ARIZONA HOUSE OF REPRESENTATIVES

Fifty-seventh Legislature

First Regular Session

Senate: NR DPA 5-2-1-0 | 3rd Read 17-11-2-0-0

☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note

SB1501: grid security; cybersecurity; reviews; commission

Sponsor: Senator Farnsworth, LD 10

Committee on Natural Resources, Energy & Water

Overview

Instructs the Arizona Corporation Commission (Commission) to conduct an annual grid security review that will evaluate the technologies and securities of the grid system.

History

The Commission is a statewide agency and public utility commission that is responsible for ensuring safe, reliable and affordable utility services. The Commission regulates investor-owned or privately-owned utilities that provide utility services (ACC).

The Commission's Power Plant and Transmission Line Siting Committee (Committee) has jurisdiction over proposed electrical generating plants and above ground transmission lines that meet certain criteria. When a utility plans to build one of these facilities it must apply for a Certificate of Environmental Compatibility (CEC) and after review of designated criteria, public hearings and a vote by the Committee the utility may be granted the CEC for their proposed facility. The plans are reviewed biennially by the commission and the commission then issues a written decision regarding the functionality of the facility (A.R.S. Title 40, Chapter 2, article 6.2).

Generation, transmission and distribution are the main functions of the grid which provide power to residents of the state of Arizona. Utility owners and operators are often the entities responsible for improvements that help secure electricity grids (DOE).

Provisions

1.   Requires the Commission to conduct an annual grid security review and directs the Commission to:

a)   research and evaluate the generation and grid management technologies that accommodate two-way flow of electricity and that will protect against a physical attack and cyberattack;

b)   evaluate the dangers associated with an electromagnetic pulse and the steps necessary to secure a continuous supply of electricity to residents of this state;

c) evaluate new information technology systems and how protections are implemented;

d)   encourage investor-owned utilities to rectify deficiencies identified in the grid security review and develop security plans that evaluate and consider the time and cost associated with the changes. This provision does not apply to public power entities or electric cooperatives.

e)   review cybersecurity and grid protection protocols every two years. (Sec.1)

2.   Contains a legislative findings and intent clause that addresses grid reliability and the effects of electromagnetic pulses. (Sec. 2)

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6.                     SB 1501

7.   Initials CW/TM   Page 0 Natural Resources, Energy & Water

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