Dutch produce more green electricity but target still a long way off


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Netherlands renewable energy progress highlights rising wind energy and solar power output, delivering 17 billion kWh of green electricity from sustainable sources, yet trailing EU targets, with wind providing 60% and solar 34%.

 

Key Points

It is the country's growth in green electricity, led by wind and solar, yet short of EU targets at 13.8% of generation.

✅ 17 billion kWh green output; 13.8% of total generation

✅ Wind energy up 16% to 9.6 billion kWh; 60% of green power

✅ Solar power up about 13%; 34% of renewable production

 

The Netherlands is generating more electricity from sustainable sources as US renewable record 28% in April underscores broader momentum but is still far from reaching its targets, the national statistics office CBS said on Friday.

In total, the Netherlands produced 17 billion kilowatts of green energy last year, a rise of 10% on 2016. Sustainable sources now account for 13.8 per cent of energy generation, even as solar reshapes prices in Northern Europe across the region.

The biggest growth was in wind energy – up 16 per cent to 9.6 billion kWh – or the equivalent of energy for three million households. Wind energy now accounts for 60 per cent of green Dutch power. The amount of solar power, which accounts for 34% of green energy production, rose almost 13 per cent, and Dutch solar outpaces Canada according to recent reports.

In January, European statistics agency Eurostat said the Netherlands is near the bottom of a new table on renewable energy use in Europe. The EU has a target of a fifth of all energy use from green sources by 2020 and – while some countries have reached their own targets, including Germany's 50% clean power milestones – the Dutch, French and Irish need to increase their rates by at least 6%, Eurostat said, and Ireland has set green electricity goals for the next four years to close the gap.

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'Electricity out of essentially nothing': Invention creates power from falling snow

Snow-powered nanogenerator harvests static electricity from falling snow using a silicone triboelectric design, enabling energy harvesting, solar panel support during snowfall, and dual-use sensing for weather monitoring and wearable winter sports analytics.

 

Key Points

A silicone triboelectric device that harvests snowDcharge to generate power and enable sensing.

✅ Triboelectric silicone layer captures charge from falling snow.

✅ Integrates with solar arrays to maintain power during snowfall.

✅ Functions as weather and motion sensor for winter sports.

 

Scientists from University of California, Los Angeles and McMaster University have invented a nanogenerator that creates electricity from falling snow.

Most Canadians have already seen a mini-version of this, McMaster Prof. Ravi Selvaganapathy told CTV’s Your Morning. “We find that we often get shocked in the winter when it’s dry when we come in into contact with a conductive surface like a doorknob.”

The thin device works by harnessing static electricity: positively-charged, falling snow collides with the negatively-charged silicone device, which produces a charge that’s captured by an electrode.

“You separate the charges and create electricity out of essentially nothing,” Richard Kaner, who holds UCLA’s Dr. Myung Ki Hong Endowed Chair in Materials Innovation and whose lab has explored turning waste into graphene, said in a press release.

“The device can work in remote areas because it provides its own power and does not need batteries or reliance on home storage systems such as the Tesla Powerwall, which store energy for later use,” he said, explaining that the device was 3D printed, flexible and inexpensive to make because of the low cost of silicone.

“It’s also going to be useful in places like Canada, where we get a lot of snow and are pursuing a net-zero grid by 2050 to cut emissions. We can extract energy from the environment,” Selvaganapathy added.

The team, which also included scientists from the University of Toronto, published their findings in Nano Energy journal last year, but a few weeks ago, they revealed the device’s more practical uses.

About 30 per cent of the Earth’s surface is covered by snow each winter, which can significantly limit the energy generated by solar panels, including rooftop solar grids in cold climates.

So the team thought: why not simply harness electricity from the snow whenever the solar panels were covered?

Integrating their device into solar panel arrays could produce a continuous power supply whenever it snows, potentially as part of emerging virtual power plants that aggregate distributed resources, study co-author and UCLA assistant researcher Maher El-Kady explained.

The device also serves as a weather-monitoring station by recording how much snow is falling and from where; as well as the direction and speed of the wind.

The team said they also want to incorporate their device into weather sensors to help them better acquire and transmit electronic signals, supporting initiatives to use AI for energy savings across local grids. They said several Toronto-based companies -- which they couldn’t name -- have expressed interest in partnering with them.

