Securing utility operational technology

In an era where technological advancements drive the efficiency and reliability of critical infrastructure, securing operational technology (OT) in the utilities sector stands as an imperative. Operational technology, encompassing control systems, sensors, and networks, plays a pivotal role in the functioning of utilities that deliver essential services such as electricity, water, and gas. As utilities become increasingly interconnected and digitized, the vulnerabilities to cyber threats multiply, posing significant risks to both operational integrity and public safety.

The importance of securing OT assets in utilities cannot be overstated. A breach in the security of these systems can result in severe consequences, ranging from service disruptions to potential compromises in safety protocols. Cyberattacks on utilities not only jeopardize the reliable delivery of crucial services but also present a substantial threat to the broader stability of societies.

This blog explores the critical landscape of OT security in utilities, shedding light on the prevailing challenges, emerging threats, and best practices that are essential for safeguarding these vital operational assets. As we delve into this discourse, it becomes evident that securing operational technology is not merely a technological imperative; it is a cornerstone in ensuring the resilience and sustainability of the fundamental services that underpin modern societies.

For this blog, I want to focus more on the challenges and best practices to consider when addressing OT security. This is less focused on how ServiceNow can aid with these challenges, which it can, but more around the components a utility could use to communicate the challenges you face with leadership and supporting stakeholders.

Current Landscape of OT Security

OT Security continues to be the number one topic I meet with customers about and each customer has a myriad of challenges they are tackling. Here are some of the major observations I am seeing today with OT security.

Increased Threat Landscape: The number and sophistication of cyber threats targeting utilities have been on the rise. Cyber adversaries, including nation-states and cybercriminals, recognize the impact that disruptions to utility services can have on society, making utilities attractive targets.

Regulatory Frameworks: Many countries have implemented or were in the process of developing regulations and standards to enhance the cybersecurity of critical infrastructure, including utilities. Compliance with these standards is a significant focus for utility companies.

Integration of IT and OT Security: There was a growing recognition of the need to integrate Information Technology (IT) and OT security. Traditionally, these systems have been separate, but as utilities adopt more connected technologies, the convergence of IT and OT security becomes crucial for a holistic cybersecurity approach.

Risk Assessment and Mitigation: Utilities were increasingly investing in comprehensive risk assessments to identify vulnerabilities in their OT systems. The goal is to understand the potential risks and develop strategies to mitigate them effectively.

Asset Inventory and Monitoring: Establishing and maintaining a thorough inventory of OT assets is crucial for effective security. Continuous monitoring of these assets for anomalies and unauthorized activities is a key component of a robust security strategy.

Incident Response Planning: Utilities were enhancing their incident response capabilities to minimize the impact of a cyber incident. This includes developing and regularly testing incident response plans to ensure a swift and effective response to security incidents.

Employee Training and Awareness: Human factors are often cited as a significant risk in cybersecurity. Utilities were investing in training programs to educate employees about cybersecurity best practices and raise awareness about potential threats.

Technology Investments: Utilities were investing in advanced technologies such as intrusion detection systems, anomaly detection, and secure communication protocols to bolster the security of their OT systems.

Key Threats and Vulnerabilities

Operational Technology (OT) assets in utilities are crucial components of the infrastructure that provides essential services such as electricity, water, and gas. Protecting these assets from cybersecurity threats is vital to ensure the reliability and safety of critical services. Here are some common threats and vulnerabilities specific to OT assets in utilities:

Legacy Systems and Outdated Technology

Vulnerability: Many utilities still use legacy systems that were not designed with modern cybersecurity considerations in mind.

Threat: Outdated technology may have known vulnerabilities that attackers can exploit.

Interconnected Systems

Vulnerability: The increasing connectivity between IT and OT systems introduces new points of entry for cyber threats.

Threat: Malicious actors may exploit vulnerabilities in interconnected systems to gain unauthorized access or disrupt operations.

Inadequate Access Controls

Vulnerability: Weak or poorly configured access controls can allow unauthorized individuals or malware to access critical OT systems.

Threat: Unauthorized access can lead to data manipulation, service disruptions, or even physical damage to infrastructure.

Lack of Network Segmentation

Vulnerability: Insufficient network segmentation between different parts of the OT environment may allow attackers to move laterally within the network.

Threat: A successful breach in one part of the network may compromise the entire OT infrastructure.

Insider Threats

Vulnerability: Employees or contractors with malicious intent or unintentional errors can pose a significant risk.

Threat: Insider threats may result in unauthorized access, data breaches, or intentional disruption of services.

Supply Chain Vulnerabilities

Vulnerability: Dependencies on third-party vendors and suppliers can introduce vulnerabilities into the supply chain.

