logo-eui RSCAS

Event Highlights


Event Highlights


The 7th Conference on the Regulation of Infrastructures- Interviews with the Authors of the Best Papers are available

The 7th Conference on the Regulation of Infrastructures took place in Florence on June 21st and June 22nd, 2018. The 7th edition of the conference aimed […] read more

Universal Access to Energy

Open Africa power

Event Highlights


FSR welcomes Open Africa Power initiative participants

FSR welcomed participants from the ‘Open Africa Power’ initiative at our home base in Florence this week. The African participants interacted with FSR researchers to understand the […] read more

Communications & Media

Event Highlights


Conference Highlights: 26th Conference on Postal and Delivery Economics

For three days, the international community of the regulators, operators and experts of the postal and delivery sectors gathered in the beautiful city of Split (Croatia) to discuss the challenges and the possible futures of the sectors in the 26th Conference on Postal and Delivery Economics read more


Event Highlights


The Economics of Cybersecurity for the Energy Sector: Towards Energy Regulation 4.0

On Friday 4th May, the Florence School of Regulation hosted a policy workshop on The Economics of Cybersecurity for the Energy Sector: Towards Energy Regulation […] read more


Event Highlights


FSR & Terna discuss RES Integration and the Clean Energy Package Proposals

On Friday 20th April, the Florence School of Regulation hosted the Executive Workshop: ‘Effective Solutions for RES Integration and the Goals of Clean Energy Package […] read more


Event Highlights


Can Renewable Gas Contribute to the EU Decarbonisation Efforts?

Last Monday, the 9th of April 2018, the Florence School of Regulation organised a Policy Workshop “The Renewable Gas Complex and the European Path to […] read more


Event Highlights


FSR Climate Residential training course: highlight video online

The LIFE SIDE Residential Training Course on the EU ETS took place in Florence, on 7-8 March 2018. The course gathered 21 participants, mostly policy makers from […] read more


FSR Regulatory Policy Workshop Series 2016-2017

Event Highlights


The Reform of the EU ETS: what implications for the Energy Markets of the future?

On Friday 23 February 2018, the Florence School of Regulation hosted the FSR Policy Workshop: ‘The Reform of EU ETS and its Implications for the […] read more


Alberto Pototschnig

Event Highlights


Market Abuse or Abuse of Market Power in Wholesale Energy Markets?

On 12 January 2018, the Florence School of Regulation held the second session of its 2017-18 Regulatory Policy Workshop Series on the topic ‘Market Abuse […] read more

Page 1 of 3123

The Economics of Cybersecurity for the Energy Sector: Towards Energy Regulation 4.0

- Energy

On Friday 4th May, the Florence School of Regulation hosted a policy workshop on The Economics of Cybersecurity for the Energy Sector: Towards Energy Regulation 4.0.

The event, directed by Alberto Pototschnig (ACER Director and FSR Senior Advisor), gathered renowned academics, delegates from FSR donor companies, national regulators, ACER and representatives of the European Commission, to develop a shared view on possible regulatory paths which can help the energy sector entering easily in the ‘Industry 4.0’ era.

Listen to the podcast: “A Regulatory Framework for Cybersecurity in Energy – the US Experience”

The first session reviewed the current state of thinking on the economics of cybersecurity for the energy sector and attempted to identify how cybersecurity investments should be evaluated. The difficulty of identifying effective metrics was largely recognised as one of the main challenges, as pinpointing metrics which are easy to measure is a good starting point but can be highly misleading. Indeed, functional and useful metrics should factor in the “economics” of continuous evolution of technology and cyber-threats as well as who carries out a cyberattack.

Despite the uncertainties, investing in cybersecurity remains essential to prevent and lower the probability of cyber-attacks and the damages they may inflict on both the energy system and the companies working within it. Preventive education of employees and information sharing among the various energy system actors are both crucial to reduce risks and their related costs. However, for several energy enterprises, especially the smaller ones, investing in cybersecurity may be economically and technically demanding. It should be responsibility of national regulators and policy-makers to provide an appropriate framework and ease access to financing, in order to ensure that cybersecurity standards are up-to-date among all energy stakeholders.

At the European level, current initiatives aim to develop specific guidance for the energy sector to ensure the implementation of the NIS Directive and enable information sharing and coordination among Member States.

Listen to the podcast: “Digitalisation of energy and the challenges of cybersecurity”

The second session of the workshop shifted the focus on the current approach to the economic regulation of the energy sector, to assess whether it is suitable for addressing cybersecurity and its costs, or whether a new regulatory paradigm is necessary. A comparison with the regulation of service quality took place, highlighting the similarities and the differences that regulators and regulated companies may have to deal with. Examples and experiences were considered both from Europe and the US.

The workshop’s concluding discussion showed how crucial additional theoretical analysis and practical experimentation on cybersecurity are. Participants agreed on the importance of sharing best practices and information on cyber-threats and solutions. Enhanced cooperation, not competition, should occur between regulatory authorities and energy companies (both regulated and not): given the strong interdependence and externalities of cybersecurity, it is essential that none is left behind.

Don’t miss the next workshop! 

Browse all FSR Energy events