Selvaganapathy said the device would hop on the trend of “sensors being incorporated into what we wear, into our homes and even to detect electricity theft in some markets in order to monitor a lot of the things that are important to us”

But the device’s arguably larger potential use is being integrated into technology to monitor athletes and their performances during winter sports, such as hiking, skiing and cross-country skiing.

Up to now, the movement patterns used during cross-country skiing couldn’t be detected by a smart watch, but this device may be able to.

Scientists such as Kaner believe the technology could usher in a new era of self-monitoring devices to assess an athlete’s performance while they’re running, walking or jumping.

The device is simply a proof of concept and the next step would be figuring out how to generate more electricity and integrate it into all of these potential devices, Selvaganapathy said.

 

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Why power companies should be investing in carbon-free electricity

Noncarbon Electricity Investment Strategy helps utilities hedge policy uncertainty, carbon tax risks, and emissions limits by scaling wind, solar, and CCS, avoiding stranded assets while balancing costs, reliability, and climate policy over decades.

 

Key Points

A strategy for utilities to invest 20-30 percent of capacity in low carbon sources to hedge emissions and carbon risks.

✅ Hedges future carbon tax and emissions limits

✅ Targets 20-30 percent of new generation from clean sources

✅ Reduces stranded asset risk and builds renewables capacity

 

When utility executives make decisions about building new power plants, a lot rides on their choices. Depending on their size and type, new generating facilities cost hundreds of millions or even billions of dollars. They typically will run for 40 or more years — 10 U.S. presidential terms. Much can change during that time.

Today one of the biggest dilemmas that regulators and electricity industry planners face is predicting how strict future limits on greenhouse gas emissions will be. Future policies will affect the profitability of today’s investments. For example, if the United States adopts a carbon tax 10 years from now, it could make power plants that burn fossil fuels less profitable, or even insolvent.

These investment choices also affect consumers. In South Carolina, utilities were allowed to charge their customers higher rates to cover construction costs for two new nuclear reactors, which have now been abandoned because of construction delays and weak electricity demand. Looking forward, if utilities are reliant on coal plants instead of solar and wind, it will be much harder and more expensive for them to meet future emissions targets, even as New Zealand's electrification push accelerates abroad. They will pass the costs of complying with these targets on to customers in the form of higher electricity prices.

With so much uncertainty about future policy, how much should we be investing in noncarbon electricity generation in the next decade? In a recent study, we proposed optimal near-term electricity investment strategies to hedge against risks and manage inherent uncertainties about the future.

We found that for a broad range of assumptions, 20 to 30 percent of new generation in the coming decade should be from noncarbon sources such as wind and solar energy across markets. For most U.S. electricity providers, this strategy would mean increasing their investments in noncarbon power sources, regardless of the current administration’s position on climate change.

Many noncarbon electricity sources — including wind, solar, nuclear power and coal or natural gas with carbon capture and storage — are more expensive than conventional coal and natural gas plants. Even wind power, which is often mentioned as competitive, is actually more costly when accounting for costs such as backup generation and energy storage to ensure that power is available when wind output is low.

Over the past decade, federal tax incentives and state policies designed to promote clean electricity sources spurred many utilities to invest in noncarbon sources. Now the Trump administration is shifting federal policy back toward promoting fossil fuels. But it can still make economic sense for power companies to invest in more expensive noncarbon technologies if we consider the potential impact of future policies.

How much should companies invest to hedge against the possibility of future greenhouse gas limits? On one hand, if they invest too much in noncarbon generation and the federal government adopts only weak climate policies throughout the investment period, utilities will overspend on expensive energy sources.

On the other hand, if they invest too little in noncarbon generation and future administrations adopt stringent emissions targets, utilities will have to replace high-carbon energy sources with cleaner substitutes, which could be extremely costly.

 

Economic modeling with uncertainty

We conducted a quantitative analysis to determine how to balance these two concerns and find an optimal investment strategy given uncertainty about future emissions limits. This is a core choice that power companies have to make when they decide what kinds of plants to build.

First we developed a computational model that represents the sectors of the U.S. economy, including electric power. Then we embedded it within a computer program that evaluates decisions in the electric power sector under policy uncertainty.

The model explores different electric power investment decisions under a wide range of future emissions limits with different probabilities of being implemented. For each decision/policy combination, it computes and compares economy-wide costs over two investment periods extending from 2015 to 2030.

We looked at costs across the economy because emissions policies impose costs on consumers and producers as well as power companies. For example, they may lead to higher electricity, fuel or product prices. By seeking to minimize economy-wide costs, our model identifies the investment decision that produces the greatest overall benefits to society.

