Final Report

Business credibility of System Integration in ICT domain using SCADA
CHAPTER 1
INTRODUCTION
1.1 PROJECT OBJECTIVE
HCL Infosystems Limited is India’s premier IT System Integration company, with a strong
legacy and over thirty years of experience in this domain, HCL offers System Integration
services as a single-window turnkey solution, that integrate best-in-class products and
solutions to meet the business needs of enterprise.
HCL Infosystems wanted to implement a new System Integration Vertical in the automation
sector citing their competency in the hardware, software and networking domains. HCL
Infosystems wanted to implement SCADA as their new vertical and I had to conduct a
market feasibility study in order to suggest certain Go-to market strategy for HCL
Infosystems to enter the market.
1.2 DESCRIPTION OF THE SITUATION
Lack of a Clear Business Case to justify investments on SCADA Systems dampens market
potential. With increasing power requirements and improved economic forecasts in India,
utilities are elevating the priority of grid management technologies such as supervisory
control and data acquisition (SCADA) systems. However, a significant restraint on the
market is the frequent inability of utility personnel to clearly justify to approving officers of
the need for investments on these systems. Consequently, vendors need to refashion
approaches to SCADA system justification and work closely with SCADA personnel at
different utilities to develop convincing business plans. Besides tangible benefits, many
unquantifiable or unanticipated benefits can also be identified to add value to the investments
and help demonstrate the importance of SCADA technology as a strategic tool for operations.
This research analyses the Indian markets for power transmission SCADA systems. The
study reveals important differences between the various electric utility segments and non-
utility segments with power transmission application, thus providing a deeper understanding
of the markets and its opportunities. It further provides a review of Government of India’s
Eleventh 5 year plan on the automation sector supporting SCADA systems.
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CHAPTER 2
LITERATURE SUPPORT
SCADA is an acronym that stands for Supervisory Control and Data Acquisition. SCADA
refers to a system that collects data from various sensors at a factory, plant or in other remote
locations and then sends this data to a central computer which then manages and controls the
data.
Fig: Typical SCADA System
SCADA is a term that is used broadly to portray control and management solutions in a wide
range of industries. Some of the industries where SCADA is used are Water Management
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Systems, Electric Power, Traffic Signals, Mass Transit Systems, Environmental Control
Systems, and Manufacturing Systems.
2.1 SCADA AS A SYSTEM
There are many parts of a working SCADA system. A SCADA system usually includes
signal hardware (input and output), controllers, networks, user interface (HMI),
communications equipment and software. All together, the term SCADA refers to the entire
central system. The central system usually monitors data from various sensors that are either
in close proximity or off site (sometimes miles away).
For the most part, the brains of a SCADA system are performed by the Remote Terminal
Units (sometimes referred to as the RTU). The Remote Terminal Units consists of a
programmable logic converter. The RTU are usually set to specific requirements, however,
most RTU allow human intervention, for instance, in a factory setting, the RTU might control
the setting of a conveyer belt, and the speed can be changed or overridden at any time by
human intervention. In addition, any changes or errors are usually automatically logged for
and/or displayed. Most often, a SCADA system will monitor and make slight changes to
function optimally; SCADA systems are considered closed loop systems and run with
relatively little human intervention.
One of key processes of SCADA is the ability to monitor an entire system in real time. This
is facilitated by data acquisitions including meter reading, checking statuses of sensors, etc
that are communicated at regular intervals depending on the system. Besides the data being
used by the RTU, it is also displayed to a human that is able to interface with the system to
override settings or make changes when necessary.
SCADA can be seen as a system with many data elements called points. Usually each point is
a monitor or sensor. Usually points can be either hard or soft. A hard data point can be an
actual monitor; a soft point can be seen as an application or software calculation. Data
elements from hard and soft points are usually always recorded and logged to create a time
stamp or history.
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2.2 USER INTERFACE (HMI)
A SCADA system includes a user interface, usually called Human Machine Interface (HMI).
The HMI of a SCADA system is where data is processed and presented to be viewed and
monitored by a human operator. This interface usually includes controls where the individual
can interface with the SCADA system.
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Fig: Typical Human Machine Interface
HMI's are an easy way to standardize the facilitation of monitoring multiple RTU's or PLC's
(programmable logic controllers). Usually RTU's or PLC's will run a pre programmed
process, but monitoring each of them individually can be difficult, usually because they are
spread out over the system. Because RTU's and PLC's historically had no standardized
method to display or present data to an operator, the SCADA system communicates with
PLC's throughout the system network and processes information that is easily disseminated
by the HMI.
