
number and expiration date. Respondents subject to the filing 
requirements will not be penalized for failing to respond to these 
collections of information unless the collections of information 
display a valid OMB control number. The Commission solicits comments on 
the Commission's need for this information, whether the information 
will have practical utility, the accuracy of the burden estimates, ways 
to enhance the quality, utility, and clarity of the information to be 
collected or retained, and any suggested methods for minimizing 
respondents' burden, including the use of automated information 
techniques.
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    \7\ 44 U.S.C. 3507(d) (2012).
    \8\ 5 CFR 1320.11 (2017).
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    Reliability Standard CIP-003-9 Security Management Controls: 
requires entities to specify consistent and sustainable security 
management controls that establish responsibility and accountability to 
protect BES Cyber Systems against compromise that could lead to mis-
operation or instability on the Bulk-Power System. Specifically, the 
Reliability Standard CIP-003-9 is revised to add requirements for 
entities to adopt mandatory security controls for vendor electronic 
remote access used at low impact BES Cyber Systems. It is part of the 
implementation of the Congressional mandate of the Energy Policy Act of 
2005 to develop mandatory and enforceable Reliability Standards to 
better ensure the reliability of the nation's Bulk-Power System.
    Type of Respondents: Business or other for profit, and not for 
profit institutions.
    Estimate of Annual Burden: 9
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    \9\ ``Burden'' is the total time, effort, or financial resources 
expended by persons to generate, maintain, retain, or disclose or 
provide information to or for a Federal agency. For further 
explanation of what is included in the information collection 
burden, refer to Title 5 Code of Federal Regulations 1320.3.
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    The Commission bases its paperwork burden estimates on the changes 
in paperwork burden presented by the proposed revision to CIP 
Reliability Standard CIP-003-9 as compared to the current Commission-
approved Reliability Standard CIP-003-8. As discussed above, the 
immediate order addresses the area of modification to the CIP 
Reliability Standards: adopting mandatory security controls for vendor 
electronic remote access used at low impact BES Cyber Systems.
    The CIP Reliability Standards, viewed as a whole, implement a 
defense-in-depth approach to protecting the security of BES Cyber 
Systems at all impact levels.\10\ The CIP Reliability Standards are 
objective-based and allow entities to choose compliance approaches best 
tailored to their systems.\11\ The NERC Compliance Registry, as of 
January 4, 2023, identifies approximately 1,592 U.S. entities that are 
subject to mandatory compliance with Reliability Standards. Of this 
total, we estimate that 1,579 entities will face an increased paperwork 
burden under Reliability Standard CIP 003-9, estimating that a majority 
of these entities will have one or more low impact BES Cyber Systems. 
Based on these assumptions, the Commission estimates the total annual 
burden and cost as follows:
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    \10\ Order No. 822, 154 FERC ] 61,037 at 32.
    \11\ Mandatory Reliability Standards for Critical Infrastructure 
Protection, Order No. 706, 73 FR 7368 (Feb. 7, 2008), 122 FERC ] 
61,040, at P 72 (2008); order on reh'g, Order No. 706-A, 123 FERC ] 
61,174 (2008); order on clarification, Order No. 706-B, 126 FERC ] 
61,229 (2009).
    \12\ The loaded hourly wage figure (includes benefits) is based 
on the average of three occupational categories for 2022 found on 
the Bureau of Labor Statistics website (http://www.bls.gov/oes/current/naics2_22.htm):
    Legal (Occupation Code: 23-0000): $145.35.
    Electrical Engineer (Occupation Code: 17-2071): $77.02.
    Office and Administrative Support (Occupation Code: 43-0000): 
$43.62 ($145.35 + $77.02 + $43.62) / 3 = $88.66. The figure is 
rounded to $89.00 for use in calculating wage figures in this 
Commission Order.
    \13\ This one-time burden applies in Year One only.

                                                               RD23-3-000 Commission Order
                        [Mandatory Reliability Standards for Critical Infrastructure Protection Reliability Standards CIP-003-9]
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                                                        Annual number                                              Total annual burden
                                          Number of     of responses    Total number     Average burden & cost     hours & total annual      Cost per
                                         respondents   per respondent   of responses       per response \12\               cost           respondent ($)
                                                  (1)             (2)     (1) * (2) =  (4).....................  (3) * (4) = (5)........       (5) / (1)
                                                                                  (3)
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Create vendor remote access policy              1,579               1           1,579  60 hrs.; $5,340.........  94,740 hrs.; $8,431,860          $5,340
 (one-time) \13\.
Updates and reviews of vendor remote            1,579               1           1,579  3.5 hrs.; $311.50.......  5,527 hrs. (rounded);            311.50
 access policy (ongoing).                                                                                         $491,903.
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    Total burden for FERC-725B(5)      ..............  ..............           3,158  ........................  100,267 hrs.;            ..............
     under CIP-003-9.                                                                                             $8,923,763.
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    The one-time burden of 94,740 hours that only applies for Year 1 
will be averaged over three years (94,740 hours / 3 = 31,580 hours/year 
over three years). The number of responses is also averaged over three 
years (1,579 responses / 3 = 526.33 responses/year).
    The ongoing burden of 5,527 hours/year applies for only Years 2 and 
beyond (5,527 hours (Year 2) + 5,527 hours (Year 3) / 3 = 5,527 hours. 
Similarly, the number of responses is also averaged over three years 
((1,579 responses (Year 2) + 1,579 (Year 3)) / 3 = 1,579\14\).
    The responses and burden hours for Years 1-3 will total 
respectively as follows for Year 1 one-time burden:

Year 1: 526.33 responses; 31,580 hours
Year 2: 526.33 responses; 31,580 hours
Year 3: 526.33 responses; 31,580 hours

    The responses and burden hours for Years 1-3 will total 
respectively as follows for Ongoing and beyond: 1,579 responses and 
5,527 hours

[[Page 19126]]

    The following shows the annual cost burden for each group, based on 
the burden hours in the table above:

 Year 1: $8,431,860 (Onetime)
 Years 2 and 3: $491,903 (Ongoing)

    The paperwork burden estimate includes costs associated with the 
initial development of a policy to address requirements relating to: 
(1) clarifying the obligations pertaining to electronic access control 
for low impact BES Cyber Systems; (2) adopting mandatory security 
controls for transient electronic devices (e.g., thumb drives, laptop 
computers, and other portable devices frequently connected to and 
disconnected from systems) used at low impact BES Cyber Systems; and 
(3) requiring responsible entities to have a policy for declaring and 
responding to CIP Exceptional Circumstances related to low impact BES 
Cyber Systems. Further, the estimate reflects the assumption that costs 
incurred in year 1 will pertain to policy development, while costs in 
years 2 and 3 will reflect the burden associated with maintaining logs 
and other records to demonstrate ongoing compliance.
    Comments: Comments are invited on: (1) whether the collection of 
information is necessary for the proper performance of the functions of 
the Commission, including whether the information will have practical 
utility; (2) the accuracy of the agency's estimate of the burden and 
cost of the collection of information, including the validity of the 
methodology and assumptions used; (3) ways to enhance the quality, 
utility and clarity of the information collection; and (4) ways to 
minimize the burden of the collection of information on those who are 
to respond, including the use of automated collection techniques or 
other forms of information technology.

    Dated: March 24, 2023.
Debbie-Anne A. Reese,
Deputy Secretary.
[FR Doc. 2023-06600 Filed 3-29-23; 8:45 am]
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