 

More investments in clean generation make economic sense

We found that for a broad range of assumptions, the optimal investment strategy for the coming decade is for 20 to 30 percent of new generation to be from noncarbon sources. Our model identified this as the best level because it best positions the United States to meet a wide range of possible future policies at a low cost to the economy.

From 2005-2015, we calculated that about 19 percent of the new generation that came online was from noncarbon sources. Our findings indicate that power companies should put a larger share of their money into noncarbon investments in the coming decade.

While increasing noncarbon investments from a 19 percent share to a 20 to 30 percent share of new generation may seem like a modest change, it actually requires a considerable increase in noncarbon investment dollars. This is especially true since power companies will need to replace dozens of aging coal-fired power plants that are expected to be retired.

In general, society will bear greater costs if power companies underinvest in noncarbon technologies than if they overinvest. If utilities build too much noncarbon generation but end up not needing it to meet emissions limits, they can and will still use it fully. Sunshine and wind are free, so generators can produce electricity from these sources with low operating costs.

In contrast, if the United States adopts strict emissions limits within a decade or two, they could prevent carbon-intensive generation built today from being used. Those plants would become “stranded assets” — investments that are obsolete far earlier than expected, and are a drain on the economy.

Investing early in noncarbon technologies has another benefit: It helps develop the capacity and infrastructure needed to quickly expand noncarbon generation. This would allow energy companies to comply with future emissions policies at lower costs.

 

Seeing beyond one president

The Trump administration is working to roll back Obama-era climate policies such as the Clean Power Plan, and to implement policies that favor fossil generation. But these initiatives should alter the optimal strategy that we have proposed for power companies only if corporate leaders expect Trump’s policies to persist over the 40 years or more that these new generating plants can be expected to run.

Energy executives would need to be extremely confident that, despite investor pressure from shareholders, the United States will adopt only weak climate policies, or none at all, into future decades in order to see cutting investments in noncarbon generation as an optimal near-term strategy. Instead, they may well expect that the United States will eventually rejoin worldwide efforts to slow the pace of climate change and adopt strict emissions limits.

In that case, they should allocate their investments so that at least 20 to 30 percent of new generation over the next decade comes from noncarbon sources. Sustaining and increasing noncarbon investments in the coming decade is not just good for the environment — it’s also a smart business strategy that is good for the economy.

 

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After alert on Russian hacking, a renewed focus on protecting U.S. power grid

U.S. Power Grid Cybersecurity combats DHS-FBI flagged threats to energy infrastructure, with PJM Interconnection using ICS/SCADA segmentation, phishing defenses, incident response, and resilience exercises against Russia-linked attacks and pipeline intrusions.

 

Key Points

Strategies, controls, and training that protect U.S. electric infrastructure from cyber threats and disruptions.

✅ ICS/SCADA network segmentation and zero-trust architecture

✅ Employee phishing drills and incident response playbooks

✅ DOE-led grid exercises and threat intelligence sharing

 

The joint alert from the FBI and Department of Homeland Security last month warning that Russia was hacking into critical U.S. energy infrastructure, as outlined in six essential reads on Russian hacks from recent coverage, came as no surprise to the nation’s largest grid operator, PJM Interconnection.

“You will never stop people from trying to get into your systems. That isn’t even something we try to do.” said PJM Chief Information Officer, Tom O’Brien. “People will always try to get into your systems. The question is, what controls do you have to not allow them to penetrate? And how do you respond in the event they actually do get into your system?”

PJM is the regional transmission organization for 65 million people, covering 13 states, including Pennsylvania, and Washington D.C.

On a rainy day in early April, about 10 people were working inside PJM’s main control center, outside Philadelphia, closely monitoring floor-to-ceiling digital displays showing real-time information from the electric power sector throughout PJM’s territory in the mid-Atlantic and parts of the midwest, amid reports that hackers accessed control rooms at U.S. utilities.

#google#

Donnie Bielak, a reliability engineering manager, was overseeing things from his office, perched one floor up.

“This is a very large, orchestrated effort that goes unnoticed most of the time,” Bielak said. “That’s a good thing.”

But the industry certainly did take notice in late 2015 and early 2016, when hackers successfully disrupted power to the Ukrainian grid. The outages lasted a few hours and affected about 225,000 customers. It was the first publicly-known case of a cyber attack causing major disruptions to a power grid. It was widely blamed on Russia.