HMI's can also be linked to a database, which can use data gathered from PLC's or RTU's to
provide graphs on trends, logistic info, schematics for a specific sensor or machine or even
make troubleshooting guides accessible. In the last decade, practically all SCADA systems
include an integrated HMI and PLC device making it extremely easy to run and monitor a
SCADA system.
2.3 SCADA SOFTWARE AND HARDWARE COMPONENTS
SCADA systems are an extremely advantageous way to run and monitor processes. They are
great for small applications such as climate control or can be effectively used in large
applications such as monitoring and controlling a nuclear power plant or mass transit system.
SCADA can come in open and non proprietary protocols. Smaller systems are extremely
affordable and can either be purchased as a complete system or can be mixed and matched
with specific components. Large systems can also be created with off the shelf components.
SCADA system software can also be easily configured for almost any application, removing
the need for custom made or intensive software development.
2.4 SCADA ARCHITECTURES
SCADA systems have evolved through 3 generations as follows :
• First generation: "Monolithic"
In the first generation, computing was done by mainframe systems. Networks didn’t exist at
the time SCADA was developed. Thus SCADA systems were independent systems with no
connectivity to other systems. Wide Area Networks were later designed by RTU vendors to
communicate with the RTU. The communication protocols used were often proprietary at
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that time. The first-generation SCADA system was redundant since a back-up mainframe
system was connected at the bus level and was used in the event of failure of the primary
mainframe system.
• Second generation: "Distributed"
The processing was distributed across multiple stations which were connected through a
LAN and they shared information in real time. Each station was responsible for a particular
task thus making the size and cost of each station less than the one used in First Generation.
The network protocols used were still mostly proprietary, which led to significant security
problems for any SCADA system that received attention from a hacker. Since the protocols
were proprietary, very few people beyond the developers and hackers knew enough to
determine how secure a SCADA installation was. Since both parties had vested interests in
keeping security issues quiet, the security of a SCADA installation was often badly
overestimated, if it was considered at all.
• Third generation: "Networked"
These are the current generation SCADA systems which use open system architecture rather
than a vendor-controlled proprietary environment. The SCADA system utilizes open
standards and protocols, thus distributing functionality across a WAN rather than a LAN. It is
easier to connect third party peripheral devices like printers, disk drives, and tape drives due
to the use of open architecture. WAN protocols such as Internet Protocol (IP) are used for
communication between the master station and communications equipment. Due to the usage
of standard protocols and the fact that many networked SCADA systems are accessible from
the Internet; the systems are potentially vulnerable to remote cyber-attacks.
2.5 SCADA APPLICATIONS
SCADA systems are used to automate complex industrial processes where human control is
impractical — systems where there are more control factors, and more fast-moving control
factors, than human beings can comfortably manage.
Around the world, the most typical implementation of SCADA systems include:
• Electric power generation, transmission and distribution:
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Electric utilities use SCADA systems to detect current flow and line voltage, to monitor the
operation of circuit breakers, and to take sections of the power grid online or offline.
• Water and sewage:
State and municipal water utilities use SCADA to monitor and regulate water flow, reservoir
levels, pipe pressure and other factors.
• Buildings, facilities and environments:
Facility managers use SCADA to control HVAC, refrigeration units, lighting and entry
systems.
• Manufacturing:
SCADA systems manage parts inventories for just-in-time manufacturing, regulate industrial
automation and robots, and monitor process and quality control.
• Mass transit:
Transit authorities use SCADA to regulate electricity to subways, trams and trolley buses; to
automate traffic signals for rail systems; to track and locate trains and buses; and to control
railroad crossing gates.
• Traffic signals:
SCADA regulates traffic lights, controls traffic flow and detects out-of-order signals.
2.6 TRENDS IN SCADA
There is a trend for PLC and HMI/SCADA software to be more "mix-and-match". In the mid
1990s, the typical DAQ I/O manufacturer supplied equipment that communicated using
proprietary protocols over a suitable-distance carrier like RS-485. End users who invested in
a particular vendor's hardware solution often found themselves restricted to a limited choice
of equipment when requirements changed (e.g. system expansions or performance
improvement). To mitigate such problems, open communication protocols such as IEC
60870-5-101 or 104, IEC 61850, DNP3 serial, and DNP3 LAN/WAN became increasingly
popular among SCADA equipment manufacturers and solution providers alike. Open
architecture SCADA systems enabled users to mix-and-match products from different
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vendors to develop solutions that were better than those that could be achieved when
restricted to a single vendor's product offering.
