Industries managing and handling electricity in the US, Canada, and Mexico must work with standards and procedures that regulate the usage with best practices for fair results and benefits for everyone. Such compliance will deliver the best results and service possible. There are different ways to actively enforce NERC compliance in industries to ensure everyone stays on the same level and manages procedures properly.
Monitoring Process
Industries that provide electricity must meet standards and regulations in order to keep practicing. The monitoring process for these industries investigates and evaluates the performance and compliance with regulations. This process measures and qualifies the level on which every sector works and how well they deliver and follow the rules.
Effective Enforcement
Enforcement occurs when industries that do not meet requirements or standards get a fine and go through a review process to discern if they are eligible for continuation. The grade of violation determines the penalty the company receives; these violations are mainly about risk factors and violation levels. After receiving a penalty, management will determine a new plan.
Who Must Comply?
All companies, owners, and operators working with power systems must comply. A NERC background check is an important way to get all the information from a company and the history of past processes and possible sanctions a company had. Failure to comply is a sensitive matter that needs attention and repair immediately, especially if it’s constant.
Penalties and Sanctions
An effective way to actively enforce NERC compliance is with sanctions; these include monetary and non-monetary penalties depending on the severity of the situation. Non-monetary penalties include suspension from failure to comply, potentially affecting future developments. Multiple violations could have different impacts, so it’s best to avoid violations altogether.
Violation Duration
The duration of the violation for which a company gets a fine will determine the amount of the monetary sanction applied. Violations with a long duration will increase the fine each time they don’t meet a deadline, but the opposite will happen if the company fixes the misdemeanor in less time than expected. Monetary sanctions are a common way to enforce compliance.