One of the many lessons of the Ukraine attacks was a reminder to people who work on critical infrastructure to keep an eye out for odd communications.

“A very large percentage of entry points to attacks are coming through emails,” O’Brien said. “That’s why PJM, as well as many others, have aggressive phishing campaigns. We’re training our employees.”

O’Brien doesn’t want to get into specifics about how PJM deals with cyber threats. But one common way to limit exposure is by having separate systems: For example, industrial controls in a power plant are not connected to corporate business networks, a separation underscored after breaches at U.S. power plants prompted reviews across the sector.

Since 2011, North American grid operators and government agencies have also done large, security exercises every two years. Thousands of people practice how they’d respond to a coordinated physical or cyber event, including rising substation attacks that highlight resilience gaps.

So far, nothing like that has happened in the U.S. It’s possible, but not likely, according to Robert M. Lee, a former military intelligence analyst, who runs the industrial cybersecurity firm Dragos.

“The more complex the system, the harder it is to have a scalable attack,” said Lee, who co-authored a report analyzing the Ukraine attacks. “If you wanted to take out a power generation station– that isn’t the most complex thing. Let’s say you cause an hour of outage. But now you want to cause two months of outages? That’s an exponential increase in effort required.”

For example, he said, it would very difficult for hackers to knock out power to the entire east coast for a long time. But briefly disrupting a major city is easier. That’s the sort of thing that keeps him up at night.

“I worry about an adversary getting into, maybe, Washington D.C.’s portion of the grid, taking down power for 30 minutes,” he said.

The Department of Energy is creating a new office focused on cybersecurity and emergency response, following the U.S. government’s condemnation of power grid hacking by Russia.

Deterrence may be one reason why there has not yet been a major attack on the U.S. grid, said John MacWilliams, a former senior DOE official who’s now a fellow at Columbia University’s Center on Global Energy Policy.

“That’s obviously an act of war,” he said. “We have the capability of responding either through cyber mechanisms or kinetic military.”

In the meantime, small-scale incidents keep happening.

This spring, another cyber attack targeted natural gas pipelines. Four companies shut down their computer systems, just in case, but they say no service was disrupted.

 

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Several Milestones Reached at Nuclear Power Projects Around the World

Nuclear Power Construction Milestones spotlight EPR builds, Hualong One steam generators, APR-1400 grid integration, and VVER startups, with hot functional testing, hydrostatic checks, and commissioning advancing toward fuel loading and commercial operation.

 

Key Points

Key reactor project steps, from testing and grid readiness to startup, marking progress toward safe commercial operation.

✅ EPR units advance through cold and hot functional testing

✅ Hualong One installs 365-ton steam generators at Fuqing 5

✅ APR-1400 and VVER projects progress toward grid connection

 

The world’s nuclear power industry has been busy in the new year, with several construction projects, including U.S. reactor builds, reaching key milestones as 2018 began.

 

EPR Units Making Progress

Four EPR nuclear units are under construction in three countries: Olkiluoto 3 in Finland began construction in August 2005, Flamanville 3 in France began construction in December 2007, and Taishan 1 and 2 in China began construction in November 2009. Each of the new units is behind schedule and over budget, but recent progress may signal an end to some of the construction difficulties.

EDF reported that cold functional tests were completed at Flamanville 3 on January 6. The main purpose of the testing was to confirm the integrity of primary systems, and verify that components important to reactor safety were properly installed and ready to operate. More than 500 welds were inspected while pressure was held greater than 240 bar (3,480 psi) during the hydrostatic testing, which was conducted under the supervision of the French Nuclear Safety Authority.

With cold testing successfully completed, EDF can now begin preparing for hot functional tests, which verify equipment performance under normal operating temperatures and pressures. Hot testing is expected to begin in July, with fuel loading and reactor startup possible by year end. The company also reported that the total cost for the unit is projected to be €10.5 billion (in 2015 Euros, excluding interim interest).

Olkiluoto 3 began hot functional testing in December. Teollisuuden Voima Oyj—owner and operator of the site—expects the unit to produce its first power by the end of this year, with commercial operation now slated to begin in May 2019.

Although work on Taishan 1 began years after Olkiluoto 3 and Flamanville 3, it is the furthest along of the EPR units. Reports surfaced on January 2 that China General Nuclear (CGN) had completed hot functional testing on Taishan 1, and that the company expects the unit to be the first EPR to startup. CGN said Taishan 1 would begin commercial operation later this year, with Taishan 2 following in 2019.

