Network Security Critical for Smart Grid, NARUC Meeting Told
ATLANTA -- Cybersecurity is a key component of successful deployment of the smart grid, Howard Schmidt, the White House cybersecurity coordinator, said in a keynote Tuesday at NARUC’s annual conference. State regulators need to be informed about potential threats and solutions, because states play an important role in smart grid expansion, he said.
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Cybersecurity should be built from the ground up, Schmidt said. As the smart grid expands, so do threats and vulnerability, he said. But he stressed that smart grid security and IT security are different because of different tolerance levels, he said. IT and smart grid security will have to work hand in hand to achieve acceptable security, he said. Multiple layers of threats and vulnerability exist, he said, noting that network connections themselves introduce risk.
State commissioners need to be informed, Schmidt said, urging state regulators to actively participate in security discussions, review guidelines and proposed principles and standards. State regulators should also work with utilities and ask questions, he said. “Make sure you get the answers” and find a way to test them, he said. He also emphasized consumer education to raise awareness of cyberthreats and their possible effects.
There are no “cookie cutter” solutions in dealing with security issues, Schmidt said. In some cases, the industry comes forward with good practices with no need for regulation, he said. Regulators need to look at the whole situation and what works best at the local level, he said. Meanwhile, there are multiple points of vulnerability in a smart grid system, including grid management, electric transportation, storage and distribution, Schmidt said. For bodies indirectly involved in the smart grid operation and management system, it’s necessary to implement clear security requirements from the start, he said. Dynamic risk management is critical, he said. “We need to change our risk management as networks change,” he said.