194 FERC ¶ 61,235

UNITED STATES OF AMERICA

FEDERAL ENERGY REGULATORY COMMISSION

Before Commissioners:  Laura V. Swett, Chairman;

                                        David Rosner, Lindsay S. See,

                                        Judy W. Chang, and David LaCerte.

ORDER ON COMPLIANCE AND REQUEST FOR WAIVERS

(Issued March 27, 2026)

1.                On June 27, 2025, as amended on February 6, 2026, the New York Independent System Operator, Inc. (NYISO) filed revised tariff records[1] to NYISO’s Open Access Transmission Tariff (OATT) to comply with the requirements of Order No. 676-K,[2] and a request for waivers of certain standards.  In Order No. 676-K, the Commission revised its regulations to incorporate by reference Version 004 of the Standards for Business Practices and Communication Protocols for Public Utilities (Business Practice Standards) adopted by the Wholesale Electric Quadrant (WEQ) of the North American Energy Standards Board (NAESB) (WEQ Version 004) applicable to the wholesale electric industry.[3]  In this order, we accept NYISO’s revised tariff record implementing the cybersecurity standards in WEQ Version 004, effective February 27, 2026, and the tariff records implementing the remainder of the revisions in WEQ Version 004, effective August 27, 2026, subject to an additional compliance filing being submitted within
   60 days of the date of this order, as described below.  We also grant the requests for waivers.

1. Background

2.                On February 19, 2025, the Commission issued Order No. 676-K, which amended the Commission’s regulation at 18 C.F.R. §§ 2.27 and 38.1(b) to incorporate by reference, with certain exceptions, the WEQ Version 004 of the Business Practice Standards.[4]  The NAESB Business Practice Standards are designed to aid public utilities with the consistent and uniform implementation of requirements promulgated by the Commission as part of the pro forma OATT.[5] 
3.                Order No. 676-K amended the Commission’s regulations at 18 C.F.R. § 38.1 to incorporate by reference the following WEQ Version 004 Business Practice Standards: WEQ-000 Abbreviations, Acronyms, and Definitions of Terms; WEQ-001 Open Access Same-Time Information System (OASIS); WEQ-002 OASIS Standards and Communication Protocol; WEQ-003 OASIS Data Dictionary; WEQ-004 Coordinate Interchange; WEQ-005 Area Control Error Equation Special Cases; WEQ-006 Manual Time Error Correction; WEQ-007 Inadvertent Interchange Payback (unchanged from Version 003.3); WEQ-008 Transmission Loading Relief – Eastern Interconnection; WEQ-011 Gas/Electric Coordination (unchanged from Version 003.3); WEQ-012 Public Key Infrastructure; WEQ-013 OASIS Implementation Guide; WEQ-015 Measurement and Verification of Wholesale Electricity Demand Response; WEQ-021 Measurement and Verification of Energy Efficiency Products; WEQ-022 Electric Industry Registry; WEQ-023 Modeling; and WEQ-024 Cybersecurity (new standard added in Version 004).[6]  All of these standards update and replace standards that the Commission previously incorporated by reference in Order No. 676-J.[7]
4.                In Order No. 676-K, the Commission directed that public utilities[8] whose tariffs
   do not automatically incorporate by reference all new NAESB standards without modification must submit a single compliance filing that includes two separate tariff records in eTariff.[9]  For the first tariff record, the Commission directed transmission providers to include a reference to the NAESB cybersecurity standards in WEQ Version 004 with a proposed effective date 12 months after the date of publication of the final rule in the Federal Register and stated that the remainder of the standards would continue to refer to the existing WEQ Version.  For the second tariff record, the Commission directed transmission providers to reference all the WEQ Version 004 Business Practice Standards adopted in Order No. 676-K with an effective date 18 months after the date of publication of the final rule in the Federal Register.  The Commission directed public utilities to submit their compliance filings no later than 120 days after the date of publication of the final rule in the Federal Register.[10]
5.                The Commission stated that, in their compliance filings, public utilities must specify in the tariff records a list of all the NAESB Business Practice Standards incorporated by reference by the Commission, and also must include:  (1) whether the standard is incorporated by reference by the public utility; (2) for those standards not incorporated by reference, the tariff provision that complies with the standard; and
   (3) a statement identifying any standards for which the public utility has been granted
   a waiver, extension of time, or other variance with respect to compliance with the standard.[11]  The Commission also stated that a public utility that makes any new waiver requests to comply with a part of the final rule or that makes any request to preserve any existing waivers must include such requests in its compliance filing.[12] 