 

Hualong One Steam Generators Installed

Another Chinese project reached a notable milestone on January 8. China National Nuclear Corp. announced the third of three steam generators had been installed at the Hualong One demonstration project, which is being constructed as Unit 5 at the Fuqing nuclear power plant.

The Hualong One pressurized water reactor unit, also known as the HPR 1000, is a domestically developed design, part of China’s nuclear program, based on a French predecessor. It has a 1,090 MW capacity. The steam generators reportedly weigh 365 metric tons and stand more than 21 meters tall. The first steam generator was installed at Fuqing 5 on November 10, with the second placed on Christmas Eve.

 

Barakah Switchyard Energized

In the United Arab Emirates, more progress has been made on the four South Korean–designed APR-1400 units under construction at the Barakah nuclear power plant. On January 4, Emirates Nuclear Energy Corp. (ENEC) announced that the switchyard for Units 3 and 4 had been energized and connected to the power grid, a crucial step in Abu Dhabi toward completion. Unit 2’s main power transformer, excitation transformer, and auxiliary power transformer were also energized in preparation for hot functional testing on that unit.

“These milestones are a result of our extensive collaboration with our Prime Contractor and Joint Venture partner, the Korea Electric Power Corporation (KEPCO),” ENEC CEO Mohamed Al Hammadi said in a press release. “Working together and benefitting from the experience gained when conducting the same work on Unit 1, the teams continue to make significant progress while continuing to implement the highest international standards of safety, security and quality.”

In 2017, ENEC and KEPCO achieved several construction milestones including installation and concrete pouring for the reactor containment building liner dome section on Unit 3, and installation of the reactor containment liner plate rings, reactor vessel, steam generators, and condenser on Unit 4.

Construction began on the four units (Figure 1) in July 2012, May 2013, September 2014, and September 2015, respectively. Unit 1 is currently undergoing commissioning and testing activities while awaiting regulatory review and receipt of the unit’s operating license from the Federal Authority for Nuclear Regulation, before achieving 100% power in a later phase. According to ENEC, Unit 2 is 90% complete, Unit 3 is 79% complete, and Unit 4 is 60% complete.

 

VVER Units Power Up

On December 29, Russia’s latest reactor to commence operation—Rostov 4 near the city of Volgodonsk—reached criticality, as other projects like Leningrad II-1 advance across the fleet, and was operated at its minimum controlled reactor power (MCRP). Criticality is a term used in the nuclear industry to indicate that each fission event in the reactor is releasing a sufficient number of neutrons to sustain an ongoing series of reactions, which means the neutron population is constant and the chain reaction is stable.

“The transfer to the MCRP allows [specialists] to carry out all necessary physical experiments in the critical condition of [the] reactor unit (RU) to prove its design criteria,” Aleksey Deriy, vice president of Russian projects for ASE Engineering Co., said in a press release. “Upon the results of the experiments the specialists will decide on the RU powerup.”

Rostov 4 is a VVER-1000 reactor with a capacity of 1,000 MW. The site is home to three other VVER units: Unit 1 began commercial operation in 2001, Unit 2 in 2010, and Unit 3 in 2015.

 

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German Energy Demand Hits Historic Low Amid Economic Stagnation

Germany Energy Demand Decline reflects economic stagnation, IEA forecasts, and the Energiewende, as industrial output slips and efficiency gains, renewables growth, and cost-cutting reduce fossil fuel use while reshaping sustainability and energy security.

 

Key Points

A projected 7% drop in German energy use driven by industrial slowdown, efficiency gains, and renewables expansion.

✅ IEA projects up to 7% demand drop in the next year

✅ Industrial slowdown and efficiency programs cut consumption

✅ Energiewende shifts mix to wind, solar, and less fossil fuel

 

Germany is on the verge of experiencing a significant decline in energy demand, with forecasts suggesting that usage could hit a record low as the country grapples with economic stagnation. This shift highlights not only the immediate impacts of sluggish economic growth but also broader trends in energy consumption, Europe's electricity markets, sustainability, and the transition to renewable resources.

Recent data indicate that Germany's economy is facing substantial challenges, including high inflation and reduced industrial output. As companies struggle to maintain profitability amid nearly doubled power prices and rising costs, many have begun to cut back on energy consumption. This retrenchment is particularly pronounced in energy-intensive sectors such as manufacturing and chemical production, which are crucial to Germany's export-driven economy.

