NERC Petition, Exhibit A (Proposed Reliability Standards, FAC-001-2 and FAC-002-2)

Exhibit A

Proposed Reliability Standards, FAC-001-2 and FAC-002-2

FAC-001-2 — Facility Interconnection Requirements

A. Introduction
1.

Title:

Facility Interconnection Requirements

2.

Number:

FAC-001-2

3.

Purpose: To avoid adverse impacts on the reliability of the Bulk Electric System,
Transmission Owners and applicable Generator Owners must document and make
Facility interconnection requirements available so that entities seeking to interconnect
will have the necessary information.

4.

Applicability:
4.1. Functional Entities:
4.1.1

Transmission Owner

4.1.2

Applicable Generator Owner

4.1.2.1 Generator Owner with a fully executed Agreement to conduct a study
on the reliability impact of interconnecting a third party Facility to the
Generator Owner’s existing Facility that is used to interconnect to the
Transmission system.
5.

Effective Date: The standard shall become effective on the first day of the first
calendar quarter that is one year after the date that this standard is approved by an
applicable governmental authority or as otherwise provided for in a jurisdiction where
approval by an applicable governmental authority is required for a standard to go into
effect. Where approval by an applicable governmental authority is not required, the
standard shall become effective on the first day of the first calendar quarter that is one
year after the date this standard is adopted by the NERC Board of Trustees or as
otherwise provided for in that jurisdiction.

B. Requirements and Measures
R1. Each Transmission Owner shall document Facility interconnection requirements,
update them as needed, and make them available upon request. Each Transmission
Owner’s Facility interconnection requirements shall address interconnection
requirements for: [Violation Risk Factor: Lower] [Time Horizon: Long-term Planning]
1.1. generation Facilities;
1.2. transmission Facilities; and
1.3. end-user Facilities.
M1. Each Transmission Owner shall have evidence (such as dated, documented Facility
interconnection requirements) that it met all requirements in Requirement R1.
R2. Each applicable Generator Owner shall document Facility interconnection
requirements and make them available upon request within 45 calendar days of full
execution of an Agreement to conduct a study on the reliability impact of
interconnecting a third party Facility to the Generator Owner’s existing Facility that is

Page 1 of 8

FAC-001-2 — Facility Interconnection Requirements

used to interconnect to the Transmission system. [Violation Risk Factor: Lower] [Time
Horizon: Long-term Planning]
M2. Each applicable Generator Owner shall have evidence (such as dated, documented
Facility interconnection requirements) that it met all requirements in Requirement R2.
R3. Each Transmission Owner shall address the following items in its Facility
interconnection requirements: [Violation Risk Factor: Lower] [Time Horizon: LongTerm Planning]
3.1. Procedures for coordinated studies of new or materially modified existing
interconnections and their impacts on affected system(s).
3.2. Procedures for notifying those responsible for the reliability of affected system(s)
of new or materially modified existing interconnections.
M3. Each Transmission Owner shall have evidence (such as dated, documented Facility
interconnection requirements addressing the procedures) that it met all requirements in
Requirement R3.
R4. Each applicable Generator Owner shall address the following items in its Facility
interconnection requirements: [Violation Risk Factor: Lower] [Time Horizon: LongTerm Planning]
4.1. Procedures for coordinated studies of new interconnections and their impacts on
affected system(s).
4.2. Procedures for notifying those responsible for the reliability of affected system(s)
of new interconnections.
M4. Each applicable Generator Owner shall have evidence (such as dated, documented
Facility interconnection requirements addressing the procedures) that it met all
requirements in Requirement R4.
C. Compliance
1.

Compliance Monitoring Process
1.1. Compliance Enforcement Authority
As defined in the NERC Rules of Procedure, “Compliance Enforcement
Authority” (CEA) means NERC or the Regional Entity in their respective roles of
monitoring and enforcing compliance with the NERC Reliability Standards.
1.2. Evidence Retention
The following evidence retention periods identify the period of time an entity is
required to retain specific evidence to demonstrate compliance. For instances
where the evidence retention period specified below is shorter than the time since
the last audit, the CEA may ask an entity to provide other evidence to show that it
was compliant for the full time period since the last audit.