Threat: Malware or security weaknesses in the supply chain can be exploited to compromise OT assets.

Inadequate Security Patching

Vulnerability: Delayed or infrequent application of security patches can leave systems exposed to known vulnerabilities.

Threat: Attackers may exploit unpatched systems to gain access and control over OT assets.

Insufficient Monitoring and Logging

Vulnerability: Limited visibility into OT network activities hinders the ability to detect and respond to security incidents.

Threat: Malicious activities may go unnoticed, allowing attackers to maintain persistence and cause damage over time.

Insecure Remote Access

Vulnerability: Weak authentication and encryption for remote access to OT systems can be exploited.

Threat: Unauthorized remote access may lead to unauthorized control or manipulation of critical infrastructure.

Physical Security Risks

Vulnerability: Inadequate physical security measures may expose OT assets to tampering or unauthorized access.

Threat: Physical attacks on infrastructure can result in disruption of services or damage to equipment.

To address these threats and vulnerabilities, utilities should implement a comprehensive cybersecurity strategy that includes regular risk assessments, security awareness training, network segmentation, access controls, and the adoption of industry best practices and standards. Regular monitoring, incident response planning, and collaboration with cybersecurity experts are also essential components of a robust OT security posture.

Best Practices for OT Security

Securing Operational Technology (OT) assets requires a multifaceted approach that includes a combination of technical, procedural, and organizational measures. Here are best practices for OT security, covering network segmentation, access controls, encryption, and regular security audits:

Network Segmentation

• Define Zones and Conduits: Clearly define zones within the OT network based on functionality and security requirements. Use conduits to control traffic between zones.
• Implement Firewalls: Deploy firewalls to enforce network segmentation, filtering traffic based on policies and restricting unnecessary communication between different zones.
• Isolate Critical Systems: Isolate critical OT systems to minimize the impact of a potential breach and limit lateral movement for attackers.

Access Controls

• Role-Based Access Control (RBAC): Implement RBAC to ensure that users have the minimum necessary permissions for their roles, reducing the risk of unauthorized access.
• Strong Authentication: Enforce strong authentication mechanisms, including multi-factor authentication, for accessing OT systems to prevent unauthorized access.
• Regularly Review User Access: Conduct regular reviews of user access rights and privileges to ensure that access permissions align with job responsibilities.

Encryption

• Encrypt Data in Transit: Use encryption protocols (e.g., TLS/SSL) to secure data in transit between OT devices and systems, protecting against eavesdropping and man-in-the-middle attacks.
• Encrypt Sensitive Data at Rest: Employ encryption for sensitive data stored on OT devices or servers to prevent unauthorized access in the event of physical theft or unauthorized access.

Regular Security Audits and Assessments

• Periodic Risk Assessments: Conduct regular risk assessments to identify and prioritize potential vulnerabilities in OT systems, considering both technical and operational aspects.
• Security Audits: Perform regular security audits to assess the effectiveness of security controls, including network segmentation, access controls, and encryption implementations.
• Penetration Testing: Conduct periodic penetration testing to simulate real-world attacks and identify potential weaknesses in the OT environment.

Incident Response Planning

• Develop an Incident Response Plan (IRP): Create a comprehensive IRP that outlines procedures for detecting, responding to, and recovering from cybersecurity incidents in the OT environment.
• Regularly Test the IRP: Conduct regular drills and exercises to test the effectiveness of the IRP and ensure that personnel are well-prepared to respond to incidents.

Employee Training and Awareness

• Security Training: Provide ongoing training to OT personnel on cybersecurity best practices, recognizing social engineering tactics, and reporting security incidents promptly.
• Create a Security Culture: Foster a culture of security awareness among employees to encourage proactive engagement in maintaining a secure OT environment.

Vendor Management

• Assess Vendor Security Practices: Evaluate the security practices of third-party vendors supplying OT equipment or services and ensure they meet security standards.
• Establish Security Requirements: Include security requirements in contracts with vendors, specifying expectations for secure configurations, updates, and information sharing.

Physical Security

• Control Physical Access: Implement measures to control and monitor physical access to critical OT infrastructure, including server rooms, control centers, and equipment installations.

Regulatory Compliance

• Stay Informed: Keep abreast of relevant industry regulations and standards for OT security and ensure compliance with applicable requirements.

Continuous Improvement:

• Learn from Incidents: Analyze and learn from past incidents to continually improve the security posture and resilience of the OT environment.

By implementing these best practices, organizations can significantly enhance the security of their OT assets and minimize the risk of cyber threats to critical infrastructure. Regularly reviewing and updating security measures in response to evolving threats is crucial for maintaining a robust OT security posture.

