150 FERC ¶ 61,039

UNITED STATES OF AMERICA

FEDERAL ENERGY REGULATORY COMMISSION

18 CFR Part 40

[Docket No. RM14-8-000; Order No. 803]

Protection System Maintenance Reliability Standard 

 

(Issued January 22, 2015)

AGENCY: Federal Energy Regulatory Commission. 

ACTION: Final rule. 

SUMMARY: Pursuant to the Federal Power Act, the Commission approves a revised 

Reliability Standard, PRC-005-3 (Protection System and Automatic Reclosing 

Maintenance), submitted by the North American Electric Reliability Corporation 

(NERC). In addition, the Commission approves one new definition and six revised 

definitions referenced in the Reliability Standard, the assigned violation risk factors and 

violation severity levels, and NERC’s implementation plan. Consistent with Order 

No. 758, the Reliability Standard requires applicable entities to test and maintain certain

autoreclosing relays as part of a protection system maintenance program. However, to 

ensure that proper maintenance and testing is done for all parts of a reclosing relay 

scheme that can affect the reliable operation of the Bulk-Power System, the Commission 

directs that NERC develop a modification to the Reliability Standard to include 

maintenance and testing of supervisory relays. 

EFFECTIVE DATE: This rule will become effective [INSERT DATE 60 days after 

publication in the FEDERAL REGISTER].
Docket No. RM14

-8-000 ii

FOR FURTHER INFORMATION CONTACT

:

Tom Bradish (Technical Information)

Office of Electric Reliability

Federal Energy Regulatory Commission

888 First Street, NE

Washington, DC 20426

(301) 665-1391 

Tom.Bradish@ferc.gov

Julie Greenisen (Legal Information)

Office of the General Counsel

Federal Energy Regulatory Commission

888 First Street, NE

Washington, DC 20426

(202) 502-6362

julie.greenisen@ferc.gov

SUPPLEMENTARY INFORMATION

:
150 FERC ¶ 61,039 

UNITED STATES OF AMERICA

FEDERAL ENERGY REGULATORY COMMISSION

Before Commissioners: Cheryl A. LaFleur, Chairman;

 Philip D. Moeller, Tony Clark,

Norman C. Bay, and Colette D. Honorable.

Protection System Maintenance 

Reliability Standard 

Docket No. RM14-8-000

ORDER NO. 803

FINAL RULE 

(Issued January 22, 2015)

1. Pursuant to section 215 of the Federal Power Act (FPA),1 the Commission 

approves a revised Reliability Standard, PRC-005-3 (Protection System and Automatic 

Reclosing Maintenance), submitted by the North American Electric Reliability 

Corporation (NERC). In addition, the Commission approves one new definition and six 

revised definitions referenced in the Reliability Standard, the assigned violation risk 

factors and violation severity levels, and NERC’s implementation plan. Consistent with 

Order No. 758,2 the revised Reliability Standard requires applicable entities to test and 

maintain certain autoreclosing relays as part of a protection system maintenance program. 

However, to ensure that proper maintenance and testing is done for all parts of a reclosing 

 1 16 U.S.C. 824o (2012). 

2 Interpretation of Protection System Reliability Standard, Order No. 758, 

138 FERC ¶ 61,094, clarification denied, 139 FERC ¶ 61,227 (2012). 
Docket No. RM14-8-000 - 2 -

relay scheme that can affect the reliable operation of the Bulk-Power System, the 

Commission directs that NERC develop a modification to the Reliability Standard to 

include maintenance and testing of supervisory relays, as discussed below.3

 

I. Background

A. Regulatory Background 

2. Section 215 of the FPA requires a Commission-certified Electric Reliability 

Organization (ERO) to develop mandatory and enforceable Reliability Standards, subject 

to Commission review and approval.4

 Once approved, the Reliability Standards may be 

enforced by the ERO subject to Commission oversight, or by the Commission 

independently.5

 In 2006, the Commission certified NERC as the ERO.

6

 

3. In 2007, in Order No. 693, the Commission approved an initial set of Reliability 

Standards submitted by NERC, including initial versions of four protection system and 

load-shedding-related maintenance standards: PRC-005-1, PRC-008-0, PRC-011-0, and 

 3 Supervisory devices, as applied to autoreclosing relays, essentially “supervise” 

the actions of an autoreclosing scheme, i.e., allow autoreclosing for desirable conditions 

or block autoreclosing for undesirable conditions. 

4 16 U.S.C. 824o(c) and (d). 

5 See id. at 824o(e).

6 North American Electric Reliability Corp., 116 FERC ¶ 61,062, order on reh’g 

and compliance, 117 FERC ¶ 61,126 (2006), order on compliance, 118 FERC ¶ 61,030, 

order on compliance, 118 FERC ¶ 61,190, order on reh’g, 119 FERC ¶ 61,046 (2007),

rev. denied sub nom. Alcoa, Inc. v. FERC, 564 F.3d 1342 (D.C. Cir. 2009). 
Docket No. RM14-8-000 - 3 -

PRC-017-0.7

 In addition, the Commission directed that NERC develop a revision to 

PRC-005-1 to incorporate a maximum time interval during which to conduct 

maintenance and testing of protection systems, and to consider combining into one 

standard the various maintenance and testing requirements for all of the maintenance and 

testing-related Reliability Standards for protection systems, underfrequency load 

shedding (UFLS) equipment and undervoltage load shedding (UVLS) equipment.