Page 2 of 8

FAC-001-2 — Facility Interconnection Requirements

The Transmission Owner and applicable Generator Owner shall keep data or
evidence to show compliance as identified below unless directed by its CEA to
retain specific evidence for a longer period of time as part of an investigation:
The responsible entities shall retain documentation as evidence for three years.
If a responsible entity is found non-compliant, it shall keep information related to
the non-compliance until mitigation is complete and approved or for the time
specified above, whichever is longer.
The CEA shall keep the last audit records and all requested and submitted
subsequent audit records.
1.3. Compliance Monitoring and Assessment Processes:
Compliance Audit
Self-Certification
Spot Check
Compliance Investigation
Self-Reporting
Complaint
1.4. Additional Compliance Information
None

Page 3 of 8

FAC-001-2 — Facility Interconnection Requirements

Table of Compliance Elements
R#

Time
Horizon

VRF

Violation Severity Levels
Lower VSL

R1

Long-term
Planning

Lower

N/A

Moderate VSL

High VSL

The Transmission
Owner documented
Facility
interconnection
requirements and
updated them as
needed, but failed to
make them available
upon request.

The Transmission
Owner documented
Facility
interconnection
requirements, but
failed to update them
as needed and failed to
make them available
upon request.

OR

OR

The Transmission
Owner documented
Facility
interconnection
requirements and made
them available upon
request, but failed to
update them as needed.

The Transmission
Owner documented
Facility
interconnection
requirements, updated
them as needed, and
made them available
upon request, but
failed to address
interconnection
requirements for two
of the Facilities as
specified in R1, Parts
1.1, 1.2, or 1.3.

OR
The Transmission
Owner documented
Facility
interconnection
requirements, updated
them as needed, and
made them available
upon request, but

Severe VSL

The Transmission
Owner did not
document Facility
interconnection
requirements.

Page 4 of 8

FAC-001-2 — Facility Interconnection Requirements

failed to address
interconnection
requirements for one of
the Facilities as
specified in R1, Parts
1.1, 1.2, or 1.3.
R2

Long-term
Planning

Lower

The applicable
Generator Owner
failed to document
Facility
interconnection
requirements and make
them available upon
request until more than
45 calendar days but
less than or equal to 60
calendar days after full
execution of an
Agreement to conduct
a study on the
reliability impact of
interconnecting a third
party Facility to the
Generator Owner’s
existing Facility that is
used to interconnect to
the Transmission
system.

The applicable
Generator Owner
failed to document
Facility
interconnection
requirements and make
them available upon
request until more than
60 calendar days but
less than or equal to 70
calendar days after full
execution of an
Agreement to conduct
a study on the
reliability impact of
interconnecting a third
party Facility to the
Generator Owner’s
existing Facility that is
used to interconnect to
the Transmission
system.

The applicable
Generator Owner
failed to document
Facility
interconnection
requirements and make
them available upon
request until more than
70 calendar days but
less than or equal to 80
calendar days after full
execution of an
Agreement to conduct
a study on the
reliability impact of
interconnecting a third
party Facility to the
Generator Owner’s
existing Facility that is
used to interconnect to
the Transmission
system.

The applicable
Generator Owner
failed to document
Facility
interconnection
requirements and make
them available upon
request until more than
80 calendar days after
full execution of an
Agreement to conduct
a study on the
reliability impact of
interconnecting a third
party Facility to the
Generator Owner’s
existing Facility that is
used to interconnect to
the Transmission
system.

Page 5 of 8

FAC-001-2 — Facility Interconnection Requirements

R3

Long-term
Planning

Lower

R4

Long-term
Planning

Lower

N/A

N/A

The Transmission
Owner addressed
either R3, Part 3.1 or
Part 3.2 in its Facility
interconnection
requirements, but did
not address both.

