Cybersecurity in the Energy/Utility Sectors
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1 Cybersecurity in the Energy/Utility Sectors Hon. Todd Snitchler Chairman Thomas Pearce Senior Utility Specialist Chair, NARUC Staff Subcommittee on Critical Infrastructure Thursday, March 21, 2013 Ohio Gas Association Technical Seminar
2 Agenda Purpose: to provide an introduction to issues, concepts, and vocabulary to facilitate action What is cybersecurity? Threats Principles of preparedness Role of government & regulators Where do we go from here?
3 Recent Headlines DHS: 40 percent of cyberattacks targeted energy sector (The Hill) Decoy ICS/SCADA Water Utility Networks Hit By Attacks (Dark Reading) U.S. Steps Up Alarm Over Cyberattacks (WSJ) Cyberattack leaves natural gas pipelines vulnerable to sabotage (CSMonitor) US Government Warns Over Vulnerable Control Systems (BBC) Obama Cybersecurity Order Lacks Bite, Security Experts Say (NetworkWorld) Cyber Threats To Energy Sector Happening At Alarming Rate (WSJ) U.S. Homeland Chief: Cyber 9/11 Could Happen Imminently (Reuters) DHS Warns of Password-Cracker Targeting Industrial Networks (Nextgov)
4 Recent Headlines (cont d) DHS Warns of Password-Cracker Targeting Industrial Networks (Nextgov) Malicious Virus Shuttered U.S. Power Plant DHS (Reuters) Federal Reserve Hacked (Guardian UK) Hackers in China Attacked the NY Times For Last 4 Months (NYTimes) China Hacked the Wall Street Journal, Too (The Atlantic Wire) Chinese Army Unit Is Seen As Tied To Hacking Against U.S. (NYTimes) One-Third of Cyber Attack Traffic Originates in China, Akamai Says (Bloomberg) Nations Prepare For Cyber War (CNN) Hacktivist Campaigners Claim To Have Stolen Accounts From A Number Of Organizations Including NASA, The Pentagon And The Federal Reserve (ZDNet)
5 What is it? Cybersecurity National Institute of Standards and Technology (NIST): The ability to protect or defend the use of cyberspace from cyber attacks.
6 Cybersecurity I think information sharing is a top priority. Hon. Cheryl LaFleur, Commissioner, Federal Energy Regulatory Commission, when questioned about cybersecurity, Tuesday, March 19, 2013, before the U.S. House of Representatives Energy & Commerce Committee hearings on Gas/Electric coordination
7 Cybersecurity There have been cyber attacks on systems that control plants being turned on/off; they are like FERC fuel neutral. We need to guard against risks to energy management systems, wherever they are. Hon. Cheryl LaFleur, March 19, 2013 testimony to House Energy & Commerce Committee
8 Cybersecurity Isn t just stopping bad guys Vulnerabilities include: Software bugs User errors Control system equipment malfunctions Communications equipment failures Deliberate intrusions and sabotage
9 Information Security 101 Devices generate & transmit data; converted to intelligence; someone or something takes action based on that intelligence Being smarter introduces new vulnerabilities that need to be managed Connectivity: how systems talk to each other can be exploited and should be protected at each stage of communication
10 Information Technology Systems Corporate IT/business systems Industrial Control Systems/Supervisory Control And Data Acquisition (ICS/SCADA) (SCADA e.g., power generation, gas transmission, water treatment, telecommunications)
11 Current Topics & Trends Vulnerabilities Increasing threats Stuxnet, Duqu, Gauss, Flame, miniflame, Shamoon Types of actors Types of threats SmartGrid
12 Shodan Have you heard of it? What is it? Who? John Matherly There s an app for that