Regulatory Compliance

The utilities sector is subject to various regulations and standards aimed at ensuring the cybersecurity of Operational Technology (OT) infrastructure. Compliance with these regulations is critical for safeguarding the reliability, availability, and security of essential services provided by utilities.

Here are some relevant regulations and standards governing OT security in the utilities sector:

NERC CIP (North American Electric Reliability Corporation Critical Infrastructure Protection):

• Scope: NERC CIP standards are specific to the electric utility industry in North America.
• Key Aspects: The standards focus on the protection of critical infrastructure, addressing areas such as access controls, cybersecurity incident response, and physical security.

IEC 62443: Industrial Communication Networks - Network and System Security:

• Scope: IEC 62443 is an international standard providing a comprehensive framework for the security of industrial automation and control systems (IACS).
• Key Aspects: The standard outlines security levels, security zones, and security requirements to protect OT networks and systems.

ISO/IEC 27001: Information Security Management System (ISMS):

• Scope: ISO/IEC 27001 is a globally recognized standard applicable to various industries, including utilities.
• Key Aspects: The standard provides a framework for establishing, implementing, maintaining, and continually improving an ISMS, including risk assessment and management.

CFATS (Chemical Facility Anti-Terrorism Standards):

• Scope: CFATS is applicable to chemical facilities, including those in the utilities sector.
• Key Aspects: CFATS focuses on identifying and regulating high-risk chemical facilities to prevent and respond to potential terrorist attacks.

ISA/IEC 62443-3-3: Security for Industrial Automation and Control Systems - System Security Requirements and Security Levels:

• Scope: Part of the IEC 62443 series, this standard specifically addresses system security requirements and security levels for industrial automation and control systems.
• Key Aspects: It helps organizations define and implement security measures based on the criticality of their industrial systems.

DHS CISA 408 (Cybersecurity Framework for the Water and Wastewater Sector):

• Scope: Issued by the Department of Homeland Security's Cybersecurity and Infrastructure Security Agency (CISA), this framework is specific to the water and wastewater sector.
• Key Aspects: It provides guidance on implementing a risk-based approach to cybersecurity, covering areas such as asset management, access controls, and incident response.

EU NIS Directive (Network and Information Systems Directive):

• Scope: Applicable to critical infrastructure, including utilities, within European Union member states.
• Key Aspects: The directive requires organizations to take appropriate security measures and report significant cyber incidents.

Importance of Compliance with Industry-Specific Guidelines:

• Protection of Critical Infrastructure: Compliance with industry-specific guidelines helps protect critical infrastructure, ensuring the continuous and secure delivery of essential services such as electricity, water, and gas.
• Resilience Against Threats: Regulations and standards are designed to address specific threats and vulnerabilities unique to the utilities sector, enhancing resilience against cyber threats and potential disruptions.
• Consistency and Interoperability: Compliance promotes consistency and interoperability within the industry. Common standards facilitate collaboration, information sharing, and a unified approach to cybersecurity.
• Legal and Reputational Implications: Non-compliance with regulations may result in legal consequences, fines, and damage to the organization's reputation. Adhering to industry guidelines helps mitigate these risks.
• Risk Management: Compliance frameworks often include risk management components, assisting organizations in identifying, assessing, and managing cybersecurity risks effectively.
• International Cooperation: Many standards and regulations are recognized internationally, promoting global cooperation and information sharing in addressing cybersecurity challenges.

Utilities should regularly review and update their cybersecurity practices to align with evolving regulations and standards. Proactive compliance not only enhances the security posture of the organization but also contributes to the overall resilience of critical infrastructure in the utilities sector.

Emerging Technologies in OT Security

Emerging technologies, including ServiceNow, play a crucial role in enhancing Operational Technology (OT) security by providing innovative solutions to address evolving cyber threats. Here are insights into how technologies such as artificial intelligence (AI), machine learning (ML), and blockchain are being applied in the utilities sector to bolster OT security:

Artificial Intelligence (AI) and Machine Learning (ML)

Anomaly Detection

Application: AI and ML algorithms are employed to establish baseline behavior for OT systems. Deviations from these baselines trigger alerts, indicating potential security incidents.

Benefits: Early detection of anomalous behavior allows for proactive responses to potential threats, reducing the impact of cyber incidents.

Predictive Analytics

Application: Predictive analytics powered by ML algorithms analyze historical data to identify patterns and predict potential future cyber threats.

Benefits: Utilities can anticipate and mitigate potential cyber threats before they escalate, improving overall cybersecurity resilience.