4. The Commission issued Order No. 758 in February 2012, in response to NERC’s 

request for approval of its interpretation of Requirement R1 of the then-current version of 

the protection system maintenance standard, PRC-005-1. The Commission accepted 

NERC’s proposed interpretation of PRC-005-1, which identified the types of protection 

system equipment to which the Reliability Standard applied. In addition, the 

Commission directed NERC to develop modifications to the standard to address gaps 

highlighted by the proposed interpretation, including the need to address reclosing relays 

that may affect the reliability of the Bulk-Power System.8

 

5. Prior to issuance of Order No. 758, NERC had begun developing revisions to its 

initial maintenance standards for protection systems and underfrequency and 

undervoltage load shedding equipment in response to the Order No. 693 directives. 

 7 Mandatory Reliability Standards for the Bulk-Power System, Order No. 693, 

FERC Stats. & Regs. ¶ 31,242 at PP 1474, 1492, 1497, and 1514, order on reh’g, Order 

No. 693-A, 120 FERC ¶ 61,053 (2007). 

8 See Order No. 758, 138 FERC ¶ 61,094 at PP 7, 23-24. 
Docket No. RM14-8-000 - 4 -

Those revisions, reflected in a consolidated Reliability Standard, PRC-005-2, were 

approved by the Commission on December 24, 2013 in Order No. 793.

9

 

B. NERC Petition and Proposed Standard PRC-005-3

6. On February 14, 2014, NERC submitted a petition seeking approval of proposed 

Reliability Standard PRC-005-3. In its petition, NERC maintained that the standard 

promotes reliability by making certain reclosing relays subject to a mandatory

maintenance program, including adding detailed tables of minimum maintenance 

activities and maximum maintenance intervals for the reclosing relays. NERC explained 

that the purpose of PRC-005-3 is to “document and implement programs for the 

maintenance of all Protection Systems and Automatic Reclosing affecting the reliability 

of the Bulk Electric System so that they are kept in working order.”10 

7. NERC explained that the subset of reclosing applications included in proposed 

PRC-005-3 is based on the findings of a technical study performed, in response to Order 

No. 758, by NERC’s System Analysis and Modeling Subcommittee (SAMS) and System 

Protection and Control Subcommittee (SPCS). The resulting study (the Joint Committee 

Report), attached to NERC’s petition as Exhibit D, examined both the scope of reclosing 

relays that could affect the reliable operation of the Bulk-Power System and appropriate 

maintenance intervals and activities for those relays.

 9 Protection System Maintenance Reliability Standard, Order No. 793, 145 FERC 

¶ 61,253 (2013). 

10 NERC Petition at 8. 
Docket No. RM14-8-000 - 5 -

8. In its petition, NERC explained that reclosing relays are “utilized on transmission 

systems to restore elements to service following automatic circuit breaker tripping,” and 

are “typically installed to lessen the burden on Transmission operators of manually 

restoring transmission lines.”11 NERC explained that “while more efficient restoration of 

transmission lines following temporary faults does provide an inherent reliability benefit, 

certain applications of reclosing relays can result in undesired relay operation or 

operation not consistent with relay design, leading to adverse reliability impacts.”12 After 

examining these potential reliability impacts, the Joint Committee Report recommended 

that the revised standard should:

1) explicitly address maintenance and testing of reclosing

relays applied as an integral part of a Special Protection 

System; and 2) include maintenance and testing of 

reclosing relays at or in proximity to generating plants at 

which the total installed capacity is greater than the 

capacity of the largest generating unit within the Balancing 

Authority Area.13

In addition, NERC explained that the Joint Committee Report recommended that 

“proximity” to these large generators be defined as “substations one bus away if the 

substation is within 10 miles of the plant.”14 

 11 Id. at 9 (citations to Joint Committee Report omitted). 

12 Id. 

13 Id. at 10. 

14 Id. NERC staff conducted its own analysis of this definition of “proximity,” “to 

verify that the 10-mile threshold provides adequate margin to ensure maintenance and 

testing of all reclosing relays where failure could result in generating station instability.” 

 

(continued...)
Docket No. RM14-8-000 - 6 -

9. The Joint Committee Report recommendations are reflected in the applicability 

section of PRC-005-3, which identifies, inter alia, the following facilities: 

4.2.6.1 Automatic Reclosing applied on terminals of 

Elements connected to the BES bus located at generating 

plant substations where the total installed gross generating 

plant capacity is greater than the gross capacity of the largest 

BES generating unit within the Balancing Authority Area.

4.2.6.2 Automatic Reclosing applied on the terminals of all 

BES Elements at substations one bus away from generating 

plants specified in Section 4.2.6.1 when the substation is less 

than 10 circuit-miles from the generating plant substation.

4.2.6.3 Automatic Reclosing applied as an integral part of an 

SPS specified in Section 4.2.4.15

10. Further, NERC proposed modifications to the language of Requirements R1, R3,

and R4 of PRC-005-2 to reflect the inclusion of automatic reclosing relays. NERC also 

proposed to include a new definition as part of the revised standard, as follows: 

Automatic Reclosing – Includes the following Components:

• Reclosing relay

• Control circuitry associated with the reclosing relay. 

