SEC. 40123. INCENTIVES FOR ADVANCED CYBERSECURITY TECHNOLOGY
INVESTMENT.
Part II of the Federal Power Act is amended by inserting after
section 219 (16 U.S.C. 824s) the following:
``SEC. 219A. <<NOTE: 16 USC 824s-1.>> INCENTIVES FOR
CYBERSECURITY INVESTMENTS.
``(a) Definitions.--In this section:
``(1) Advanced cybersecurity technology.--The term `advanced
cybersecurity technology' means any technology, operational
capability, or service, including computer hardware, software,
or a related asset, that enhances the security posture of public
utilities through improvements in the ability to protect
against, detect, respond to, or recover from a cybersecurity
[[Page 135 STAT. 952]]
threat (as defined in section 102 of the Cybersecurity Act of
2015 (6 U.S.C. 1501)).
``(2) Advanced cybersecurity technology information.--The
term `advanced cybersecurity technology information' means
information relating to advanced cybersecurity technology or
proposed advanced cybersecurity technology that is generated by
or provided to the Commission or another Federal agency.
``(b) <<NOTE: Deadline. Consultation.>> Study.--Not later than 180
days after the date of enactment of this section, the Commission, in
consultation with the Secretary of Energy, the North American Electric
Reliability Corporation, the Electricity Subsector Coordinating Council,
and the National Association of Regulatory Utility Commissioners, shall
conduct a study to identify incentive-based, including performance-
based, rate treatments for the transmission and sale of electric energy
subject to the jurisdiction of the Commission that could be used to
encourage--
``(1) investment by public utilities in advanced
cybersecurity technology; and
``(2) participation by public utilities in cybersecurity
threat information sharing programs.
``(c) <<NOTE: Deadline.>> Incentive-Based Rate Treatment.--Not
later than 1 year after the completion of the study under subsection
(b), the Commission shall establish, by rule, incentive-based, including
performance-based, rate treatments for the transmission of electric
energy in interstate commerce and the sale of electric energy at
wholesale in interstate commerce by public utilities for the purpose of
benefitting consumers by encouraging--
``(1) investments by public utilities in advanced
cybersecurity technology; and
``(2) participation by public utilities in cybersecurity
threat information sharing programs.
``(d) Factors for Consideration.--In issuing a rule pursuant to this
section, the Commission may provide additional incentives beyond those
identified in subsection (c) in any case in which the Commission
determines that an investment in advanced cybersecurity technology or
information sharing program costs will reduce cybersecurity risks to--
``(1) defense critical electric infrastructure (as defined
in section 215A(a)) and other facilities subject to the
jurisdiction of the Commission that are critical to public
safety, national defense, or homeland security, as determined by
the Commission in consultation with--
``(A) the Secretary of Energy;
``(B) the Secretary of Homeland Security; and
``(C) other appropriate Federal agencies; and
``(2) facilities of small or medium-sized public utilities
with limited cybersecurity resources, as determined by the
Commission.
``(e) Ratepayer Protection.--
``(1) In general.--Any rate approved under a rule issued
pursuant to this section, including any revisions to that rule,
shall be subject to the requirements of sections 205 and 206
that all rates, charges, terms, and conditions--
``(A) shall be just and reasonable; and
``(B) shall not be unduly discriminatory or
preferential.
[[Page 135 STAT. 953]]
``(2) Prohibition of duplicate recovery.--Any rule issued
pursuant to this section shall preclude rate treatments that
allow unjust and unreasonable double recovery for advanced
cybersecurity technology.
``(f) Single-Issue Rate Filings.--The Commission shall permit public
utilities to apply for incentive-based rate treatment under a rule
issued under this section on a single-issue basis by submitting to the
Commission a tariff schedule under section 205 that permits recovery of
costs and incentives over the depreciable life of the applicable assets,
without regard to changes in receipts or other costs of the public
utility.
``(g) Protection of Information.--Advanced cybersecurity technology
information that is provided to, generated by, or collected by the
Federal Government under subsection (b), (c), or (f) shall be considered
to be critical electric infrastructure information under section
215A.''.
File Type | application/vnd.openxmlformats-officedocument.wordprocessingml.document |
Author | Jean Sonneman |
File Modified | 0000-00-00 |
File Created | 2022-10-10 |