Behavioral Analysis

Application: AI and ML techniques analyze user and system behavior to detect unusual patterns or activities that may indicate a security risk.

Benefits: Enhanced understanding of normal behavior helps in identifying and responding to abnormal activities more accurately.

Automated Response

Application: AI-driven automation can be utilized to respond to certain types of security incidents automatically, reducing response times and minimizing human error.

Benefits: Swift and automated responses are crucial in preventing or mitigating the impact of cyber threats.

Blockchain

Supply Chain Security

Application: Blockchain can be used to secure the supply chain for OT systems. Each step in the supply chain is recorded in a transparent and tamper-resistant ledger.

Benefits: Ensures the integrity of hardware and software components, reducing the risk of compromised or counterfeit equipment.

Secure Communication

Application: Blockchain provides a decentralized and secure method for authenticating and encrypting communication between OT devices.

Benefits: Enhances the confidentiality and integrity of communication, preventing unauthorized access and tampering.

Immutable Audit Trails

Application: Blockchain's immutability ensures that once data is recorded, it cannot be altered. This feature is valuable for creating tamper-proof audit trails.

Benefits: Facilitates forensic analysis, compliance reporting, and ensures the integrity of historical data.

Internet of Things (IoT)

Sensor Security

Application: IoT devices and sensors are employed to monitor and collect data from various OT assets. Security measures for these devices include secure firmware updates and device authentication.

Benefits: Improved visibility into the OT environment while ensuring the security of the devices themselves.

Edge Computing

Application: Edge computing reduces the reliance on centralized processing by performing data processing closer to the source, enhancing real-time analysis and response.

Benefits: Decreases latency and minimizes the attack surface, making it more challenging for adversaries to compromise critical systems.

Asset Management

Application: IoT solutions are utilized for real-time asset tracking, helping utilities maintain an accurate and up-to-date inventory of OT assets.

Benefits: Facilitates efficient monitoring, management, and security of OT assets.

Cloud Security

Secure Cloud Adoption

Application: Utilities are increasingly leveraging cloud services for scalable and flexible OT solutions, implementing security measures such as encryption and identity management.

Benefits: Enables utilities to benefit from advanced computing resources while maintaining the security of sensitive OT data and applications.

Cloud-Based Security Analytics

Application: Cloud-based analytics platforms are utilized to aggregate and analyze security data from various sources, providing comprehensive insights into potential threats.

Benefits: Offers scalable and efficient security analytics, supporting proactive threat detection and incident response

Considerations for Implementation

• Integration with Existing Systems: Ensure that emerging technologies seamlessly integrate with existing OT systems and do not introduce compatibility issues.
• Regulatory Compliance: Consider regulatory requirements and compliance standards when implementing new technologies to ensure adherence to industry-specific guidelines.
• Continuous Monitoring and Evaluation: Regularly monitor and evaluate the effectiveness of emerging technologies to adapt security strategies based on evolving threats.
• Skills and Training: Provide adequate training to personnel responsible for managing and maintaining security technologies, ensuring that they can effectively leverage these tools.

The utilities sector can benefit significantly from the strategic adoption of these emerging technologies, creating a more resilient and secure OT environment in the face of evolving cybersecurity challenges.

Collaboration and Information Sharing

Collaboration and information sharing within the utilities sector are critical components of a robust cybersecurity strategy. As cyber threats become increasingly sophisticated, the exchange of threat intelligence and best practices is essential for enhancing the collective resilience of the industry. Here's an overview of the importance of collaboration and some key forums, organizations, and initiatives that facilitate information sharing in the utilities sector:

Importance of Collaboration and Information Sharing

1. Rapid Threat Detection and Response: Collaboration enables utilities to receive timely information about emerging threats and vulnerabilities, allowing for quicker detection and response to potential incidents.
2. Understanding Industry-Specific Risks: Sharing information helps utilities gain insights into industry-specific risks, allowing them to tailor their cybersecurity strategies to address common challenges.
3. Bolstering Collective Defense: A collaborative approach strengthens the collective defense against cyber threats, making it more challenging for adversaries to target multiple organizations within the sector.
4. Learning from Incidents: Information sharing facilitates the analysis of cybersecurity incidents, allowing organizations to learn from each other's experiences and improve their security postures.
5. Regulatory Compliance: Collaboration helps utilities stay informed about evolving regulatory requirements, ensuring compliance with industry-specific guidelines and standards.

Forums, Organizations, and Initiatives for Information Sharing

Electricity Information Sharing and Analysis Centers (E-ISAC)

Overview: E-ISAC is a key organization dedicated to enhancing the cybersecurity posture of the electricity sector.