NERC stated that the definition is intended for use within PRC-005-3 only, and would 

not be incorporated into the NERC Glossary of Terms. In addition, NERC proposed

modifications to four defined terms referenced in PRC-005-2, Protection System 

 

Id. at 20. See Protection System Maintenance Reliability Standard, Notice of Proposed 

Rulemaking, 79 Fed. Reg. 43,987 at 43,989 (July 29, 2013), 148 FERC ¶ 61,041, at 

PP 11-14 (2014) for additional background on the Joint Committee Report and NERC 

staff analysis.

15 NERC Petition, Ex. A at 1-2. 
Docket No. RM14-8-000 - 7 -

Maintenance Plan, Component Type, Component, and Countable Event, to reflect the 

inclusion of automatic reclosing components. Finally, NERC proposed to revise the 

definitions of Unresolved Maintenance Issue and Segment, also currently referenced in 

PRC-005-2, to capitalize the reference to the defined term “Component.” 

11. NERC’s implementation plan for PRC-005-3 incorporates the phased-in 

implementation period approved for PRC-005-2, with the addition of compliance dates 

for the new requirements for automatic reclosing components. NERC explained that 

retirement of the legacy Reliability Standards (PRC-005-1b, PRC-008-0, PRC-011-0, and 

PRC-017-0) will continue to “key off” the regulatory approval date for PRC-005-2, 

although PRC-005-2 itself will be retired in the United States immediately prior to the 

effective date of PRC-005-3, on the first day of the first calendar quarter twelve months 

following regulatory approval.16 According to NERC, applicable entities will continue to 

calculate compliance dates for Protection System Components by counting forward from 

the Commission approval date of PRC-005-2, and for Automatic Reclosing Components 

by counting forward from the effective date of Commission approval of PRC-005-3. 

Finally, for newly-identified Automatic Reclosing Components (e.g., resulting from the 

addition or retirement of generating units), compliance would be required by the end of 

the third calendar year following identification of those Components. 

 16 See id. at 22-24. 
Docket No. RM14-8-000 - 8 -

12. NERC stated that the violation risk factors proposed in PRC-005-3 track those in 

the currently approved standard PRC-005-2, and that the violation severity levels now 

include the additional component (Automatic Reclosing) in a manner consistent with the

approach taken for PRC-005-2.17

C. Notice of Proposed Rulemaking 

13. On July 17, 2014, the Commission issued a Notice of Proposed Rulemaking 

(NOPR) proposing to approve Reliability Standard PRC-005-3.18 While the NOPR 

acknowledged that NERC had provided technical support for the proposed thresholds for 

identifying applicable reclosing relays, the Commission noted that it “nonetheless [had] 

concerns whether the thresholds are too narrow.”19 Based on those concerns, the 

Commission proposed to require NERC to submit a report examining the effectiveness of 

the revised standard in identifying reclosing relay schemes that could affect the reliable 

operation of the Bulk-Power System based on “(1) actual operations data, and 

(2) simulated system conditions from planning assessments.”20 

 17 On June 4, 2014, NERC submitted two additional filings: (1) proposed 

revisions to a violation severity level assigned to Requirement R1 of PRC-005, consistent 

with a Commission directive in Order No. 793; and (2) an errata to NERC’s petition to 

reflect proper capitalization of defined terms as used in the proposed standard. 

18 Protection System Maintenance Reliability Standard, 148 FERC ¶ 61,041

(2014).

19 Id. P 22. 

20 Id. P 23. 
Docket No. RM14-8-000 - 9 -

14. With regard to actual operations data, the NOPR proposed that NERC enhance the 

granularity of its existing misoperations database “to gather relevant information 

regarding events that involve autoreclosing relays, such as distance from the fault, 

whether the relay reclosed into the fault, and whether that reclosure caused or 

exacerbated an event.”21 With regard to simulated system conditions, the NOPR 

suggested that the contingency analyses generated as part of planning assessments 

required under Reliability Standard TPL-001-4 could provide an appropriate benchmark 

for assessing PRC-005-3’s applicability thresholds for reclosing relays.22

15. The NOPR also proposed to direct modification of PRC-005-3 to include 

supervisory devices associated with applicable reclosing relay schemes. The 

Commission raised concerns that the failure of supervisory devices could raise reliability 

concerns under certain conditions, such as when static system angles are greater than 

designed and allow autoreclosing into a fault. Finally, the NOPR requested that 

commenters address the data retention obligations as proposed in PRC-005-3, which 

require applicable entities to retain maintenance records for a minimum of two 

maintenance cycles (up to 24 years). 

16. Comments on the NOPR were filed by NERC; the Edison Electric Institute (EEI); 

International Transmission Company (ITC); Associated Electric Cooperative, Inc., Basin 

 21 Id. 

22 See id. PP 24-27. 
Docket No. RM14-8-000 - 10 -

Electric Power Cooperative, Inc. and Tri-State Generation and Transmission Association, 

Inc. (together G&T Cooperatives); and Idaho Power Company (Idaho Power). 