2. NYISO’s Filing

6.                NYISO proposes to incorporate the revisions in WEQ Version 004 into its OATT by reference, with the exception of certain standards for which NYISO requests waivers, as set forth below.[13]  NYISO requests that the proposed tariff revisions regarding the WEQ Version 004 cybersecurity standards become effective on February 27, 2026, and the proposed tariff revisions regarding the remaining WEQ Version 004 standards become effective on August 27, 2026.[14]
7.                NYISO requests continued waivers of the following NAESB Business Practice Standards:  WEQ-001-2 through WEQ-001-12; WEQ-001-13.1.3(c); WEQ-001.13.2; WEQ-001-14 through WEQ-001-17; WEQ-001-20 through WEQ-001-28; WEQ-001-101 through WEQ-001-107.3.1; WEQ-001-Appendix A; WEQ-001-Appendix B; WEQ-002
   through WEQ-004; WEQ-013; and WEQ-023.[15]  NYISO explains that it requests continued waivers of these standards because NYISO’s financial reservation transmission model makes numerous NAESB standards inapplicable to NYISO and its market participants.[16]  NYISO states that its “financial reservation” transmission model, approved by the Commission in 1999, differs substantially from the “physical reservation” model contemplated by the Order No. 890 pro forma OATT.  Additionally, NYISO states that since 1999, the Commission has approved substantial revisions to NYISO’s OATT to reflect fundamental differences between NYISO’s “financial reservation” transmission model and the “physical reservation” model, specifically to reflect the fact that NYISO effectively offers a single form of financial reservation-based transmission service within a framework of Locational Based Marginal Prices and continuous economic redispatching.[17]  NYISO further states that, for each NAESB standard for which it seeks continued waiver, the rationale that the Commission set forth to grant the previous waivers is unchanged today.
8.                NYISO also requests a new waiver of the new Business Practice Standards
   in WEQ-001-107.4 and WEQ-001-108, which concern the implementation and/or requested modification in the provision of Network Integration Transmission Service (NITS).[18]NYISO explains that, except for transactions over inter-regional controllable Scheduled Lines operated by neighboring system operators, NYISO’s system does not provide for customers to make express, physical reservations of transmission service such as those contemplated by NITS.[19]  NYISO also states that, since its inception, NYISO has never provided NITS, nor has any transmission customer formally requested NITS.

3. Notices and Responsive Pleadings

9.                Notice of NYISO’s original compliance filing was published in the Federal Register, 90 Fed. Reg. 29001 (July 2, 2025), with interventions and protests due on or before July 18, 2025.  None was filed.
10.           Notice of NYISO’s amended compliance filing was published in the Federal Register, 91 Fed. Reg. 6213 (Feb. 11, 2026), with interventions and protests due on or before February 27, 2026.  None was filed.

4. Discussion

11. We find that NYISO’s revised tariff records comply with the directives of Order No. 676-K, subject to the additional compliance filing discussed below.  Thus, we accept NYISO’s Order 676-K revised tariff records implementing the WEQ Version 004 cybersecurity standards, effective February 27, 2026, and the remaining WEQ Version 004 standards, effective August 27, 2026.  We also grant the requested waivers and direct NYISO to submit an additional compliance filing.

12.  Specifically, we grant NYISO’s request for continued waivers of NAESB Practice Business Standards:  WEQ-001-2 through WEQ-001-12; WEQ-001-13.1.3(c); WEQ-001.13.2; WEQ-001-14 through WEQ-0017; WEQ-001-20 through WEQ-001-28; WEQ-001-101 through WEQ-001-107.3.1; WEQ-001-Appendix A; WEQ-001-Appendix B; WEQ-002 through WEQ-004; WEQ-013; and WEQ-023.  As NYISO explains, the circumstances under which the Commission previously granted these waivers have not changed.[20]  We find that NYISO has supported continued waiver of the foregoing standards for the reasons set forth in NYISO’s filing, and because the rationale used when the Commission previously granted these waivers has not changed.  Therefore, consistent with the Commission’s previous determination,[21] and for good cause shown, we grant the request for continued waivers. 

