In recent years, it’s become clear that security is not just a compliance-driven necessity for utility companies – it’s a business imperative. While new industry standards are being imposed to expand the scope and emphasis on security guidelines, 73% of utility IT security professionals have had to deal with at least one security breach, causing agencies to continuously work to crack down on utility vulnerabilities.
To respond effectively to an ever-shifting landscape, of cyberthreats including the rise of ransomware, utility companies are proactively adopting a risk-based approach to security that doesn't just meet regulatory requirements - it exceeds them.
Threats are everywhere in the business world, but utilities have become especially popular targets for cyberattacks. It's true that many U.S. utilities have undertaken substantial cybersecurity measures; however, it's equally important to note that the landscape is constantly changing, and utilities are a particularly difficult sector where security is concerned.
Very few industries control such a widely distributed infrastructure that connects so directly with consumers. When there is a system failure, the impact is immediate, harsh, and widespread. Along those same lines, fast-growing networks prevent challenges too - with the advent of smart grid and loT technology, many utilities operational technology departments are now managing networks far larger than their information technology departments have to. Management of the heavy volume of data involved is a considerable leap for many utilities.
Utilities are increasingly reliant on third parties to maintain their equipment, but this can introduce challenges around access control. Additionally, human error is a common problem.
Most instances of human-caused utility system downtime result from automobile accidents, not malicious attacks. For all of these reasons, utilities must have sophisticated plans where security is concerned.
Greater Efficiency: With safe automation of processes that were once manual, organizations can save time and money.
Increased System Reliability (and customer satisfaction): Security controls not only impede attacks, but they also guard against errors and accidents. This can help minimize damages and speed up recovery after an attack, which makes everyone happier.
Reduced Liability: Insurance providers and legal departments are becoming increasingly wary of cybersecurity risks. Proactive, comprehensive cybersecurity can help migrate their concerns.
A notable benefit of the NERC, North American Electric Reliability Corporation, is that certain compliance requirements can be used across the board - measures implemented for bulk power grid assets can be voluntarily applied to local distribution grids. Doing this can be beneficial, since hackers and saboteurs don't often distinguish between distribution and bulk power systems. Within a utility's infrastructure, the line between these systems is blurred, since many substations include both transmission and distribution assets.
Threats are evolving constantly - so utility organizations must have an agile mindset to mount a response that's effective and financially savvy. This means responding quickly to potential risks and having a willingness to change things up. Predictability and homogeneity tend to facilitate, rather than thwart, cyberattacks.
So, what are some wise principles for utilities to consider as they enhance their security?
Coordination - This should include cross-departmental leadership and collaboration.
A Big Picture View - Physical and digital security are no longer separate, so utilities should address both at once.
Identity Management - Context is key here; utilities must know who is accessing their systems, how, and why.
Situational Awareness - Utilities should use the network as a sensor to better understand the environment around them.
Education - All relevant personnel must understand the importance of security and how best to maintain it.
Execution - Paperwork alone does not necessarily boost security; utilities must follow through completely on their security plans.
Generally speaking, cyberattacks prefer the path of least resistance – they want to go after the easiest targets. Utilities that invest in security, therefore, are far less likely to be the victims of large-scale attacks. With proper planning, your organization can make such an investment in a way that stays within budgetary constraints and meets all relevant regulatory requirements.
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