II. Discussion

17. Pursuant to section 215(d)(2) of the FPA, we adopt our NOPR proposal and 

approve Reliability Standard PRC-005-3, including the associated definitions, violation 

risk factors and violation severity levels, and implementation plan (including the 

proposed retirement of identified “legacy” standards), as just, reasonable, not unduly 

discriminatory or preferential and in the public interest. As discussed above, NERC, EEI, 

ITC, and G&T Cooperatives support approval, commenting that the modifications to 

PRC-005-3 “address a known reliability gap” and address the directive in Order No. 

758.23 We agree with NERC and the commenters, and conclude that Reliability Standard

PRC-005-3 will enhance reliability by reducing the risk of autoreclosing relay 

misoperations through the imposition of minimum maintenance activities and maximum 

maintenance intervals for these relays. We further determine that PRC-005-3 adequately 

addresses the Commission directive from Order No. 758 with respect to the inclusion of 

reclosing relays in an adequate protection system maintenance program. In addition, as 

discussed below, we direct NERC to develop one modification to PRC-005-3 pertaining 

to the inclusion of supervisory relays for applicable reclosing relay schemes, and we 

 23 EEI Comments at 2. See also ITC Comments at 4; G&T Cooperatives 

Comments at 2 (supporting approval of the Reliability Standard).
Docket No. RM14-8-000 - 11 -

clarify that NERC’s proposal set forth in its NOPR comments is an appropriate approach 

to satisfy this directive.

18. Below, we discuss the following matters: (A) proposed reporting on the 

effectiveness of PRC-005-3; (B) supervisory devices; and (C) requested clarification on 

the applicability provisions of PRC-005-3. 

A. Proposed Reporting on Effectiveness of PRC-005-3 

NOPR

19. As noted above, the Commission proposed in the NOPR to direct NERC to submit 

a report, two years after the effective date of PRC-005-3, addressing the effectiveness of 

PRC-005-3 in identifying reclosing relay schemes that could impact the reliable operation 

of the Bulk-Power System. The Commission suggested that NERC submit such a report 

to address the Commission’s on-going concerns whether the standard’s applicability 

thresholds reasonably identify those types of reclosing relays that can affect the reliability 

of the Bulk-Power System. The NOPR proposed two means of evaluating the standard’s 

scope, based on (1) actual operations data and (2) simulated system conditions, such as 

contingency analyses required as part of the requirements of Reliability Standard TPL001-4. The NOPR sought comment on the value of these means to evaluate PRC-005-3. 

Comments 

20. NERC objects to additional reporting of any kind, contending that it adequately 

supported the applicability thresholds in PRC-005-3 through the analysis provided in the 

Joint Committee Report. NERC argues that the Commission did not adequately justify 

the need for additional reporting or analysis, and did not provide a sufficiently detailed 
Docket No. RM14-8-000 - 12 -

description of its concerns to allow the industry to “meaningfully comment” on the 

Commission’s reporting proposals.24 NERC also objects to the specific reporting 

benchmarks proposed in the NOPR, arguing that the planning assessment information 

generated by TPL-001-4 would not provide a meaningful benchmark for analyzing the 

scope of PRC-005-3. According to NERC, the simulations of autoreclosing in these 

planning assessments would not provide information relevant to the Commission’s 

concerns with PRC-005-3 because they only assess the impact of (1) a successful 

autoreclosing, which is the “desired outcome,” and (2) an unsuccessful autoreclosing into 

a fault, which NERC claims “will not provide information regarding the potential impact 

of an autoreclosing failure that may result in premature reclosing into a fault.” 25 

21. EEI supports the Commission’s proposed directive to require NERC to evaluate 

the effectiveness of PRC-005-3 through the submission of a report. However, EEI 

maintains that the Commission should “allow NERC, with industry input and support, the 

latitude to develop” the methods and processes for such an evaluation.26 EEI contends

that this approach would appropriately give due weight to the technical expertise of 

NERC, in recognition of the requirements of FPA section 215. 

22. EEI also asks the Commission to refrain from requiring changes to NERC’s 

existing Misoperations Database, stating that such a directive could “inadvertently 

 24 NERC Comments at 12. 

25 Id. at 14.

26 EEI Comments at 3. 
Docket No. RM14-8-000 - 13 -

change the purpose and intent of this system.”27 According to EEI, the Misoperations 

Database “is currently used to track misoperations, categorize the misoperation type and 

assign cause,” and “was not intended to assess impact.”28 Moreover, EEI does not 

support the use of the contingency analyses required by TPL-001-4 to assess the scope of 

reclosing relays encompassed by PRC-005-3, because the two standards were developed 

for different purposes and should not necessarily be expected to align. Finally, EEI notes 

that considerable study has already been conducted to address the Commission’s 

identified concerns on the potential impact of reclosing relay misoperations, and asks that 

the Commission “allow those recommendations to be applied, vetted, and studied before 

setting a new set of criteria which may not be necessary to ensure BES reliability.”29

23. Idaho Power agrees with NERC and EEI that the misoperations database enhanced 

reporting requirement as proposed in the NOPR is of little value, and notes that the only 

autoreclosing relays that should be subject to additional scrutiny are those relatively few 

reclosing relays needed to ensure reliability. 

