S T A T E O F N E W Y O R K
________________________________________________________________________
1345
2023-2024 Regular Sessions
I N S E N A T E
January 11, 2023
___________
Introduced by Sen. PARKER -- read twice and ordered printed, and when
printed to be committed to the Committee on Rules
AN ACT to amend the energy law, the executive law and the public service
law, in relation to critical energy infrastructure security and
responsibility; and to amend a chapter of the laws of 2022 amending
the energy law, the executive law and the public service law relating
to critical energy infrastructure security and responsibility, as
proposed in legislative bills numbers S. 5579-A and A. 3904-B, in
relation to the effectiveness thereof
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivisions 14 and 15 of section 1-103 of the energy law,
as added by a chapter of the laws of 2022 amending the energy law, the
executive law and the public service law relating to critical energy
infrastructure security and responsibility, as proposed in legislative
bills numbers S. 5579-A and A. 3904-B, are amended to read as follows:
14. "Critical energy infrastructure" means systems, including indus-
trial control systems, [customer electrical or gas consumption data,]
assets, places or things, whether physical or virtual, so vital to the
state that the disruption, incapacitation or destruction of such
systems, including industrial control systems, [customer electrical or
gas consumption data,] assets, places or things could jeopardize the
health, safety, welfare, energy distribution, transmission, reliability,
or security of the state, its residents or its economy.
15. "Industrial control systems" means [a combination of control
components that support operational functions in gas, distribution,
transmission, and advanced metering infrastructure control centers, and
act together to achieve an industrial objective, including controls that
are fully automated or that include a human-machine interface] AN INFOR-
MATION SYSTEM USED TO MONITOR AND/OR CONTROL INDUSTRIAL PROCESSES,
INCLUDING SUPERVISORY CONTROL AND DATA ACQUISITION SYSTEMS USED TO MONI-
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04193-01-3
S. 1345 2
TOR AND/OR CONTROL GEOGRAPHICALLY DISPERSED ASSETS, DISTRIBUTED CONTROL
SYSTEMS, HUMAN-MACHINE INTERFACES, AND PROGRAMMABLE LOGIC CONTROLLERS
THAT CONTROL LOCALIZED PROCESSES.
§ 2. Paragraph (j) of subdivision 2 of section 709 of the executive
law, as amended by a chapter of the laws of 2022 amending the energy
law, the executive law and the public service law relating to critical
energy infrastructure security and responsibility, as proposed in legis-
lative bills numbers S. 5579-A and A. 3904-B, is amended to read as
follows:
(j) work with local, state and federal agencies and private entities
to conduct assessments of the vulnerability of critical infrastructure
to terrorist attack, cyber attack, and other natural and man-made disas-
ters, including, but not limited to, nuclear facilities, power plants,
telecommunications systems, mass transportation systems, public road-
ways, railways, bridges and tunnels, [and attendant industrial control
systems as defined by subdivision fifteen of section 1-103 of the energy
law] and develop strategies that may be used to protect such infrastruc-
ture from terrorist attack, cyber attack, and other natural and man-made
disasters;
§ 3. Paragraph (a) of subdivision 19 of section 66 of the public
service law, as amended by a chapter of the laws of 2022 amending the
energy law, the executive law and the public service law relating to
critical energy infrastructure security and responsibility, as proposed
in legislative bills numbers S. 5579-A and A. 3904-B, is amended to read
as follows:
(a) The commission shall have power to provide for management and
operations audits of gas corporations and electric corporations. Such
audits shall be performed at least once every five years for combination
gas and electric corporations, as well as for straight gas corporations
having annual gross revenues in excess of two hundred million dollars.
The audit shall include, but not be limited to, an investigation of the
company's construction program planning in relation to the needs of its
customers for reliable service, an evaluation of the efficiency of the
company's operations, AN EVALUATION OF CUSTOMER PRIVACY PROTECTIONS,
INCLUDING BUT NOT LIMITED TO CUSTOMER ELECTRICAL AND GAS CONSUMPTION
DATA, and protection of critical energy infrastructure as defined in
subdivision fourteen of section 1-103 of the energy law, recommendations
with respect to same, and the timing with respect to the implementation
of such recommendations. The commission shall have discretion to have
such audits performed by its staff, or by independent auditors.