13 Transportation 3% Telecom 2% Health 2% Nuclear 3% THREAT LANDSCAPE Internet-facing 11% Incidents By Sector FY2012 Water 15% Critical mfg 4% Financial 0% Agriculture 1% Chemical 4% Commercial Facilities 10% Energy 41% Dams 0% Agriculture Financial Chemical Commercial Facilities Dams Energy Government IT Internet-facing Nuclear Health Telecom IT 0% Transportation Water Government 4% ICS-CERT Data Critical mfg
14 Cybersecurity is one element of all-hazards preparedness
15 Implications for Utilities Delivery of services Reliability (& $) Industry actions & response OGA AGA: ONG SCC & CSWG (Denbow)
16 Industry Actions & Response NIST/SGIP CSWG NERC AGA ONG SCC
17 National Infrastructure Protection Plan (NIPP) Sector Partnership Model
18 Some Government Actions & Response NIST/SGIP CSWG U.S. Department of Homeland Security: National Cyber Security Division (CSET Tool, US- CERT/ICS-CERT, ICSJWG) ICS-CERT fly-away teams (Springfield MO water utility) ICS-CERT Active Cyber Campaigns Against the U.S. Energy Sector Briefings (9 US late fall 2012) U.S. Department of Defense: CyberComm
19 Government Actions & Response (cont d) U.S. Department of Energy: Cybersecurity for Energy Delivery Systems (CEDS) Roadmap to Achieve Energy Delivery Systems Cybersecurity 2011 Cross-Sector Roadmap for Cybersecurity of Control Systems The Vulnerability Analysis of Energy Delivery Control Systems Guide to Developing a Cyber Security and Risk Mitigation Plan ESC2M2 (Elec. Sector Cybersecurity Capability Maturity Model) NESCO (Nat l Electric Sector Cybersecurity Org)
20 Issues of Preparedness Assessments Equipment Policies: do you have a formal written employee internet security policy? Responses/action plans Do you have a cyber element/plan? Standards Information sharing
21
22 Aurora & Stuxnet Aurora: DHS/DOE experiment to hack generator control system Stuxnet: computer worm targeting Mid- East nuclear infrastructure
23 Some Things You Can Do Know what you need to protect Enforce strong password policies Map out a disaster preparedness plan Encrypt confidential information Use a reliable security solution Protect information completely Stay up to date Educate employees
24 Roles of State Commissions Cost recovery guidelines investment prudence Sensitive information develop handling protocols Rapid information sharing methods Review utility emergency response plans Regulatory oversight of reliability Promote State emergency planning efforts Understand interdependencies Engage in regional coordination and response
25 Some State Actions Regarding Cybersecurity NARUC: Cybersecurity for State Regulators State level actions: MO PSC: current review and formal dialogue with state utilities PA PUC: annual certification process; dialogue with state utilities CPUC: SmartGrid & SGIP CS, OH PUC: informal dialogue with state utilities TX PUC: SmartGrid & SGIP CS; work w/ercot
26 Ohio Partnerships Chairman Snitchler: Co-Vice-Chair, NARUC Committee on Gas Thom Pearce: Chair, NARUC Staff Subcommittee on Critical Infrastructure Congress: Sens. Portman & Brown, Reps. Latta & Stivers, among others Federal agencies: DHS (including ICSJWG), DOE, FCC, DoD U.S. CIPAC member Energy GCC (w/ong SCC)
27 Ohio Partnerships DOE CEDS Program Evaluation Panel DOE Labs: INL, PNNL, SNL OHS: SAIC weekly briefings; monthly classifieds OHSAC & CSWG DHS PSAs: Pat Shaw/Jim Emery DHS CSA NAESB Advisory Council & Cyber Task Force
28 Private & Public Sector Responsibilities Cyber secure utility operations: utilities Defend against nation-state cyber attacks: national defense & law enforcement Effective cybersecurity: utility/regulator/federal partners
29 Where Do We Go From Here? [Dialogue/discussion]
30 Questions? Todd A. Snitchler, Chairman Thomas Pearce, Senior Utility Specialist
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