
[Federal Register Volume 79, Number 123 (Thursday, June 26, 2014)]
[Notices]
[Pages 36305-36310]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-14938]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. RD14-7-000]


North American Electric Reliability Corporation; Order Approving 
Reliability Standard

Before Commissioners: Cheryl A. LaFleur, Acting Chairman; Philip D. 
Moeller, John R. Norris, and Tony Clark.

    1. On March 7, 2014, the North American Electric Reliability 
Corporation (NERC) submitted a petition for approval of proposed 
Reliability Standard PER-005-2 (Operations Personnel Training) and 
retirement of currently-effective Reliability Standard PER-005-1 
(Systems Personnel Training). Reliability Standard PER-005-2 is 
designed to ensure that personnel performing or supporting real-time 
operations on the Bulk-Power System are trained using a systematic 
approach, and expands the scope of NERC's currently-effective training 
Reliability Standard to include certain personnel of transmission 
owners and generator operators, as well as operations support personnel 
as defined in a proposed new term for the NERC Glossary of Terms Used 
in Reliability Standards (NERC Glossary or Glossary). In addition, the 
proposed Reliability Standard includes new implementation period 
requirements for entities that become subject to the obligation to 
provide emergency operations training using simulation technology. NERC 
requests that the proposed standard become effective the first day of 
the first calendar quarter 24 months beyond the date the standard is 
approved.
    2. As explained below, pursuant to section 215(d) of the Federal 
Power Act (FPA),\1\ we approve Reliability Standard PER-005-2, and find 
that it is just, reasonable, not unduly discriminatory or preferential, 
and in the public interest. We also approve NERC's proposed 
implementation plan for the revised standard, including the retirement 
of currently-effective Reliability Standard PER-005-1, and the proposed 
violation risk factors and violation severity levels. Finally, we 
approve the new Glossary term ``Operations Support Personnel'' and 
proposed changes to the Glossary term ``System Operator'' as described 
in NERC's petition.
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    \1\ 16 U.S.C. 824o(d) (2012).
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I. Background

    3. The Commission certified NERC as the Electric Reliability 
Organization (ERO), as defined in section 215 of the FPA, in July 
2006.\2\ On March 16, 2007, the Commission issued Order No. 693, 
approving 83 of the 107 initial Reliability Standards filed by NERC,\3\ 
including four PER Reliability Standards governing certain areas of 
personnel staffing and training.\4\
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    \2\ North American Electric Reliability Corp., 116 FERC ] 
61,062, order on reh'g and compliance, 117 FERC ] 61,126 (2006), 
order on compliance, 118 FERC ] 61,190, order on reh'g 119 FERC ] 
61,046 (2007), aff'd sub nom. Alcoa Inc. v. FERC, 564 F.3d 1342 
(D.C. Cir. 2009).
    \3\ Mandatory Reliability Standards for the Bulk-Power System, 
Order No. 693, FERC Stats. & Regs. ] 31,242, order on reh'g, Order 
No. 693-A, 120 FERC ] 61,053 (2007).
    \4\ See id. PP 1324-1417.
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    4. In addition, under section 215(d)(5) of the FPA, the Commission 
directed NERC to develop several modifications to the approved PER 
standards. Specifically, the Commission directed NERC to develop 
revised or additional standards that would: (1) Identify the 
expectations of the training for each job function; (2) develop 
training programs tailored to each job function with consideration of 
the individual training needs of the personnel; (3) expand the 
applicability of the training requirements to include: reliability 
coordinators, local transmission control center operator personnel, 
generator operators centrally-located at a generation control center 
with a direct impact on the reliable operation of the Bulk-Power 
System, and operations planning and operations support staff who carry 
out outage planning and assessments and those who develop

