Nerc Act

The North Americal Electric reliability Corporation was formed in 1965 following the Northeast Blackout. The nerc act is meant to be a set of rules that encourages reliable practices of operation. These are enforceable reliability standards which are aimed at improving and maintaining the reliability of the nations power grid. All users, owners and operators of bulk-power systems have to adhere to the nerc act. NERC usually registers distribution providers with a peak load of greater than 25 megawatts connected to the bulk electric system. There are also other functional categories that may be added to the registration list such as the planning authority, the transmission planner, the reliability coordinator, the balancing authority, the transmission owner, distribution provider, generator owner, load-serving entity, compliance monitor and the purchase selling entity. These are the entities that are by default subjected to the reliability standards. They are approved by the commision and have to accept compliance responsibility in order to be allowed to operate.

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