In every case in which the commission chooses to have the audit
provided for in this subdivision or pursuant to subdivision fourteen of
section sixty-five of this article performed by independent auditors, it
shall have authority to select the auditors, and to require the company
being audited to enter into a contract with the auditors providing for
their payment by the company. Such contract shall provide further that
the auditors shall work for and under the direction of the commission
according to such terms as the commission may determine are necessary
and reasonable.
§ 4. Paragraph (d) of subdivision 19 of section 66 of the public
service law, as added by a chapter of the laws of 2022 amending the
energy law, the executive law and the public service law relating to
critical energy infrastructure security and responsibility, as proposed
in legislative bills numbers S. 5579-A and A. 3904-B, is amended to read
as follows:
S. 1345 3
(d) The commission shall have the power to provide for an annual audit
of gas corporations and electric corporations relating to the adequacy
of cyber-security policies, protocols, procedures and protections
including, but not limited to, as such policies, protocols, procedures
and protections relate to critical energy infrastructure as defined in
subdivision fourteen of section 1-103 of the energy law and [also to]
customer privacy INCLUDING BUT NOT LIMITED TO CUSTOMER ELECTRIC AND GAS
CONSUMPTION DATA. The commission shall have the discretion to have such
audits performed by its staff or by an independent third party.
§ 5. Subdivisions 30 and 31 of section 66 of the public service law,
as added by a chapter of the laws of 2022 amending the energy law, the
executive law and the public service law relating to critical energy
infrastructure security and responsibility, as proposed in legislative
bills numbers S. 5579-A and A. 3904-B, are amended and a new subdivision
32 is added to read as follows:
30. Promulgate rules and regulations to direct electric or gas corpo-
rations to develop and implement tools to monitor: (A) operational
control networks giving the electric or gas corporation the ability to
undertake the detection of unauthorized network behavior related to such
corporation's industrial control systems, as defined in subdivision
fifteen of section 1-103 of the energy law; AND (B) MONITOR AND PROTECT
CUSTOMER PRIVACY, INCLUDING BUT NOT LIMITED TO CUSTOMER ELECTRIC AND GAS
CONSUMPTION DATA FROM UNAUTHORIZED DISCLOSURE. On or before December
thirty-first, two thousand twenty-three and not later than five years
after such date, and every five years thereafter, the commission shall
provide a report to the governor, the temporary president of the senate,
the speaker of the assembly, the chairperson of the assembly standing
committee on energy, and the chairperson of the senate standing commit-
tee on energy and telecommunications reviewing electric or gas corpo-
ration compliance with this section, including, as necessary, recommen-
dations to the legislature if the commission determines that additional
measures are required to ensure the effective protection of electric or
gas corporation critical infrastructure.
31. Promulgate rules and regulations to direct electric or gas corpo-
rations to require the installation of advanced metering infrastructure
that connects to the electric or gas distribution network operated by
such electric or gas corporation be permitted only so long as access to
the advanced meter infrastructure enables two-way communication between
utilities and meters through the optimal communications network option,
such as a wireless network, that is shared by at least two meter provid-
ers operating within the United States of America, if the commission
determines that it is cost effective AND TECHNICALLY FEASIBLE to do so.
32. CUSTOMER ELECTRIC AND GAS CONSUMPTION DATA SHALL BE CONSIDERED
CONFIDENTIAL. THE COMMISSION SHALL HAVE THE AUTHORITY TO PROMULGATE
RULES AND REGULATIONS TO REQUIRE GAS OR ELECTRIC CORPORATIONS TO TAKE
NECESSARY MEASURES TO PROTECT SUCH DATA FROM UNAUTHORIZED OR UNCONSENTED
DISCLOSURE.
§ 6. Section 8 of a chapter of the laws of 2022 amending the energy
law, the executive law and the public service law relating to critical
energy infrastructure security and responsibility, as proposed in legis-
lative bills numbers S. 5579-A and A. 3904-B, is amended to read as
follows:
§ 8. This act shall take effect on the one hundred eightieth day after
it shall have become a law. Effective immediately, the public service
commission is authorized and directed to take actions necessary to
promulgate rules and regulations related to the implementation of subdi-
S. 1345 4
visions 30 [and], 31 AND 32 of section 66 of the public service law on
or before such effective date.
§ 7. This act shall take effect immediately; provided however, that
sections one, two, three, four and five of this act shall take effect on
the same date and in the same manner as a chapter of the laws of 2022
amending the energy law, the executive law and the public service law
relating to critical energy infrastructure security and responsibility,
as proposed in legislative bills numbers S. 5579-A and A. 3904-B, takes
effect.