[[Page 36306]]

system operating limits (SOL), interconnection reliability operating 
limits (IROL), or operating nomograms for real-time operations; (4) use 
a systematic approach to training methodology for developing new 
training programs; and (5) include the use of simulators by reliability 
coordinators, transmission operators, and balancing authorities that 
have operational control over a significant portion of load and 
generation.\5\
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    \5\ Id. P 1393.
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    5. In addition, the Commission directed NERC to determine whether 
it is feasible to develop meaningful performance metrics associated 
with the effectiveness of a training program required by then-effective 
Reliability Standard PER-002-0 and to consider whether personnel who 
support Energy Management System (EMS) applications should be included 
in mandatory training pursuant to the Reliability Standard.\6\
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    \6\ Id. P 1394.
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    6. NERC addressed a portion of the Order No. 693 directives in a 
September 30, 2009 filing, in which it submitted a new proposed 
standard PER-005-1 (System Personnel Training) along with a revised 
Reliability Standard, PER-004-2 (Reliability Coordination--Staffing). 
The Commission approved these proposed Reliability Standards in Order 
No. 742, finding that the new and revised standards would enhance the 
reliability of the Bulk-Power System.\7\ However, the Commission noted 
that the standards did not fully satisfy the directives issued in Order 
No. 693,\8\ and issued additional directives pursuant to FPA section 
215(d)(5), requiring NERC to: (1) Consider the necessity of developing 
an implementation plan for entities that become subject to the 
requirement to provide emergency operations training using simulation 
technology in PER-005-1, Requirement R3.1, and (2) develop a 
Reliability Standard establishing training requirements for local 
transmission control center personnel.
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    \7\ System Personnel Training Reliability Standards, Order No. 
742, 133 FERC ] 61,159, at P 16 (2010); order on clarification, 134 
FERC ] 61, 078 (2011).
    \8\ Specifically, the Commission noted that NERC had not yet 
addressed the Order No. 693 directives to (1) expand the 
applicability of the standard to include certain generator operators 
centrally-located at a generation control center; (2) expand the 
standard to include operations planning and operations support staff 
who carry out outage planning and assessments and those who develop 
SOLs and IROLs; and (3) consider whether personnel supporting 
Emergency Management System (EMS) applications should be included in 
mandatory operator personnel training requirements. See Order No. 
742, 133 FERC ] 61,159 at P 74.
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II. Proposed Reliability Standard PER-005-2 and NERC's Petition

    7. On March 7, 2014, NERC filed a petition seeking approval of 
proposed PER-005-2, explaining that the purpose of the revisions is to 
``improve upon PER-005-1 by expanding the scope of the Reliability 
Standard'' consistent with the Commission's directives in Order Nos. 
693 and 742.\9\ NERC also seeks approval of the associated violation 
risk factors and violation severity levels, the proposed NERC Glossary 
definitions for the terms ``System Operator'' and ``Operations Support 
Personnel,'' and the proposed implementation plan for PER-005-2, 
including the retirement of currently-effective Reliability Standard 
PER-005-1 when PER-005-2 goes into effect.
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    \9\ NERC Petition at 3. Proposed Reliability Standard PER-005-2 
is not attached to this order. The complete text of the proposed 
Reliability Standard is available on the Commission's eLibrary 
document retrieval system in Docket No. RD14-7-000, and is posted on 
NERC's Web site, available at: http://www.nerc.com.
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    8. The revised standard contains six requirements. Requirement R1 
requires reliability coordinators, balancing authorities, and 
transmission operators to use a systematic approach to developing and 
implementing a training program for system operators, including 
development of specific task lists and an annual evaluation of the 
training program. Requirement R2 requires transmission owners to use a 
systematic approach to developing and implementing a training program 
for system operators, including development of specific task lists and 
an annual evaluation of the training program. Pursuant to the 
applicability section of the standard, this requirement would apply 
only to ``[p]ersonnel, excluding field switching personnel, who can act 
independently to operate or direct the operation of the Transmission 
Owner's Bulk Electric System transmission Facilities in Real-time.'' 
\10\
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    \10\ Reliability Standard PER-005-2, Section 4.1.4.1.
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    9. Requirement R3 requires reliability coordinators, balancing 
authorities, transmission operators and transmission owners to verify 
the capabilities of their personnel as identified in Requirements R1 or 
R2. Requirement R4 requires reliability coordinators, balancing 
authorities, transmission operators and transmission owners to provide 
those personnel identified in Requirement R1 or R2 with emergency 
operations training using simulation technology to the extent that the 
entity has (1) operational authority or control over facilities with 
established IROLs, or (2) established protection systems or operating 
guides to mitigate IROL violations.
    10. Requirement R5 requires reliability coordinators, balancing 
authorities, and transmission operators to use a systematic approach to 
develop and implement training for their operations support personnel, 
providing training on how their job functions impact the real-time 
reliability-related tasks identified in Requirement R1. Requirement R6 
requires applicable generator operators to use a systematic approach to 
develop and implement training for certain of their dispatch personnel 
at a centrally located dispatch center (as defined in Applicability 
Section 4.1.5) on how their job functions impact the reliable 
operations of the BES.\11\
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    \11\ NERC proposes to assign a violation risk factor of Medium 
to each Requirement except Requirement R3, which is assigned a 
violation risk factor of High.
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    11. NERC maintains in its petition that PER-005-2 addresses all 
outstanding directives related to its personnel training requirements 
from Order Nos. 693 and 742. Specifically, NERC notes that it has 
expanded the scope of PER-005 to include training requirements for 
local transmission control center operator personnel; for operations 
support personnel who perform current day or next day outage 
coordination or assessments, or who determine SOLs or IROLs or 
operating nomograms in support of real-time operations; and for certain 
generator dispatch personnel at centrally located dispatch centers.\12\
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    \12\ NERC Petition at 3.
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    12. NERC also maintains that the proposed Reliability Standard 
addresses the Commission's directive in Order No. 742 to develop an 
implementation period for those entities that may become subject to the 
requirement to provide emergency operations training using simulation 
technology, as Part 4.1 of Requirement R4 provides for a 12 month 
implementation period for newly-applicable entities.\13\ Finally, NERC 
explains that it has addressed the Commission's outstanding directive 
to consider whether the standard should include personnel who support 
EMS applications, through the standard drafting team's consideration of 
a May 2013 report provided by the NERC Operating Committee's Event 
Analysis Subcommittee. NERC states that the Event Analysis Subcommittee 
found only two events (as of May 2013) that involved the loss of EMS or 
Supervisory