24. By contrast, ITC does not generally oppose the proposed directive on gathering 

additional misoperations data related to reclosing relays, but asks for clarification about 

certain information NERC would be required to collect. Specifically, ITC asks that the 

 27 Id. at 4. 

28 Id.

29 Id. at 5. 
Docket No. RM14-8-000 - 14 -

Commission recognize that an entity may not be able to report the distance from the fault 

without some allowable margin of specificity. 

Commission Determination 

25. Based on the comments received on this issue, we are persuaded not to require 

NERC to submit a report on the effectiveness of PRC-005-3 in identifying reclosing relay 

schemes that can have an impact on the reliable operation of the Bulk-Power System, as 

we had proposed in the NOPR. Instead, we direct NERC to obtain, maintain, and make 

available to the Commission upon request, one year following the effective date of the 

standard and on an annual basis thereafter, data sufficient to analyze the effectiveness of 

PRC-005-3, whether it be through NERC’s Event Analysis process or other means. 

Specifically, NERC is to collect relevant information regarding Bulk-Power System 

events that involve high speed autoreclosing relays. Such information would include the 

operations of autoreclosing relays and their supervisory functionalities (e.g., time delays, 

synchronism check, voltages, etc.) that caused or exacerbated the events, and any 

unintended consequences of the events. The Commission encourages NERC and FERC 

staff to collaborate on the specific data to be collected, which could include, but is not 

limited to, the approximate distance from the fault and the generation loss associated with 

the event. Further, the Commission is also interested in knowing if those autoreclosing

relays identified as causing or exacerbating an event operated as designed, and if PRC005-3 is applicable to the autoreclosing relays that were involved. We expect NERC to 

share all appropriate data as needed to evaluate autoreclosing relay performance, in 

accordance with our general expectation that NERC will “cooperate with and share all 
Docket No. RM14-8-000 - 15 -

appropriate data and information with Commission staff” as needed “to ensure that the 

ERO Enterprise and the Commission are both able to effectively perform their duties 

under section 215 of the FPA.”30 

26. Given our decision in this Final Rule, we need not address the various arguments 

regarding the use of simulated contingency analyses as a benchmark for determining 

whether PRC-005-3 encompasses an adequate set of reclosing relays, and need not 

address ITC’s request for clarification about the data points potentially required under our 

proposed revisions to NERC’s misoperations database. 

B. Supervisory Devices 

NOPR

27. The NOPR proposed to require modification of PRC-005-3 to include 

maintenance and testing of supervisory devices associated with autoreclosing relay 

schemes otherwise covered by the standard, such as sync-check and voltage relays that 

may be critical to the operation of an autoreclosing scheme.31 In doing so, the 

Commission noted that requiring the inclusion of supervisory devices within the scope of 

PRC-005-3 is consistent with Commission orders on NERC’s Transmission Relay 

 30 Order on the Electric Reliability Organization’s Five-Year Performance 

Assessment, 149 FERC ¶ 61,141 at P 38 (2014). 

31 NOPR, 148 FERC ¶ 61,041 at P 28.
Docket No. RM14-8-000 - 16 -

Loadability Reliability Standard.32 In addition, the Commission noted that NERC had 

failed to explain how a failure of a sync-check relay for undesirable conditions, such as 

when static system angles are greater than designed, would not allow autoreclosing, thus 

leading to the reliability concerns identified in Order No. 758.33

Comments 

28. NERC states that it would support modification of PRC-005-3 to include certain 

supervisory devices to address the Commission’s concerns as stated in the NOPR. 

Specifically, NERC suggests modifying the Reliability Standard to include “maintenance 

of supervision functions for which a failure can result in autoreclosing into a fault and 

potentially cause generating or plant instability.”34 Accordingly, NERC states that it 

“would support the addition of voltage supervision, and where used, supervisory inputs 

associated with selective autoreclosing in the coverage of PRC-005.”35 While asserting

that “synchronism check failures do not have the potential to affect reliable operation of 

the Bulk-Power System,” NERC also acknowledges that “including synchronism check 

supervision, as suggested by the Commission, would provide a reliability benefit.”36 

 32 Id. P 29 (citing Transmission Relay Loadability Reliability Standard, Order 

No. 733, 130 FERC ¶ 61,221 (2010)). 

33 Id. P 30. 

34 NERC Comments at 4.

35 Id. 

36 Id. at 5.
Docket No. RM14-8-000 - 17 -

Thus, NERC states that it supports the addition of synchronism check supervision to the 

Reliability Standard’s coverage. 

29. Idaho Power generally supports the inclusion of supervisory devices as part of 

PRC-005-3, based on its position that “any component required for the successful 

operation of the reclosing system at the identified critical location should be tested and 

maintained.”37

30. Other commenters support modification of PRC-005-3 to include supervisory 

devices with certain limitations. EEI asks that the Commission limit the directive “to 

only those supervisory relays, which are directly associated with automatic reclosing 

schemes that would be covered by the proposed Reliability Standard.”38 G&T 

Cooperatives ask that the Commission limit any directive on supervisory devices to 

“those supervisory sync-check relays that can reclose on another transmission line,” 

arguing that these are the only supervisory devices where failure could lead to a 

reliability concern.39

Commission Determination 

31. For the reasons stated in the NOPR and based on the commenters’ general support, 

we adopt our NOPR proposal and direct that, pursuant to section 215(d)(5) of the FPA, 

NERC develop modifications to PRC-005-3 to include supervisory devices associated 

 37 Idaho Power Comments at 3-4.

38 EEI Comments at 5. 

39 G&T Cooperatives Comments at 4. 
Docket No. RM14-8-000 - 18 -

with autoreclosing relay schemes to which the Reliability Standard applies. Further, we 

clarify that NERC’s proposal regarding the scope of supervisory devices is an acceptable 

approach to satisfy the Commission directive. Specifically, NERC proposed in its NOPR 

comments, and we find acceptable, that the scope of the supervisory devices to be 

encompassed in the Reliability Standard are those providing voltage supervision, 

supervisory inputs associated with selective autoreclosing, and sync-check relays that are 

part of a reclosing scheme covered by PRC-005-3. 