The Transmission
Owner addressed
neither R3, Part 3.1 nor
Part 3.2 in its Facility
interconnection
requirements.

N/A

N/A

The applicable
Generator Owner
addressed either R4,
Part 4.1 or Part 4.2 in
its Facility
interconnection
requirements, but did
not address both.

The applicable
Generator Owner
addressed neither R4,
Part 4.1 nor Part 4.2 in
its Facility
interconnection
requirements.

D. Regional Variances
None.
E. Interpretations
None.
F. Associated Documents
None.

Page 6 of 8

Application Guidelines

Guidelines and Technical Basis
Entities should have documentation to support the technical rationale for determining whether an
existing interconnection was “materially modified.” Recognizing that what constitutes a
“material modification” will vary from entity to entity, the intent is for this determination to be
based on engineering judgment.
Requirement R3:
Originally the Parts of R3, with the exception of the first two bullets, which were added by the
Project 2010-02 drafting team, this list has been moved to the Guidelines and Technical Basis
section to provide entities with the flexibility to determine the Facility interconnection
requirements that are technically appropriate for their respective Facilities. Including them as
Parts of R3 was deemed too prescriptive, as frequently some items in the list do not apply to all
applicable entities – and some applicable entities will have requirements that are not included in
this list.
Each Transmission Owner and applicable Generator Owner should consider the following items
in the development of Facility interconnection requirements:
•

Procedures for requesting a new Facility interconnection or material modification to an
existing interconnection

•

Data required to properly study the interconnection

•

Voltage level and MW and MVAR capacity or demand at the point of interconnection

•

Breaker duty and surge protection

•

System protection and coordination

•

Metering and telecommunications

•

Grounding and safety issues

•

Insulation and insulation coordination

•

Voltage, Reactive Power (including specifications for minimum static and dynamic
reactive power requirements), and power factor control

•

Power quality impacts

•

Equipment ratings

•

Synchronizing of Facilities

•

Maintenance coordination

•

Operational issues (abnormal frequency and voltages)

•

Inspection requirements for new or materially modified existing interconnections

•

Communications and procedures during normal and emergency operating conditions
Page 7 of 8

Application Guidelines

Version History

Version
0

Date
April 1, 2005

1

Action
Effective Date

New

Added requirements for Generator
Owner and brought overall standard
format up to date.

Revision under
Project 2010-07

1

February 9, 2012

Adopted by the Board of Trustees

1

September 19, 2013

A FERC order was issued on
September 19, 2013, approving
FAC-001-1. This standard became
enforceable on November 25, 2013
for Transmission Owners. For
Generator Owners, the standard
becomes enforceable on January 1,
2015.

2

2

Revisions to implement the
recommendations of the FAC FiveYear Review Team.
August 14, 2014

Change
Tracking

Revision under
Project 2010-02

Adopted by the Board of Trustees

Page 8 of 8

FAC-002-2 Clean Version

FAC-002-2 — Facility Interconnection Studies

A. Introduction
1.

Title:

Facility Interconnection Studies

2.

Number:

FAC-002-2

3.

Purpose: To study the impact of interconnecting new or materially modified
Facilities on the Bulk Electric System.

4.

Applicability:
4.1. Functional Entities:
4.1.1

Planning Coordinator

4.1.2

Transmission Planner

4.1.3

Transmission Owner

4.1.4

Distribution Provider

4.1.5

Generator Owner

4.1.6

Applicable Generator Owner

4.1.6.1 Generator Owner with a fully executed Agreement to conduct a study
on the reliability impact of interconnecting a third party Facility to the
Generator Owner’s existing Facility that is used to interconnect to the
Transmission system.
4.1.7 Load-Serving Entity
5.

Effective Date: The first day of the first calendar quarter that is one year after the
date that this standard is approved by an applicable governmental authority or as
otherwise provided for in a jurisdiction where approval by an applicable governmental
authority is required for a standard to go into effect. Where approval by an applicable
governmental authority is not required, the standard shall become effective on the first
day of the first calendar quarter that is one year after the date this standard is adopted
by the NERC Board of Trustees or as otherwise provided for in that jurisdiction.