[[Page 36307]]

Control and Data Acquisition applications, as well as a lack of 
training. Based on those findings the Event Analysis Subcommittee 
``concluded that while EMS support personnel should receive training, 
the evidence does not support a need for such personnel to be trained 
under Reliability Standard PER-005.'' \14\
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    \13\ Id. at 4, 27.
    \14\ Id. at 32.
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    13. NERC also maintains that the proposed standard improves on the 
currently-effective standard by ``clarifying language in certain 
requirements and eliminating redundant or unnecessary requirements.'' 
\15\ As one example, NERC notes that PER-005-2 does not retain the 
obligation to provide system operators with at least 32 hours of 
emergency operations training every 12 months. Instead, NERC maintains 
that ``mandating a minimum amount of emergency operations training, 
irrespective of the entity's unique characteristics or reliability risk 
to the Bulk-Power System, is unnecessary and inconsistent with the 
Commission-approved requirement to use a systematic approach to 
training methodology.'' \16\
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    \15\ Id. at 5.
    \16\ Id. at 29.
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    14. In addition to proposing certain clarifying changes to the 
currently-effective Glossary term System Operator,\17\ NERC asks that 
the Commission approve its proposed definition for a new term, 
Operations Support Personal, to be defined as ``[i]ndividuals who 
perform current day or next day outage coordination or assessments, or 
who determine SOLs, IROLs, or operating nomograms, in direct support of 
Real-time operations of the Bulk Electric System.'' \18\ NERC explains 
that this proposed definition mirrors the Commission's directive to 
include training requirements for ``those [individuals] who carry out 
outage coordination and assessments in accordance with Reliability 
Standards IRO-004-1 and TOP-002-2, and those who determine SOLs and 
IROLs or operating nomograms in accordance with Reliability Standards 
IRO-005-1 and TOP-004-0.'' \19\
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    \17\ Among other things, NERC proposes to eliminate the 
reference to generator operators from the definition of system 
operator, noting that ``[n]o reliability standard uses the NERC 
Glossary term `System Operator' to refer to Generator Operator 
personnel.'' Id. at 36.
    \18\ Id. at 30.
    \19\ Id. (quoting Order No. 693, FERC Stats. & Regs. ] 31,242 at 
P 1372 and Order No. 742, 133 FERC ] 61,159 at P 82).
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    15. Finally, NERC asks that PER-005-2 and associated Glossary terms 
become effective on the first day of the first calendar quarter 24 
months after Commission approval. NERC maintains that this 
implementation period is appropriate because certain functional 
entities are becoming subject to the standard for the first time, and 
because it is consistent with the implementation period provided for 
reliability coordinators, balancing authorities and transmission 
operators under PER-005-1.\20\
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    \20\ Id. at 36-37.
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III. Notice of Filing, Interventions and Comments