The International Energy Agency (IEA) has projected that German energy demand could decline by as much as 7% in the coming year, a stark contrast to the trends seen in previous decades. This decline is primarily driven by a combination of factors, including reduced industrial activity, increased energy efficiency measures, and a shift toward alternative energy sources, as well as mounting pressures on local utilities to stay solvent. The current economic landscape has led businesses to prioritize cost-cutting measures, including energy efficiency initiatives aimed at reducing consumption.

In the context of these developments, Germany’s energy transition—known as the "Energiewende"—is becoming increasingly significant. The country has made substantial investments in renewable energy sources such as wind, solar, and biomass in recent years. As energy efficiency improves and the share of renewables in the energy mix rises, traditional fossil fuel consumption has begun to wane. This transition is seen as both a response to climate change and a strategy for energy independence, particularly in light of geopolitical tensions and Europe's wake-up call to ditch fossil fuels across the continent.

However, the current stagnation presents a paradox for the German energy sector. While lower energy demand may ease some pressures on supply and prices, it also raises concerns about the long-term viability of investments in renewable energy infrastructure, even as debates continue over electricity subsidies for industry to support competitiveness. The economic slowdown has the potential to derail progress made in reducing carbon emissions and achieving energy targets, particularly if it leads to decreased investment in green technologies.

Another layer to this issue is the potential impact on employment within the energy sector. As energy demand decreases, there may be a ripple effect on jobs tied to traditional energy production and even in renewable energy sectors if investment slows. Policymakers are now tasked with balancing the immediate need for economic recovery, illustrated by the 200 billion-euro energy price shield, with the longer-term goal of achieving sustainability and energy security.

The effects of the stagnation are also being felt in the residential sector. As households face increased living costs and rising heating and electricity costs, many are becoming more conscious of their energy consumption. Initiatives to improve home energy efficiency, such as better insulation and energy-efficient appliances, are gaining traction among consumers looking to reduce their utility bills. This shift toward energy conservation aligns with broader national goals of reducing overall energy consumption and carbon emissions.

Despite the challenges, there is a silver lining. The current situation offers an opportunity for Germany to reassess its energy strategies and invest in technologies that promote sustainability while also addressing economic concerns. This could include increasing support for research and development in green technologies, enhancing energy efficiency programs, and incentivizing businesses to adopt cleaner energy practices.

Furthermore, Germany’s experience may serve as a case study for other nations grappling with similar issues. As economies around the world face the dual pressures of recovery and sustainability, the lessons learned from Germany’s current energy landscape could inform strategies for balancing these often conflicting priorities.

In conclusion, Germany is poised to witness a historic decline in energy demand as economic stagnation takes hold. While this trend poses challenges for the energy sector and economic growth, it also highlights the importance of sustainability and energy efficiency in shaping the future. As the nation navigates this complex landscape, the focus will need to be on fostering innovation and investment that aligns with both immediate economic needs and long-term environmental goals. The path forward will require a careful balancing act, but with the right strategies, Germany can emerge as a leader in sustainable energy practices even in challenging times.

 

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US Government Condemns Russia for Power Grid Hacking

Russian Cyberattacks on U.S. Critical Infrastructure target energy grids, nuclear plants, water systems, and aviation, DHS and FBI warn, using spear phishing, malware, and ICS/SCADA intrusion to gain footholds for potential sabotage and disruption.

 

Key Points

State-backed hacks targeting U.S. energy, nuclear, water and aviation via phishing and ICS access for sabotage.

✅ DHS and FBI detail multi-stage intrusion since 2016

✅ Targets include energy, nuclear, water, aviation, manufacturing

✅ TTPs: spear phishing, lateral movement, ICS reconnaissance

 

Russia is attacking the U.S. energy grid, with reported power plant breaches unfolding alongside attacks on nuclear facilities, water processing plants, aviation systems, and other critical infrastructure that millions of Americans rely on, according to a new joint analysis by the FBI and the Department of Homeland Security.

In an unprecedented alert, the US Department of Homeland Security (DHS) and FBI have warned of persistent attacks by Russian government hackers on critical US government sectors, including energy, nuclear, commercial facilities, water, aviation and manufacturing.

The alert details numerous attempts extending back to March 2016 when Russian cyber operatives targeted US government and infrastructure.