B. Requirements and Measures
R1. Each Transmission Planner and each Planning Coordinator shall study the reliability
impact of: (i) interconnecting new generation, transmission, or electricity end-user
Facilities and (ii) materially modifying existing interconnections of generation,
transmission, or electricity end-user Facilities. The following shall be studied:
[Violation Risk Factor: Medium] [Time Horizon: Long-term Planning]
1.1. The reliability impact of the new interconnection, or materially modified existing
interconnection, on affected system(s);
1.2. Adherence to applicable NERC Reliability Standards; regional and Transmission
Owner planning criteria; and Facility interconnection requirements;
1.3. Steady-state, short-circuit, and dynamics studies, as necessary, to evaluate system
performance under both normal and contingency conditions; and

Page 1 of 8

FAC-002-2 — Facility Interconnection Studies

1.4. Study assumptions, system performance, alternatives considered, and coordinated
recommendations. While these studies may be performed independently, the
results shall be evaluated and coordinated by the entities involved.
M1. Each Transmission Planner or each Planning Coordinator shall have evidence (such as
study reports, including documentation of reliability issues) that it met all requirements
in Requirement R1.
R2. Each Generator Owner seeking to interconnect new generation Facilities, or to
materially modify existing interconnections of generation Facilities, shall coordinate
and cooperate on studies with its Transmission Planner or Planning Coordinator,
including but not limited to the provision of data as described in R1, Parts 1.1-1.4.
[Violation Risk Factor: Medium] [Time Horizon: Long-term Planning]
M2. Each Generator Owner shall have evidence (such as documents containing the data
provided in response to the requests of the Transmission Planner or Planning
Coordinator) that it met all requirements in Requirement R2.
R3. Each Transmission Owner, each Distribution Provider, and each Load-Serving Entity
seeking to interconnect new transmission Facilities or electricity end-user Facilities, or
to materially modify existing interconnections of transmission Facilities or electricity
end-user Facilities, shall coordinate and cooperate on studies with its Transmission
Planner or Planning Coordinator, including but not limited to the provision of data as
described in R1, Parts 1.1-1.4. [Violation Risk Factor: Medium] [Time Horizon: Longterm Planning]
M3. Each Transmission Owner, each Distribution Provider, and each Load-Serving Entity
shall have evidence (such as documents containing the data provided in response to the
requests of the Transmission Planner or Planning Coordinator) that it met all
requirements in Requirement R3.
R4. Each Transmission Owner shall coordinate and cooperate with its Transmission
Planner or Planning Coordinator on studies regarding requested new or materially
modified interconnections to its Facilities, including but not limited to the provision of
data as described in R1, Parts 1.1-1.4. [Violation Risk Factor: Medium] [Time
Horizon: Long-term Planning]
M4. Each Transmission Owner shall have evidence (such as documents containing the data
provided in response to the requests of the Transmission Planner or Planning
Coordinator) that it met all requirements in Requirement R4.
R5. Each applicable Generator Owner shall coordinate and cooperate with its Transmission
Planner or Planning Coordinator on studies regarding requested interconnections to its
Facilities, including but not limited to the provision of data as described in R1, Parts
1.1-1.4. [Violation Risk Factor: Medium] [Time Horizon: Long-term Planning]
M5. Each applicable Generator Owner shall have evidence (such as documents containing
the data provided in response to the requests of the Transmission Planner or Planning
Coordinator) that it met all requirements in Requirement R5.