    16. Notice of NERC's petition was issued on March 12, 2014, with 
comments, protests and motions to intervene due on or before April 11, 
2014. Two sets of comments were received. A Joint Motion to Intervene 
and Comments (ISO/RTO Joint Comments) was timely filed by the 
California Independent System Operator Corporation, Electric 
Reliability Council of Texas, Inc., Independent Electricity System 
Operator, ISO New England, Inc., Midcontinent Independent System 
Operator, Inc., New York Independent System Operator, Inc. and 
Southwest Power Pool, Inc. (the ISO/RTO Commenters). On April 17, 2014, 
PJM Interconnection, L.L.C. (PJM) filed a Motion to Intervene and 
Comment Out-of-Time.
    17. The ISO/RTO Commenters support approval of PER-005-2, because 
it reasonably identifies individuals who may affect real-time system 
operations/reliability, sets out a reasonable scope for the training 
obligations, requires applicable entities to verify initial 
capabilities of their personnel, requires some form of simulation-based 
training for personnel involved with the operation of facilities that 
either have an IROL or are used to mitigate an IROL (without dictating 
the specific type of simulation training), and properly excludes 
personnel who support EMS applications. While the ISO/RTO Commenters 
maintain that the proposed standard ``encompasses discretion on the 
part of the functional entities to `identif[y]' which personnel fall 
within the definition of Operations Support Personnel,'' they also ask 
the Commission to ``confirm that functional entities have the 
discretion to make that identification.'' \21\
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    \21\ ISO/RTO Joint Comments at 5.
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    18. While PJM does not ask the Commission to reject the proposed 
standard, it criticizes PER-005-2 as ``an unnecessary and a potentially 
ineffective means to address an otherwise straightforward requirement; 
namely to train appropriate personnel.'' \22\ PJM maintains that 
program accreditation ``would be a more appropriate means to address 
training requirements for the industry as opposed to a prescriptive, 
broad-brush Reliability Standard.'' \23\ PJM explains that an 
accreditation model ``would place the emphasis on the training program 
itself, and associated controls,'' rather than on ``applicable 
individuals, their personal training and performance records, 
individual pieces of training content, and other administrative 
documentation.'' \24\ PJM accordingly asks the Commission to clarify 
that ``an industry-accreditation program (with parameters overseen by 
FERC) can provide an acceptable means for compliance with the PER 
Standard and is not precluded as an alternative means of compliance 
with those requirements.'' \25\
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    \22\ PJM Comments at 1.
    \23\ Id. at 3.
    \24\ Id. at 3-4.
    \25\ Id. at 2.
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    19. Like the Joint ISO/RTO Commenters, PJM notes its concern that 
there is no standardized job description for operations support 
personnel, and seeks clarification that responsible entities will be 
allowed to use reasonable discretion to identify operations support 
personnel subject to the standard's requirements.

IV. Discussion

A. Procedural Matters

    20. Pursuant to Rule 214 of the Commission's Rules of Practice and 
Procedure, 18 CFR 385.214, the timely, unopposed motion to intervene 
filed by the ISO/RTO Commenters serves to make them parties to this 
proceeding. Pursuant to Rule 214(d) of the Commission's Rules of 
Practice and Procedure, 18 CFR 385.214(d), we will also grant PJM's 
late-filed motion to intervene given its interest in the proceeding, 
the early stage of the proceeding, and the absence of undue prejudice 
or delay.