Role: It facilitates information sharing, conducts threat assessments, and provides cybersecurity resources for utilities.

Water Information Sharing and Analysis Center (WaterISAC)

Overview: WaterISAC focuses on the water and wastewater sector, providing a platform for sharing cybersecurity threat

Role: It supports collaboration between water utilities and government agencies to enhance overall cybersecurity resilience.

Oil and Natural Gas Information Sharing and Analysis Centers (ONG-ISAC)

Overview: ONG-ISAC is dedicated to the oil and natural gas sector, fostering collaboration and information sharing to address cybersecurity challenges.

Role: It provides threat intelligence, analysis, and best practices for its members.

ICS-CERT (Industrial Control Systems Cyber Emergency Response Team)

Overview: Operated by the Cybersecurity and Infrastructure Security Agency (CISA), ICS-CERT assists in securing critical infrastructure, including utilities.

Role: It provides alerts, advisories, and collaborative incident response support.

National Institute of Standards and Technology (NIST)

Overview: NIST develops and promotes cybersecurity standards and guidelines applicable to the utilities sector.

Role: NIST's Cybersecurity Framework and related publications offer best practices for managing cybersecurity risk.

International Association of Oil & Gas Producers (IOGP)

Overview: IOGP focuses on the oil and gas industry, providing guidelines and best practices for cybersecurity.

Role: It facilitates collaboration and information sharing among its member organizations.

Critical Infrastructure Partnership Advisory Council (CIPAC)

Overview: CIPAC brings together government and private sector partners to enhance the security and resilience of critical infrastructure.

Role: It facilitates collaboration and information sharing on cybersecurity matters.

Utilities Telecom Council (UTC)

Overview: UTC provides a platform for utilities to collaborate on telecommunications and information technology issues.

Role: It facilitates discussions on cybersecurity challenges and solutions within the utility sector.

Collaboration and information sharing are indispensable components of a proactive cybersecurity strategy for utilities. By actively participating in industry forums and leveraging the resources provided by organizations dedicated to cybersecurity, utilities can collectively strengthen their defenses against cyber threats.

Conclusion and Call to Action

In conclusion, safeguarding Operational Technology (OT) assets in the utilities sector is paramount to ensuring the reliability and security of critical infrastructure. Here are key takeaways from the discussion:

1. OT Security is Crucial: The utilities sector faces increasing cybersecurity threats, making the protection of OT assets imperative for maintaining the continuity of essential services like electricity, water, and gas.
2. Adopt Best Practices: Implementing best practices in OT security, such as network segmentation, access controls, encryption, and regular security audits, is essential for building a resilient defense against cyber threats.
3. Stay Compliant with Regulations: Adherence to industry-specific regulations and standards, such as NERC CIP and IEC 62443, is vital to meet cybersecurity requirements and ensure a consistent and robust security posture.
4. Harness Emerging Technologies: Leverage emerging technologies like artificial intelligence, machine learning, blockchain, and the Internet of Things to enhance OT security capabilities and stay ahead of evolving cyber threats.
5. Employee Training and Awareness Matter: Educate and train employees on cybersecurity best practices to create a security-aware culture. Employees play a crucial role in detecting and mitigating cyber threats.
6. Encourage Collaboration and Information Sharing: Establish a collaborative approach within the industry, sharing threat intelligence and best practices through forums, organizations, and initiatives like E-ISAC, WaterISAC, and ICS-CERT.
7. Continuous Improvement is Key: Regularly assess and update OT security measures to adapt to the ever-evolving threat landscape. Learn from incidents, conduct regular training, and refine security strategies accordingly.

Call to Action

• Prioritize cybersecurity as a fundamental aspect of operations.
• Implement and regularly update comprehensive security measures aligned with industry best practices.
• Foster a culture of cybersecurity awareness through continuous employee training.
• Actively participate in information-sharing forums and collaborate with industry peers.
• Embrace emerging technologies to enhance the resilience of OT systems.
• Stay informed about the latest threats, regulations, and technological advancements through industry publications and relevant organizations.

By taking these steps, utilities can build a robust defense against cyber threats and contribute to the overall resilience of critical infrastructure. The proactive adoption of cybersecurity measures is crucial in safeguarding the reliable delivery of essential services to communities.

Supporting Materials / Blogs:

Leveraging ServiceNow to Protect Bulk Electric System Cyber System Information (BCSI)

How ServiceNow can help with NERC CIP Supply Chain Risk Management

Balancing NERC CIP Security Posture

How Efficient Operational Technology Management Catapults Transformation

Building BCSI Solutions in the ServiceNow Cloud

OT | IT convergence creates game changing strategies for Energy & Utility Organizations