Page 2 of 8

FAC-002-2 — Facility Interconnection Studies

C. Compliance
1.

Compliance Monitoring Process
1.1. Compliance Enforcement Authority
As defined in the NERC Rules of Procedure, “Compliance Enforcement
Authority” (CEA) means NERC or the Regional Entity in their respective roles of
monitoring and enforcing compliance with the NERC Reliability Standards.
1.2. Evidence Retention
The following evidence retention periods identify the period of time an entity is
required to retain specific evidence to demonstrate compliance. For instances
where the evidence retention period specified below is shorter than the time since
the last audit, the CEA may ask an entity to provide other evidence to show that it
was compliant for the full time period since the last audit.
The Planning Coordinator, Transmission Planner, Transmission Owner,
Distribution Provider, Generator Owner, applicable Generator Owner, and LoadServing Entity shall keep data or evidence to show compliance as identified below
unless directed by its CEA to retain specific evidence for a longer period of time
as part of an investigation:
The responsible entities shall retain documentation as evidence for three years.
If a responsible entity is found non-compliant, it shall keep information related to
the non-compliance until mitigation is complete and approved or for the time
specified above, whichever is longer.
The CEA shall keep the last audit records and all requested and submitted
subsequent audit records.
1.3. Compliance Monitoring and Assessment Processes:
Compliance Audit
Self-Certification
Spot Check
Compliance Investigation
Self-Reporting
Complaint
1.4. Additional Compliance Information
None

Page 3 of 8

FAC-002-2 — Facility Interconnection Studies

Table of Compliance Elements
R#

Time
Horizon

VRF

Violation Severity Levels
Lower VSL

Moderate VSL

High VSL

Severe VSL

R1

Long-term
Planning

Medium The Transmission
Planner or Planning
Coordinator studied
the reliability impact
of: (i) interconnecting
new generation,
transmission, or
electricity end-user
Facilities, and (ii)
materially modifying
existing
interconnections of
generation,
transmission, or
electricity end-user
Facilities, but failed to
study one of the Parts
(R1, 1.1-1.4).

The Transmission
Planner or Planning
Coordinator studied
the reliability impact
of: (i) interconnecting
new generation,
transmission, or
electricity end-user
Facilities, and (ii)
materially modifying
existing
interconnections of
generation,
transmission, or
electricity end-user
Facilities but failed to
study two of the Parts
(R1, 1.1-1.4).

The Transmission
Planner or Planning
Coordinator studied
the reliability impact
of: (i) interconnecting
new generation,
transmission, or
electricity end-user
Facilities, and (ii)
materially modifying
existing
interconnections of
generation,
transmission, or
electricity end-user
Facilities but failed to
study three of the Parts
(R1, 1.1-1.4).

The Transmission
Planner or Planning
Coordinator failed to
study the reliability
impact of:
interconnecting new
generation,
transmission, or
electricity end-user
Facilities, and (ii)
materially modifying
existing
interconnections of,
generation,
transmission, or
electricity end-user
Facilities.

R2

Long-term
Planning

Medium The Generator Owner
seeking to
interconnect new
generation Facilities,
or to materially
modify existing
interconnections of
generation Facilities,
coordinated and
cooperated on studies

The Generator Owner
seeking to
interconnect new
generation Facilities,
or to materially
modify existing
interconnections of
generation Facilities,
coordinated and
cooperated on studies

The Generator Owner
seeking to interconnect
new generation
Facilities, or to
materially modify
existing
interconnections of
generation Facilities,
coordinated and
cooperated on studies

The Generator Owner
seeking to interconnect
new generation
Facilities, or to
materially modify
existing
interconnections of
generation Facilities,
failed to coordinate
and cooperate on

Page 4 of 8

FAC-002-2 — Facility Interconnection Studies

R3

Long-term
Planning

with its Transmission
Planner or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
one of the Parts (R1,
1.1-1.4).

with its Transmission
Planner or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
two of the Parts (R1,
1.1-1.4).

with its Transmission
Planner or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
three of the Parts (R1,
1.1-1.4).

studies with its
Transmission Planner
or Planning
Coordinator.

Medium The Transmission
Owner, Distribution
Provider, or LoadServing Entity seeking
to interconnect new
transmission Facilities
or electricity end-user
Facilities, or to
materially modify
existing
interconnections of
transmission Facilities
or electricity end-user
Facilities, coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
one of the Parts (R1,
1.1-1.4).