C. Requested Clarification on Applicability Sections 

Comments 

32. ITC requests that the Commission clarify, or direct NERC to clarify, two 

applicability provisions. First, ITC asks for clarification that “the largest BES generating 

unit within the Balancing Authority Area” under Applicability section 4.2.6.1 would be 

determined using the NERC-defined term “Balancing Authority,” and not the MISOdefined term “Local Balancing Authority.” In addition, ITC requests that the 

Commission provide guidance on how to measure the gross capacity of multi-unit 

generating plants that are connected to electrically-isolated buses under section 4.2.6.2. 

Commission Determination 

33. We decline to provide the requested clarifications. Rather, we expect that an 

applicable entity will consult with the relevant Balancing Authority and/or Regional 

Entity, as appropriate, with questions concerning identification of the largest generating 

unit within the Balancing Authority Area, or the determination of gross generating plant 

capacity under the applicability sections of Reliability Standard PRC-005-3. 
Docket No. RM14-8-000 - 19 -

III. Information Collection Statement

34. The following collection of information contained in this Notice of Proposed 

Rulemaking is subject to review by the Office of Management and Budget (OMB) under 

section 3507(d) of the Paperwork Reduction Act of 1995.40 OMB’s regulations require 

approval of certain information collection requirements imposed by agency rules.41 

Upon approval of a collection(s) of information, OMB will assign an OMB control 

number and an expiration date. Respondents subject to the filing requirements of a rule 

will not be penalized for failing to respond to these collections of information unless the 

collections of information display a valid OMB control number. 

35. The Commission solicited comments on the need for and purpose of the 

information contained in Reliability Standard PRC-005-3 and the corresponding burden 

to implement the standard. The Commission received one comment on the reporting and 

information collection estimates. Specifically, EEI recommends that the Commission 

revise the cost estimate associated with the increase in information collection burdens 

expected under the proposed standard. EEI states that the NOPR underestimated the cost 

burden because it failed to take into account the extent to which compliance “will require 

 40 44 U.S.C. 3507(d) (2006).

41 5 CFR 1320.11.
Docket No. RM14-8-000 - 20 -

significant coordination with other entities, the modification of existing maintenance 

programs, identification of affected plants as well as all affected substations.”42

36. The Final Rule approves Reliability Standard PRC-005-3 (Protection System and 

Automatic Reclosing Maintenance), which will replace PRC-005-2 (Protection System 

Maintenance). We decline to alter the burden estimate as calculated in the NOPR, as the 

only party to comment on the estimate (EEI) failed to point out any specific, quantifiable 

errors in the NOPR’s estimate or otherwise offered an alternative quantification. 

37. Further, in the NOPR, the Commission requested comment on the data retention 

requirements, explaining that PRC-005-3 requires applicable entities to maintain 

documentation of covered maintenance activities performed since the last audit, or of the 

two most recent maintenance cycles if the maintenance interval exceeds the normal audit 

cycle. Because the longest maintenance interval for certain components under PRC-005-

3 is twelve years, an entity could be required to retain records for up to 24 years. 

38. EEI, Idaho Power, and G&T Cooperatives oppose continuation of the data 

retention requirement, claiming that it is unnecessary and burdensome to retain 

maintenance records for 24 years, and noting that the record retention period far exceeds 

the normal audit cycle. Likewise, NERC avers that there is no “substantial need” to 

maintain the records for two full cycles. Further, NERC states that another version of the 

standard is being developed (version 4) that will reduce the data retention requirement so 

 42 EEI Comments at 6. 
Docket No. RM14-8-000 - 21 -

that records must only be maintained for the length of the audit cycle if the maintenance 

interval is shorter than the audit cycle, or for the length of the maintenance interval if not. 

39. We generally agree with NERC and other commenters that the current data 

retention requirement, with a maximum retention period of 24 years, is unnecessarily 

long and burdensome. However, since the issuance of the NOPR and subsequent 

comments, NERC has submitted a petition for approval of the version 4 standard, PRC005-4, which includes a modified document retention requirement.43 Rather than ruling 

in the immediate docket, we will address the data retention issue in the context of 

NERC’s version 4 standard. As a result, there is no need to make corresponding 

adjustments to the NOPR’s burden estimate as part of this Final Rule.

