D.NERC Activity
A representative of NERC discussed its efforts to study gas electric interdependency reliability issues at several of the conferences, including a potential need to revise reliability assessments such that the assessments would take fuel supply into account. NERC’s representative also indicated that it will complete phase 2 of its Gas-Electric Interdependency Study by the end of 201275 and suggested that recommendations in the phase 2 of the report would include the creation of a taskforce to further identify potential revisions to NERC standards. NERC’s representative also stated that factors associated with the loss of gas lines (such as a gradual loss of gas pressure) may exempt this scenario from the planning standards requirements regarding surviving the loss of the single largest contingency (N-1).76
Participants in several conferences suggested that gas-electric coordination and fuel availability problems could be addressed, in part, with the development of new NERC Reliability Standards or modifications to existing standards. Other participants, such as ISO-NE and PJM, stated that they are addressing electric system performance within their respective regions, whether performance is adversely impacted by fuel supply issues, and what might be needed to address those impacts. Some participants suggested approaches that would establish requirements to study fuel availability and other gas-electric interdependency issues, without mandating specific changes to resource procurement. In the Southeast region, for example, at least one utility indicated that its contingency planning already considers the loss of a single natural gas facility. Other participants expressed concern that fuel supply or resource adequacy requirements could intrude on traditional areas of state jurisdiction.
Staff looks forward to the results of NERC’s interdependency study and the consideration by industry of what additional steps are appropriate to take to address reliability considerations in the context of gas-electric coordination. Staff will monitor the progress of this initiative and encourages active industry participation.

Participants in several conferences suggested that gas-electric coordination and fuel availability problems could be addressed, in part, with the development of new NERC Reliability Standards or modifications to existing standards. Other participants, such as ISO-NE and PJM, stated that they are addressing electric system performance within their respective regions, whether performance is adversely impacted by fuel supply issues, and what might be needed to address those impacts. Some participants suggested approaches that would establish requirements to study fuel availability and other gas-electric interdependency issues, without mandating specific changes to resource procurement. In the Southeast region, for example, at least one utility indicated that its contingency planning already considers the loss of a single natural gas facility. Other participants expressed concern that fuel supply or resource adequacy requirements could intrude on traditional areas of state jurisdiction.
Staff looks forward to the results of NERC’s interdependency study and the consideration by industry of what additional steps are appropriate to take to address reliability considerations in the context of gas-electric coordination. Staff will monitor the progress of this initiative and encourages active industry participation.
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