The DHS and FBI said: “DHS and FBI characterise this activity as a multi-stage intrusion campaign by Russian government cyber-actors who targeted small commercial facilities’ networks, where they staged malware, conducted spear phishing and gained remote access into energy sector networks.

“After obtaining access, the Russian government cyber-actors conducted network reconnaissance, moved laterally and collected information pertaining to industrial control systems.”

The Trump administration has accused Russia of engineering a series of cyberattacks that targeted American and European nuclear power plants and water and electric systems, and could have sabotaged or shut power plants off at will.

#google#

United States officials and private security firms saw the attacks as a signal by Moscow that it could disrupt the West’s critical facilities in the event of a conflict.

They said the strikes accelerated in late 2015, at the same time the Russian interference in the American election was underway. The attackers had compromised some operators in North America and Europe by spring 2017, after President Trump was inaugurated.

In the following months, according to the DHS/FBI report, Russian hackers made their way to machines with access to utility control rooms and critical control systems at power plants that were not identified. The hackers never went so far as to sabotage or shut down the computer systems that guide the operations of the plants.

Still, new computer screenshots released by the Department of Homeland Security have made clear that Russian state hackers had the foothold they would have needed to manipulate or shut down power plants.

“We now have evidence they’re sitting on the machines, connected to industrial control infrastructure, that allow them to effectively turn the power off or effect sabotage,” said Eric Chien, a security technology director at Symantec, a digital security firm.

“From what we can see, they were there. They have the ability to shut the power off. All that’s missing is some political motivation,” Mr. Chien said.

American intelligence agencies were aware of the attacks for the past year and a half, and the Department of Homeland Security and the F.B.I. first issued urgent warnings to utility companies in June, 2017. Both DHS/FBI have now offered new details as the Trump administration imposed sanctions against Russian individuals and organizations it accused of election meddling and “malicious cyberattacks.”

It was the first time the administration officially named Russia as the perpetrator of the assaults. And it marked the third time in recent months that the White House, departing from its usual reluctance to publicly reveal intelligence, blamed foreign government forces for attacks on infrastructure in the United States.

In December, the White House said North Korea had carried out the so-called WannaCry attack that in May paralyzed the British health system and placed ransomware in computers in schools, businesses and homes across the world. Last month, it accused Russia of being behind the NotPetya attack against Ukraine last June, the largest in a series of cyberattacks on Ukraine to date, paralyzing the country’s government agencies and financial systems.

But the penalties have been light. So far, President Trump has said little to nothing about the Russian role in those attacks.

The groups that conducted the energy attacks, which are linked to Russian intelligence agencies, appear to be different from the two hacking groups that were involved in the election interference.

That would suggest that at least three separate Russian cyberoperations were underway simultaneously. One focused on stealing documents from the Democratic National Committee and other political groups. Another, by a St. Petersburg “troll farm” known as the Internet Research Agency, used social media to sow discord and division. A third effort sought to burrow into the infrastructure of American and European nations.

For years, American intelligence officials tracked a number of Russian state-sponsored hacking units as they successfully penetrated the computer networks of critical infrastructure operators across North America and Europe, including in Ukraine.

Some of the units worked inside Russia’s Federal Security Service, the K.G.B. successor known by its Russian acronym, F.S.B.; others were embedded in the Russian military intelligence agency, known as the G.R.U. Still others were made up of Russian contractors working at the behest of Moscow.

Russian cyberattacks surged last year, starting three months after Mr. Trump took office.

American officials and private cybersecurity experts uncovered a series of Russian attacks aimed at the energy, water and aviation sectors and critical manufacturing, including nuclear plants, in the United States and Europe. In its urgent report in June, the Department of Homeland Security and the F.B.I. notified operators about the attacks but stopped short of identifying Russia as the culprit.

By then, Russian spies had compromised the business networks of several American energy, water and nuclear plants, mapping out their corporate structures and computer networks.

They included that of the Wolf Creek Nuclear Operating Corporation, which runs a nuclear plant near Burlington, Kan. But in that case, and those of other nuclear operators, Russian hackers had not leapt from the company’s business networks into the nuclear plant controls.

Forensic analysis suggested that Russian spies were looking for inroads — although it was not clear whether the goal was to conduct espionage or sabotage, or to trigger an explosion of some kind.