40. The approved Reliability Standard expands the applicability of the existing 

standard to include reclosing schemes that meet certain criteria, imposing mandatory

minimum maintenance activities and maximum maintenance intervals for the various 

reclosing scheme components. Because the specific requirements were designed to 

reflect common industry practice, entities are not expected generally to experience a 

meaningful change in actual maintenance and documentation practices. However, 

applicable entities will have to perform a one-time review of their reclosing schemes to 

determine which ones fall under PRC-005-3, and, if they have applicable reclosing 

 43 See December 18, 2014, NERC Petition for Approval of Proposed Reliability 

Standard PRC-005-4, Docket No. RM15-9-000. Nothing in this Final Rule prejudges the 

outcome in the separate proceeding addressing the Version 4 standard.
Docket No. RM14-8-000 - 22 -

schemes, review current reclosing scheme maintenance programs to ensure that they meet 

the requirements of PRC-005-3. Accordingly, all information collection costs are 

expected to be limited to the first year of implementation of the revised standard. 

41. Public Reporting Burden: Our estimate below regarding the number of 

respondents is based on an analysis of the generating plants within the footprint of the 

PJM Interconnection, LLC (PJM) that meet the inclusion criteria of the proposed 

standard. There are an estimated 23 generating plants in PJM that meet these criteria. 

These generating plants represent approximately 47,000 MWs of the approximately 

184,000 MWs within PJM. Based on 2012 data, total installed capacity in the continental 

United States is 1,153,000 MWs.

44 Applying the PJM ratio to this total results in an 

estimated 144 plant sites nationwide to which PRC-005-3 would be applicable. We also 

assume that a substation will be located within 10 miles of each plant site, resulting in an 

estimated total number of entities that meet the inclusion criteria of 288.45 Finally, we 

assume that all generator owners and transmission owners must review their existing 

plant and substation sites to determine applicability under the proposed standard.

42. Affected entities must perform a one-time review of their existing reclosing 

scheme maintenance program to ensure that it contains at a minimum the activities listed 

 44 See http://search.usa.gov/search?utf8=%E2%9C%93&affiliate=eia.doe.gov

&query=generation+capacity+all+states&search=Submit and http://www.eia.gov/

electricity/annual/html/epa_08_07_a.html.

45 This estimate conservatively assumes that the proximate substation would be 

owned by a different entity than the generating plant. 
Docket No. RM14-8-000 - 23 -

in Table 4 in Reliability Standard PRC-005-3, and that the activities are performed within

the applicable maximum interval listed in Table 4. If the existing reclosing scheme 

maintenance program does not meet the criteria in Reliability Standard PRC-005-3, the 

entity will have to make certain adjustments to the program. 

RM14-8-000 (Mandatory Reliability Standards: Reliability Standard PRC-005-3)

Number of 

Respondents

(1)

Annual 

Number of 

Responses per 

Respondent

(2)

Total Number 

of Responses 

(1)*(2)=(3)

Average 

Burden & 

Cost Per 

Response46

(4)

Total 

Annual 

Burden 

Hours & 

Total 

Annual Cost

(3)*(4)=(5)

Cost per 

Respondent

($)

(5)÷(1)

One-time review of 

existing plant and 

substation sites to 

determine which 

ones fall under 

PRC-005-3

93747 1 937 2

$146

1,874

$136,802

$146

One-time review 

and adjustment of 

existing program

28848 1 288 8

$584

2,304

$168,192

$584

TOTAL 1,225 4,178

$304,994

Title: FERC-725P, Mandatory Reliability Standards: Reliability Standard PRC-005-3

Action: Final Rule 

 46 The estimates for cost per response are derived using the following formula: 

Average Burden Hours per Response * $73 per Hour = Average Cost per Response. The 

hourly cost figure comes from the average of the salary plus benefits for a manager and 

an engineer (rounded to the nearest dollar). The figures are taken from the Bureau of 

Labor Statistics at (http://bls.gov/oes/current/naics3_221000.htm). 

47 This figure reflects the generator owners and transmission owners identified in 

the NERC Compliance Registry as of May 28, 2014. 

48 This figure is a subset of GOs and TOs, as discussed in P 41 and n. 44. 
Docket No. RM14-8-000 - 24 -

OMB Control No: 1902-0269

Respondents: Business or other for-profit and not-for-profit institutions.

Frequency of Responses: One time. 

Necessity of the Information: The approved Reliability Standard PRC-005-3 will 

implement the Congressional mandate of the Energy Policy Act of 2005 to develop 

mandatory and enforceable Reliability Standards to better ensure the reliability of the 

nation’s Bulk-Power System. Specifically, the standard will ensure that transmission and 

generation protection systems and reclosing relays affecting the reliability of the bulk 

electric system are maintained and tested.

43. Internal review: The Commission has reviewed revised Reliability Standard PRC005-3 and made a determination that approval of this standard is necessary to implement 

section 215 of the FPA. The Commission has assured itself, by means of its internal 

review, that there is specific, objective support for the burden estimates associated with 

the information requirements.

44. Interested persons may obtain information on the reporting requirements by 

contacting the Federal Energy Regulatory Commission, Office of the Executive Director, 

888 First Street, NE, Washington, DC 20426 [Attention: Ellen Brown, e-mail: 

DataClearance@ferc.gov, phone: (202) 502-8663, fax: (202) 273-0873]. 