13. We also grant NYISO’s request for waivers of the new NAESB Business Practice Standards in WEQ-001-107.4 and WEQ-001-108 for good cause shown.  While NYISO operates a financial reservation model, those standards address the provision of NITS service under the physical reservation model contemplated by the Order No. 890 pro forma OATT.  With limited exceptions, NYISO does not provide for express, physical reservations of transmission service.  Moreover, as NYISO explains, it has never provided or received a formal request from a transmission customer for NITS.[22]  Accordingly, we find that waiver of WEQ-001-107.4 and WEQ-001-108 are appropriate, as they are consistent with the services that NYISO offers.
 

14. Finally, NYISO’s revised tariff records include a placeholder for the citation of this order granting waiver requests.  Therefore, we require NYISO to submit a compliance filing within 60 days of the date of this order to revise its tariff records to include the citation to this order granting the waiver requests.[23]

The Commission orders:

1.             NYISO’s revised tariff records for implementing the WEQ Version 004 cybersecurity standards are hereby accepted for filing, effective February 27, 2026, and NYISO’s revised tariff records implementing the remainder of the revisions in WEQ Version 004 are hereby accepted for filing, effective August 27, 2026, subject to an additional compliance filing, as discussed in the body of this order.
2.              NYISO’s requests for waivers are hereby granted, as discussed in the body of this order.
3.              NYISO is hereby directed to make a compliance filing within 60 days of the date of issuance of this order, as discussed in the body of this order.

By the Commission.

( S E A L )

Carlos D. Clay,

Deputy Secretary.

Appendix – eTariff Records

New York Independent System Operator, Inc.

NYISO Tariffs

• NYISO OATT, 2.17 OATT Incorporation of Certain Business Practice Standar (17.0.0)

• NYISO OATT, 2.17 OATT Incorporation of Certain Business Practice Standar (18.0.0)

• NYISO MST, 5.1 MST Control Area Services (20.0.0) 

• NYISO MST, 5.1 MST Control Area Services (21.0.0) 

[1] See Appendix for eTariff records accepted in this order.

[2] Standards for Bus. Pracs. & Commc’n Protocols for Pub. Utils., Order No. 676-K, 190 FERC ¶ 61,116 (2025).

[3] Id. P 1.

[4] Id.  

[5] Id. P 53. 

[6] Id. PP 12-15, 54-71. 

[7] Standards for Bus. Pracs. & Commc’n Protocols for Pub. Utils., Order No. 676-J, 175 FERC ¶ 61,139 (2021).

[8] The Commission also required entities with reciprocity tariffs to modify their tariffs to include the WEQ Version 004 standards incorporated by reference in Order
No. 676-K.  Order No. 676-K, 190 FERC ¶ 61,116 at P 43 n.21.

[9] Id. P 45.

[10] Id. P 44.

[11] Id. P 46.

[12] Id. P 47.  Public utilities that are granted new or continued waiver(s) of any WEQ Version 004 standard(s) must make a second compliance filing to include the citation to the Commission order granting the waiver(s) of the relevant WEQ Version 004 standards no later than 60 days after waiver(s) are granted. 

[13] June 27, 2025 Compliance Filing, Transmittal Letter at 3-9 (Original Compliance Filing).

[14] Id. at 2.

[15] Id. at 4-8; February 6, 2026 Amended Compliance Filing, Transmittal Letter
at 1-2.

[16] Original Compliance Filing, Transmittal Letter at 3.

[17] Id. at 4 (citing Cent. Hudson Gas & Elec. Corp., 86 FERC ¶ 61,062 (1999); Cent. Hudson Gas & Elec. Corp., 88 FERC ¶ 61,138 (1999); N.Y. Indep. Sys. Operator, Inc., 123 FERC ¶ 61,134, at P 13 (2008)).

[18] Id. at 9.

[19] Id. at 3.

[20] Id. at 4.

[21] N.Y. Indep. Sys. Operator, Inc., 185 FERC ¶ 61,067, at P 11 (2023).

[22] Original Compliance Filing, Transmittal Letter at 9.

[23] For this compliance filing, we remind NYISO to include a higher eTariff priority code for its revised tariff records effective February 27, 2026 and August 27, 2026.