B. Commission Determination

    21. Pursuant to section 215(d) of the FPA, we approve Reliability 
Standard PER-005-2 as just, reasonable, not unduly discriminatory or 
preferential, and in the public interest.\26\ We also approve NERC's 
proposed implementation plan for the revised standard, including the 
retirement of currently-effective Reliability Standard PER-005-1, and 
the proposed violation risk factors and violation severity levels. 
Finally, we approve the new Glossary term ``Operations Support 
Personnel''

[[Page 36308]]

and the proposed changes to the Glossary term ``System Operator'' as 
described in NERC's petition.
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    \26\ 16 U.S.C. 824o(d)(2).
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    22. We find that PER-005-2 enhances the reliability of the Bulk-
Power System by expanding the scope of NERC's currently-effective 
personnel training requirements to include additional personnel who 
perform or support real time operations on the Bulk-Power System and 
who therefore could have a direct impact on the reliability of the 
Bulk-Power System.
    23. In addition, we find that PER-005-2 satisfies several 
outstanding Commission directives related to personnel training, by: 
(1) Requiring the systematic development and implementation of training 
programs for local transmission control center operator personnel of a 
transmission owner, including emergency operations training; (2) 
requiring systematic development and implementation of training for 
operations support personnel who can impact the reliable operation of 
the Bulk-Power System; and (3) requiring systematic development and 
implementation of training for generator owners' dispatch personnel at 
centrally located dispatch centers.
    24. Further, we find that PER-005-2 includes a reasonable 
implementation period for entities that may become subject to the 
standard's requirement to provide emergency operations training using 
some form of simulation technology. Finally, we find that NERC has 
adequately considered whether EMS support personnel should be subject 
to mandatory training requirements under PER-005 or another appropriate 
standard. However, we note that the standard drafting team's decision 
to exclude EMS personnel is based on event analyses as of May 2013, and 
that NERC should reassess this issue if future event analyses do not 
support this exclusion.\27\
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    \27\ See Petition at 19, 31-32 (while the standard drafting team 
determined that there was ``insufficient evidence at this time to 
warrant an extension of the mandatory training requirements to 
personnel that support EMS application,'' NERC states that it ``will 
continue to assess the need for mandatory training of these 
personnel.'').
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    25. Joint ISO/RTO Commenters and PJM request that we ``confirm'' 
that applicable entities can exercise ``reasonable discretion'' to 
identify the employees that fit within NERC's definition of Operations 
Support Personnel.\28\ Joint ISO/RTO commenters suggest that the 
discretion to identify the appropriate personnel is encompassed by the 
language of Requirement R5, which provides that each applicable entity 
``shall use a system approach to develop and implement training for its 
identified Operations Support Personnel'' \29\ NERC's definition of 
Operations Support Personnel, which we approve in this order, provides:
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    \28\ PJM Comments at 5, Joint ISO/RTO Commenters at 4-5.
    \29\ Reliability Standard PER-005-2, R5 (emphasis added).

    Individuals who perform current day or next day outage 
coordination or assessments, or who determine SOLs, IROLs, or 
operating nomograms, in direct support of Real-time operations of 
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the Bulk Electric System.

    Thus, the NERC definition of Operations Support Personnel sets 
forth the parameters of which employees must be trained pursuant to 
Requirement R5. We agree that applicable entities should exercise 
reasonable discretion in determining which of their employees fit 
within that definition. If an issue or uncertainty arises regarding the 
proper identification of employees, an applicable entity may seek to 
consult with the relevant Regional Entity or NERC.
    26. Finally, with respect to PJM's request to ``clarify that an 
industry-accreditation program . . . can provide an acceptable means 
for compliance with the PER Standard,'' \30\ we note that, at present, 
an accreditation-based training program is not precluded ``as an 
alternative means of compliance'' if it otherwise meets all of the 
requirements of PER-005-2. If PJM would like to pursue accreditation-
based training programs that take a fundamentally different approach to 
training as an alternative to PER-005-2 (i.e., the programs would not 
satisfy the requirements of PER-005-2), that approach would require 
revision of PER-005-2 and/or development of a new standard governing 
such alternative programs, and a demonstration that such an approach 
meets FPA section 215's requirements for proposed standards.
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    \30\ PJM Comments at 2.
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    27. Accordingly, we approve Reliability Standard PER-005-2 pursuant 
to FPA section 215(d)(2), as we find that it is just, reasonable, not 
unduly discriminatory or preferential, and in the public interest. We 
also approve NERC's proposed implementation plan for the revised 
standard, including the retirement of currently-effective Reliability 
Standard PER-005-1, and the proposed violation risk factors and 
violation severity levels. Finally, we approve the new Glossary term 
``Operations Support Personnel'' and the proposed changes to the 
Glossary term ``System Operator'' as described in NERC's petition.