The Transmission
Owner, Distribution
Provider, or LoadServing Entity seeking
to interconnect new
transmission Facilities
or electricity end-user
Facilities, or to
materially modify
existing
interconnections of
transmission Facilities
or electricity end-user
Facilities, coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
two of the Parts (R1,
1.1-1.4).

The Transmission
Owner, Distribution
Provider, or LoadServing Entity seeking
to interconnect new
transmission Facilities
or electricity end-user
Facilities, or to
materially modify
existing
interconnections of
transmission Facilities
or electricity end-user
Facilities, coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator, but failed
to provide data
necessary to perform
studies as described in
three of the Parts (R1,
1.1-1.4).

The Transmission
Owner, Distribution
Provider, or LoadServing Entity seeking
to interconnect new
transmission Facilities
or electricity end-user
Facilities, or to
materially modify
existing
interconnections of
transmission Facilities
or electricity end-user
Facilities, failed to
coordinate and
cooperate on studies
with its Transmission
Planner or Planning
Coordinator.

Page 5 of 8

FAC-002-2 — Facility Interconnection Studies

R4

Long-term
Planning

Medium The Transmission
Owner coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator regarding
requested new or
materially modified
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in one of the
Parts (R1, 1.1-1.4).

The Transmission
Owner coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator regarding
requested new or
materially modified
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in two of the
Parts (R1, 1.1-1.4).

The Transmission
Owner coordinated
and cooperated on
studies with its
Transmission Planner
or Planning
Coordinator regarding
requested new or
materially modified
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in three of
the Parts (R1, 1.1-1.4).

The Transmission
Owner failed to
coordinate and
cooperate on studies
with its Transmission
Planner or Planning
Coordinator regarding
requested new or
materially modified
interconnections to its
Facilities.

R5

Long-term
Planning

Medium The applicable
Generator Owner
coordinated and
cooperated on studies
with its Transmission
Planner or Planning
Coordinator regarding
requested
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in one of the
Parts (R1, 1.1-1.4).

The applicable
Generator Owner
coordinated and
cooperated on studies
with its Transmission
Planner or Planning
Coordinator regarding
requested
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in two of the
Parts (R1, 1.1-1.4).

The applicable
Generator Owner
coordinated and
cooperated on studies
with its Transmission
Planner or Planning
Coordinator regarding
requested
interconnections to its
Facilities, but failed to
provide data necessary
to perform studies as
described in three of
the Parts (R1, 1.1-1.4).

The applicable
Generator Owner
failed to coordinate
and cooperate on
studies with its
Transmission Planner
or Planning
Coordinator regarding
requested
interconnections to its
Facilities.

Page 6 of 8

FAC-002-2 — Facility Interconnection Studies

D. Regional Variances
None.
E. Interpretations
None.
F. Associated Documents
None

Page 7 of 8

Application Guidelines
Guidelines and Technical Basis
Entities should have documentation to support the technical rationale for determining whether an
existing interconnection was “materially modified.” Recognizing that what constitutes a
“material modification” will vary from entity to entity, the intent is for this determination to be
based on engineering judgment.

Version History

Version

Date

Action

Change
Tracking

0

April 1, 2005

Effective Date

New

0

January 13, 2006

Removed duplication of “Regional
Reliability Organizations(s).

Errata

1

August 5, 2010

Modified to address Order No. 693
Directives contained in paragraph
693.
Adopted by the NERC Board of
Trustees.

Revised

1

February 7, 2013

1

November 21, 2013

R2 and associated elements approved
by NERC Board of Trustees for
retirement as part of the Paragraph 81
project (Project 2013-02) pending
applicable regulatory approval.
R2 and associated elements approved
by FERC for retirement as part of the
Paragraph 81 project (Project 201302)

2

2

Revisions to implement the
recommendations of the FAC FiveYear Review Team.
August 14, 2014

Revision under
Project 2010-02

Adopted by the Board of Trustees.

Page 8 of 8