What types of entities must comply with NERC standards?

NERC (North American Electric Reliability Corporation) standards are designed to ensure the reliability and security of the bulk power system in North America. The entities required to comply with these standards specifically include utilities, transmission operators, and generation owners.

Utilities are responsible for distributing electricity to consumers, while transmission operators manage the high-voltage transmission of electricity across long distances. Generation owners are those who own and operate electric generation facilities. These entities play a crucial role in maintaining the reliable operation of the electric grid, and adherence to NERC standards helps mitigate risks such as blackouts or failures in the electric system.

The focus on these specific types of entities rather than broader categories such as only major corporations, government agencies, or all consumers and businesses reflects the targeted nature of NERC’s regulatory framework. The aim is to establish accountability among those directly involved in the operation and maintenance of the electrical grid rather than involving all stakeholders, which could lead to complications in enforcement and compliance monitoring.