V. Information Collection Statement

    28. The collection of information contained in this order is 
subject to review by the Office of Management and Budget (OMB) under 
section 3507(d) of the Paperwork Reduction Act of 1995.\31\ OMB's 
regulations require approval of certain information collection 
requirements imposed by agency rules.\32\ Upon approval of a 
collection(s) of information, OMB will assign an OMB control number and 
an expiration date. Respondents subject to the filing requirements will 
not be penalized for failing to respond to this collection of 
information unless the collection of information displays a valid OMB 
control number.
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    \31\ 44 U.S.C. 3507(d) (2012).
    \32\ 5 CFR 1320.11 (2013).
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    29. This order is effective immediately; however, the revised 
information collection requirements will not be effective or 
enforceable until OMB approves the information collection changes 
described in this order. Comments are solicited on the 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. Specifically, the Commission asks 
that any revised burden or cost estimates submitted by commenters be 
supported by sufficient detail to understand how the estimates are 
generated. Comments regarding this proposed information collection must 
be received on or before August 25, 2014.
    30. Through issuance of this order, the Commission is approving 
Reliability Standard PER-005-2, and the retirement of Reliability 
Standard PER-005-1 when PER-005-2 goes into effect. Reliability 
Standard PER-005-2 will ensure that personnel performing or supporting 
real-time operations on the Bulk Electric System are trained using a 
systematic approach.
    31. Public Reporting Burden: Proposed Reliability Standard PER-005-
2 does not require responsible entities to file information with the 
Commission. However, the Reliability Standard requires applicable 
entities to develop and maintain certain information, subject to audit. 
In particular, reliability coordinators, balancing authorities, 
transmission operators, transmission owners and

[[Page 36309]]

generator operators, must ``have evidence'' to show use of a systematic 
approach to develop and implement a training program for their system 
operators, for certain operations support personnel, for certain 
personnel in centrally located dispatch centers, and for certain local 
transmission control center personnel. Reliability Standard PER-005-2 
does not create entirely new obligations with respect to the 
development, implementation, and maintenance of records related to 
training programs, but expands the scope of entities and personnel that 
may be subject to the standard's requirements. The burden estimate 
below accounts only for the increase in burden due to the expanded 
scope of PER-005-2.
    32. Our estimate below regarding the number of respondents is based 
on the NERC compliance registry as of April 30, 2014. According to the 
NERC compliance registry, NERC has registered 15 reliability 
coordinators, 107 balancing authorities, 182 transmission operators, 
337 transmission owners and 848 generator operators. However, under 
NERC's compliance registration program, entities may be registered for 
multiple functions, so these numbers incorporate some double counting. 
The number of unique entities responding will be approximately 387 
entities registered as a reliability coordinator, balancing authority, 
transmission operator, transmission owner, or generator operator.
    33. The Commission estimates the additional annual reporting burden 
and cost as follows:

                                                       FERC-725A, as Revised in Docket No. RD14-7
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                                                             Annual number                                          Total annual burden      Cost per
                                       Number and type of    of responses    Total number   Average burden & cost   hours & total annual    respondent
                                        respondents \33\    per respondent   of responses        per response               cost               \34\
                                     (1)..................             (2)  ..............  (3)..................  (1)x(2)x(3)..........  ..............
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(One-time) Development of a          TO (337) \35\........               1             337  15 hrs. & $59.62/hour  5,055 hours &                 $894.30
 training program and materials,                                                                                    $301,379.10.
 and task list [R2].
(One-time) Development of a          RC, BA, TOP (216)....               1             216  15 hrs. & $59.62/hour  3,240 hours &                  894.30
 training program [R5].                                                                                             $193,168.80.
(One-time) Development of a          GOP (848)............               1             848  15 hrs. & $59.62/hour  12,720 hours &                 894.30
 training program [R6].                                                                                             $758,366.40.
(Ongoing) Annual Evaluation and      TO (337), GOP (848)..               1      \36\ 1,050  6 hrs. & $59.62/hour.  6,300 hours &                  357.72
 update of training program and                                                                                     $375,606.
 task list [R2 and R6].
(Ongoing) Retention of records [M2,  TO (337), GOP (848)..               1           1,050  10 hrs. & $28.95/hour  10,500 hrs. &                  289.50
 M6, and C.1.3].                                                                                                    $303,975.
(Ongoing) Verification and           TO (337).............               1             337  10 hrs. & $28.95/hour  3,370 hrs. &                   289.50
 retention of evidence of                                                                                           $97,561.50.
 capabilities of personnel [R3, M3,
 C1.3], and creation and retention
 of records on simulation training
 [R4 and M4].
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    \33\ TO=Transmission Owner; RC=Reliability Coordinator; 
BA=Balancing Authority; TOP=Transmission Operator; GOP=Generator 
Operator.
    \34\ The estimated hourly costs (salary plus benefits) are based 
on Bureau of Labor and Statistics (BLS) information (available at 
http://bls.gov/oes/current/naics3_221000.htm#17-0000) for an 
electrical engineer ($59.62/hour for review and documentation), and 
for a file clerk ($28.95/hour for record retention).
    \35\ Not all transmission owners are expected to have personnel 
who will be subject to the revised personnel training requirements, 
but this estimate conservatively includes all registered TOs. The 
same approach is taken with respect to generator operators.
    \36\ Some transmission owners are also generator operators. To 
eliminate double counting some entities, this figure reflects the 
number of unique entities (1,050) within the group of TOs and GOPs. 
That approach is used throughout the table.
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    Title: Mandatory Reliability Standards for the Bulk-Power System.
    Action: Proposed Revisions to FERC-725A.
    OMB Control No: 1902-0244.
    Respondents: Businesses or other for-profit institutions; not-for-
profit institutions.
    Frequency of Responses: One-time and ongoing.
    Necessity of the Information: The Operations Personnel Training 
Standard, if adopted, would implement 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. Specifically, the purpose of the proposed 
Reliability Standard is to ensure that personnel performing or 
supporting real-time operations on the Bulk Electric System are trained 
using a systematic approach. The proposed Reliability Standard requires 
entities to maintain records subject to review by the Commission and 
NERC to ensure compliance with the Reliability Standard.
    Internal Review: The Commission has reviewed the requirements 
pertaining to

[[Page 36310]]

the proposed Reliability Standard for the Bulk-Power System and 
determined that the proposed requirements are necessary to meet the 
statutory provisions of the Energy Policy Act of 2005. These 
requirements conform to the Commission's plan for efficient information 
collection, communication and management within the energy industry. 
The Commission has assured itself, by means of internal review, that 
there is specific, objective support for the burden estimates 
associated with the information requirements.
    34. Interested persons may obtain information on the reporting 
requirements by contacting the following: Federal Energy Regulatory 
Commission, 888 First Street NE., Washington, DC 20426 [Attention: 
Ellen Brown, Office of the Executive Director, email: 
DataClearance@ferc.gov, phone: (202) 502-8663, fax: (202) 273-0873].

VI. Effective Date

    35. This order will become effective upon issuance.
    The Commission orders:
    (A) Reliability Standard PER-005-2 is hereby approved as just, 
reasonable, not unduly discriminatory, and in the public interest.
    (B) The proposed revisions to NERC's Glossary of Terms are 
approved, as discussed in the body of this order, along with NERC's 
proposed implementation plan for Reliability Standard PER-005-2 and the 
proposed violation severity levels and violation risk factors.

    By the Commission.

    Issued: June 19, 2014.
Kimberly D. Bose,
Secretary.
[FR Doc. 2014-14938 Filed 6-25-14; 8:45 am]
BILLING CODE 6717-01-P