In a report made public in October, Symantec noted that a Russian hacking unit “appears to be interested in both learning how energy facilities operate and also gaining access to operational systems themselves, to the extent that the group now potentially has the ability to sabotage or gain control of these systems should it decide to do so.”

The United States sometimes does the same thing. It bored deeply into Iran’s infrastructure before the 2015 nuclear accord, placing digital “implants” in systems that would enable it to bring down power grids, command-and-control systems and other infrastructure in case a conflict broke out. The operation was code-named “Nitro Zeus,” and its revelation made clear that getting into the critical infrastructure of adversaries is now a standard element of preparing for possible conflict.

 


Reconstructed screenshot fragments of a Human Machine Interface that the threat actors accessed, according to DHS


Sanctions Announced

The US treasury department has imposed sanctions on 19 Russian people and five groups, including Moscow’s intelligence services, for meddling in the US 2016 presidential election and other malicious cyberattacks.

Russia, for its part, has vowed to retaliate against the new sanctions.

The new sanctions focus on five Russian groups, including the Russian Federal Security Service, the country’s military intelligence apparatus, and the digital propaganda outfit called the Internet Research Agency, as well as 19 people, some of them named in the indictment related to election meddling released by special counsel Robert Mueller last month.

In announcing the sanctions, which will generally ban U.S. people and financial institutions from doing business with those people and groups, the Treasury Department pointed to alleged Russian election meddling, involvement in the infrastructure hacks, and the NotPetya malware, which the Treasury Department called “the most destructive and costly cyberattack in history.”

The new sanctions come amid ongoing criticism of the Trump administration’s reluctance to punish Russia for cyber and election meddling. Sen. Mark Warner (D-Va.) said that, ahead of the 2018 mid-term elections, the administration’s decision was long overdue but not enough. “Nearly all of the entities and individuals who were sanctioned today were either previously under sanction during the Obama Administration, or had already been charged with federal crimes by the Special Counsel,” Warner said.

 

Warning: The Russians Are Coming

In an updated warning to utility companies, DHS/FBI officials included a screenshot taken by Russian operatives that proved they could now gain access to their victims’ critical controls, prompting a renewed focus on protecting the U.S. power grid among operators.

American officials and security firms, including Symantec and CrowdStrike, believe that Russian attacks on the Ukrainian power grid in 2015 and 2016 that left more than 200,000 citizens there in the dark are an ominous sign of what the Russian cyberstrikes may portend in the United States and Europe in the event of escalating hostilities.

Private security firms have tracked the Russian government assaults on Western power and energy operators — conducted alternately by groups under the names Dragonfly campaigns alongside Energetic Bear and Berserk Bear — since 2011, when they first started targeting defense and aviation companies in the United States and Canada.

By 2013, researchers had tied the Russian hackers to hundreds of attacks on the U.S. power grid and oil and gas pipeline operators in the United States and Europe. Initially, the strikes appeared to be motivated by industrial espionage — a natural conclusion at the time, researchers said, given the importance of Russia’s oil and gas industry.

But by December 2015, the Russian hacks had taken an aggressive turn. The attacks were no longer aimed at intelligence gathering, but at potentially sabotaging or shutting down plant operations.

At Symantec, researchers discovered that Russian hackers had begun taking screenshots of the machinery used in energy and nuclear plants, and stealing detailed descriptions of how they operated — suggesting they were conducting reconnaissance for a future attack.

Eventhough the US government enacted sanctions, cybersecurity experts are still questioning where the Russian attacks could lead, given that the United States was sure to respond in kind.

“Russia certainly has the technical capability to do damage, as it demonstrated in the Ukraine,” said Eric Cornelius, a cybersecurity expert at Cylance, a private security firm, who previously assessed critical infrastructure threats for the Department of Homeland Security during the Obama administration.

“It is unclear what their perceived benefit would be from causing damage on U.S. soil, especially given the retaliation it would provoke,” Mr. Cornelius said.

Though a major step toward deterrence, publicly naming countries accused of cyberattacks still is unlikely to shame them into stopping. The United States is struggling to come up with proportionate responses to the wide variety of cyberespionage, vandalism and outright attacks.

Lt. Gen. Paul Nakasone, who has been nominated as director of the National Security Agency and commander of United States Cyber Command, the military’s cyberunit, said during his recent Senate confirmation hearing, that countries attacking the United States so far have little to worry about.

“I would say right now they do not think much will happen to them,” General Nakasone said. He later added, “They don’t fear us.”

 

 

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