45. Comments concerning the information collections approved in this Final Rule and 

the associated burden estimates should be sent to the Commission in this docket and may 

also be sent to the Office of Management and Budget, Office of Information and 

Regulatory Affairs [Attention: Desk Officer for the Federal Energy Regulatory 
Docket No. RM14-8-000 - 25 -

Commission]. For security reasons, comments should be sent by e-mail to OMB at the 

following e-mail address: oira_submission@omb.eop.gov. Comments submitted to 

OMB should reference the collection number (FERC-725P) and OMB Control No. 1902-

0269. 

IV. Regulatory Flexibility Act Analysis

46. The Regulatory Flexibility Act of 1980 (RFA)49 generally requires a description 

and analysis of final rules that will have significant economic impact on a substantial 

number of small entities. As shown in the information collection section, an estimated 

288 entities are expected to have applicable reclosing relays under the revised Reliability 

Standard. The proposed Reliability Standard requires applicable entities to test and 

maintain certain autoreclosing relays as part of a protection system maintenance program. 

More specifically, affected entities must perform a one-time review of their existing 

reclosing scheme maintenance program to ensure that it contains at a minimum the 

activities listed in Table 4 in Reliability Standard PRC-005-3. Comparison of the 

applicable entities with the Commission’s small business data indicates that 

approximately 197 are small entities50 or 68.24 percent of the respondents affected by 

this Final Rule.

 49 5 U.S.C. 601-12.

50 The Small Business Administration sets the threshold for what constitutes a 

small business. Public utilities may fall under one of several different categories, each 

with a size threshold based on the company’s number of employees, including affiliates, 

the parent company, and subsidiaries. For the analysis in this Final Rule, we are using a 

 

(continued...)
Docket No. RM14-8-000 - 26 -

47. As discussed above, we estimate that Reliability Standard PRC-005-3 will apply to 

144 generating plant sites and 144 substations that are located within 10 miles of the 

plant site. We therefore estimate that 288 entities will have applicable reclosing relays 

subject to the revised Reliability Standard’s requirements, conservatively assuming that 

the proximate substation would be owned by a different entity than the generating plant. 

In addition, we estimate that all generator owners and transmission owners will initially 

review plant and substation sites to determine applicability with the proposed standard. 

48. On average, each small entity affected may have a one-time cost of $730 per site, 

representing a one-time review of the program for each entity, consisting of 10 manhours at $73/hour as explained above in the information collection statement. We do not 

consider this cost to be a significant economic impact for small entities. The 

Commission certifies that Reliability Standard PRC-005-3 will not have a significant 

economic impact on a substantial number of small entities. Accordingly, no regulatory 

flexibility analysis is required. 

V. Environmental Analysis

49. The Commission is required to prepare an Environmental Assessment or an 

Environmental Impact Statement for any action that may have a significant adverse effect 

 

500 employee threshold for each affected entity. Each entity is classified as Electric Bulk 

Power Transmission and Control (NAICS code 221121).
Docket No. RM14-8-000 - 27 -

on the human environment.51 The Commission has categorically excluded certain actions 

from this requirement as not having a significant effect on the human environment. 

Included in the exclusion are rules that are clarifying, corrective, or procedural or that do 

not substantially change the effect of the regulations being amended.52 The actions taken 

herein fall within this categorical exclusion in the Commission’s regulations.

VI. Document Availability

50. In addition to publishing the full text of this document in the Federal Register, the 

Commission provides all interested persons an opportunity to view and/or print the 

contents of this document via the Internet through the Commission's Home Page 

(http://www.ferc.gov) and in the Commission's Public Reference Room during normal 

business hours (8:30 a.m. to 5:00 p.m. Eastern time) at 888 First Street, NE, Room 2A, 

Washington, DC 20426.

51. From the Commission's Home Page on the Internet, this information is available 

on eLibrary. The full text of this document is available on eLibrary in PDF and 

Microsoft Word format for viewing, printing, and/or downloading. To access this 

document in eLibrary, type the docket number excluding the last three digits of this 

document in the docket number field.

 51 Regulations Implementing the National Environmental Policy Act of 1969, 

Order No. 486, FERC Stats. & Regs. ¶ 30,783 (1987).

52 18 CFR 380.4(a)(2)(ii).
Docket No. RM14-8-000 - 28 -

52. User assistance is available for eLibrary and the Commission’s website during 

normal business hours from the Commission’s Online Support at 202-502-6652 (toll free 

at 1-866-208-3676) or email at ferconlinesupport@ferc.gov, or the Public Reference 

Room at (202) 502-8371, TTY (202) 502-8659. E-mail the Public Reference Room 

at public.referenceroom@ferc.gov.

VII. Effective Date and Congressional Notification

53. This Final Rule is effective [INSERT DATE 60 days after publication in the 

FEDERAL REGISTER]. 

54. The Commission has determined, with the concurrence of the Administrator of the 

Office of Information and Regulatory Affairs of OMB, that this rule is not a “major rule” 

as defined in section 351 of the Small Business Regulatory Enforcement Fairness Act of

1996.53 The Commission will submit the Final Rule to both houses of Congress and to 

the General Accountability Office.

By direction of the Commission. Commissioner Honorable is voting present.

( S E A L ) 

Nathaniel J. Davis, Sr.,

Deputy Secretary.

 53 See 5 U.S.C. 804(2).