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Dr. Conca reports that the 500kV 3-phase transmission lines in Washington State are similar to the types of lines that transmit most of our electricity over large distances in the U.S. and elsewhere. Hacking into the control of these lines, or the plants that generate the electricity, could lead to major societal disruption. Russia seems ready to do just that. Last July, officials from the Federal Bureau of Investigation and the Department of Homeland Security revealed that Russian hackers were behind cyber intrusions into the U.S. energy power grid. The intrusion illustrated the severe threat that hackers pose to our most critical industries - energy, finance, healthcare, manufacturing and transportation. The DHS and FBI downplayed the danger in a joint statement: "There is no indication of a threat to public safety, as any potential impact appears to be limited to administrative and business networks." But that might not be the end of it. Russia may be laying the groundwork for more damaging hacks, on America as well as other nations, using new cyber weapons like CrashOverride and BlackEnergy 3.

 In 2015, Russia tested this on the Ukrainian capital of Kiev. These tools were specifically developed to disrupt electric power grids and it blacked out 225,000 people in the Ukraine. One might wonder what is Russia’s end game for this kind of attack. To hurt us financially? To show us how vulnerable we are? In preparation for a more sinister attack? Is it to punish America for anti-Russian policies? The White House expelled 60 Russians from the United States this week, joining western allies in response to Russia’s poisoning of a former Russian spy in Britain with what was a banned chemical weapon.

When DHS and FBI dissected the hackers’ tradecraft, it turned out to be very clever indeed.Mark Orlando, Chief Technology Officer for cyber services at Raytheon, broke down the particulars of why the new world of hacking works so well in America. One of the attackers' main strategies is to divide targets into two groups - intended targets which are the energy companies themselves, and staging targets like vendors, suppliers, even trade journals and industry websites. Instead of going straight to the larger and better-protected targets, like a $60 billion energy company with a cyber security department, the hackers worked their way into the smaller and less secure companies' networks like those that supply the big ones with smaller equipment. Or the local utilities that are partnered with them. Local regulators may also have good access.

There is even an Electric Utility Industry Sustainable Supply Chain Alliance that many of the large energy companies use. When the hackers get into those systems, they use that access to gather intelligence and set traps for the larger company. This targeting of the supply chain partners is brilliant. The manufacturer of natural gas turbines that supply a gas power plant would have great access to the plant’s systems and management, would probably have password access, and would not be questioned very hard. ‘It’s important to raise awareness,’ says Orlando. ‘These details, if taken by themselves, might not seem that impactful. When presented with the entire story, we can see it was part of a larger, sustained campaign, potentially causing a lot of damage.’

This is a long-term strategy that takes patience – just the kind of thing traditional espionage has perfected over the last century. America seems to be getting the message. A recent survey from Raytheon and Ponemon showed that two-thirds of cyber security executives and chief information security officers in America, Europe and the Middle East believe cyber extortion, such as ransomware and data breaches, will increase in frequency and payout.

The traps themselves are pretty imaginative. Many are based in social media. No one would suspect a cute kitten video of hiding malware. But they do. And if your co-worker is a kitten-nut, they may not hesitate to download that video without thinking that it is a trap.

Read on ....Original URL: https://www.forbes.com/sites/jamesconca/2018/03/28/how-on-earth-did-russia-hack-our-energy-systems/#50a726396104

 

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