What is the significance of the "GMD" standards under NERC?

The significance of the "GMD" standards under NERC pertains specifically to addressing geomagnetic disturbances and their effects on the power grid. These standards are developed in response to the potential threats posed by such disturbances, which can result from solar flares or other cosmic events. When these geomagnetic disturbances occur, they can induce electrical currents in power lines and equipment, potentially leading to voltage instability, transformer damage, and widespread outages.

The GMD standards aim to ensure that utilities have proper protocols and measures in place to assess and mitigate the impacts of these disturbances, enhancing overall system resilience. This includes evaluating the vulnerability of the grid to geomagnetic events and implementing strategies for managing and operating the grid safely under such conditions. By addressing this specific risk, the GMD standards help maintain the reliability and stability of the electric power system in the face of natural phenomena that could disrupt service.

Other options relate to different aspects of power management and regulatory compliance but do not specifically target the critical issue of geomagnetic disturbances or their direct impact on the grid's operation and reliability.