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FERC Order 881: Project Initiation

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Rebecca Day Author
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3 min Reading time
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26 Oct 2023 Published
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There may still be some confusion about FERC 881.  However, full compliance with FERC Order 881 requirements by July 2025 is mandatory. So now is the time to move from inaction to planning and taking action.  Our hypothetical scenario uses a nine-month project timeline with a hybrid methodology. We are using IPS®Advanced Facility Ratings Management Implementation for the FERC Order 881 compliance project.  We have allocated 17 days to complete this step.  Meanwhile, if you are still in the planning stage, check out our articles that address making a plan!

When designing a plan for your organization, assessing other plans and adjusting your goals based on budgets, time, and scope is crucial to making confident and informed decisions.

FERC 881 Project Initiation Where to Start

A significant question at this stage is what is needed to start.  If you are still unsure of what FERC Order 881 is about, check out the Federal Energy Regulatory Commission’s E-Library.

Project Initiation requires project development and a testing environment, a project team, a kick-off date, preparing your system(s), and core team familiarization. Our first team decision is to utilize software to accomplish the requirements of FERC 881.  Then, preparation for the DEV environment for testing new concepts/versions is required.  But first, we must select the team!

FERC 881 Project Initiation Organize the Team

Selecting the Ideal Team

What criteria should be considered for the FERC 881 project team?

An ideal project team will include individuals who work in facility ratings and transmission planning. In addition, other key project team members include operations SMEs and at least one individual who knows where the data is located. Having the right team in place can ensure the project is successful and completed on time.

Questions the team needs to ask might include:

  • What is the Timeline
  • What is the Budget
  • Are there obstacles to project completion
  • What are the expected outcomes

Project Methodology 

Next, we must organize the project team and familiarize them with the chosen methodology.  A hybrid methodology usually leads to the quickest completion. Hybrid methodology is preferred because it allows many tasks to run parallel.

FERC 881 Approvals and Plans

You need to document software licensing and services provided if you use a software solution.

It is now time for you to decide on strategies for managing approvals for software delivery for your projects success.  You will also want to develop plans for organizing maintenance and support.  These are crucial steps to comply with the FERC Order 881 requirements.

Project Initiation Duration Variables

Our assumption is our FERC 881 project will take nine months to implement.  However, the project’s duration may vary depending on the number of assets and the availability and condition of data.  One thing to watch out for is scope creep.  For example, this can happen when a team tries to put in items not a part of the initial project.  Consequently, the project controller must keep the project on track and in scope, which may require more than a year for some organizations.

FERC 881 Project Looking Ahead

Next week, we will cover Part Two: Definition and Understanding. By following these guidelines and taking confident and decisive actions, you can ensure that your organization reaches FERC 881 compliance by the deadline.