Towards the late 1990s, the shift towards open communications continued with individual
I/O manufacturers as well, who adopted open message structures such as Modbus RTU and
Modbus ASCII (originally both developed by Modicon) over RS-485. By 2000, most I/O
makers offered completely open interfacing such as Modbus TCP over Ethernet and IP. The
North American Electric Reliability Corporation (NERC) has specified that electrical system
data should be time-tagged to the nearest millisecond. Electrical system SCADA systems
provide this Sequence of events recorder function, using Radio clocks to synchronize the
RTU or distributed RTU clocks.
SCADA systems are coming in line with standard networking technologies. Ethernet and
TCP/IP based protocols are replacing the older proprietary standards. Although certain
characteristics of frame-based network communication technology (determinism,
synchronization, protocol selection, environment suitability) have restricted the adoption of
Ethernet in a few specialized applications, the vast majority of markets have accepted
Ethernet networks for HMI/SCADA.
With the emergence of software as a service in the broader software industry, a few vendors
have begun offering application specific SCADA systems hosted on remote platforms over
the Internet. This removes the need to install and commission systems at the end-user's
facility and takes advantage of security features already available in Internet technology,
VPNs and SSL. Some concerns include security, Internet connection reliability, and latency.
SCADA systems are becoming increasingly ubiquitous. Thin clients, web portals, and web
based products are gaining popularity with most major vendors. The increased convenience
of end users viewing their processes remotely introduces security considerations. While these
considerations are already considered solved in other sectors of internet services, not all
entities responsible for deploying SCADA systems have understood the changes in
accessibility and threat scope implicit in connecting a system to the internet.
2.7 SCADA VENDORS
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SCADA systems come in a myriad of types, sizes, and applications. They may
monitor/control only a few hundred points or tens of thousands of points. For the scope of
this report, only SCADA systems that apply to electrical transmission, distribution, water
treatment, traffic control, mass transit system and generation and were of substantial size
were evaluated. EMS contains a suite or modularized set of applications such as AGC, outage
coordination, load forecasting, remote clients, and business applications.
Frequently, many vendors enter or leave the SCADA market based on corporate buy outs.
Figure (a) shows the percentage of manufacturer use from the respondents of a recent
survey on existing systems.
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Figure (b) identifies future vendors being considered for new EMS procurements. The
term
“EMS” in Figure (b) represents a consolidation of the existing installations (SCADA, DMS,
EMS, etc.) shown in Figure (a). The number of vendors in the legend of Figure (b) is less
than shown in Figure (a) due to industry consolidation and vendors no longer providing
SCADA systems.
The following are vendor profiles of the top six SCADA suppliers shown in Figure (b).
Company: Advanced Control Systems (ACS)
Background and Strengths: ACS was founded in 1975 to supply real-time control systems
and equipment to the electric utility industry. ACS has delivered more than 470 SCADA,
SCADA/AGC, DMS, and EMS masters and 11,000 RTUs. Their current masters are based
on UNIX software and workstations or workstations and servers using RISC processors in an
open network environment. A full line of RTUs is supplied, all with IED interface
capabilities and various communications protocols, including DNP 3.0. A full line of
substation equipment is offered from legacy RTUs to protocol’s converters/data
concentrators to substation automation systems with or without graphical user interface
Company: Siemens
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Background and Strengths: Siemens Power Transmission and Distribution was formed to
focus specifically in the operations and needs of domestic and international electric utility
markets. Siemens provides a complete range of products. Siemens is a supplier of SCADA
and automation systems to the electric, water, and gas utility industries as well as to industrial
customers worldwide. TeleGYR is now part of Siemens. Other products include SICAM
controllers and RTUs.
Company: QEI
Background and Strengths: Founded in 1960 as Quindar Electronics, QEI designs and
manufactures SCADA equipment and systems. The company supplies industries such as
water, gas, power, petroleum, pipeline, railroad, steel, communication, traffic control, and
telemetry. Products include the TDMS 2000 and RTUs.
Company: GE Network Solutions

Background and Strengths: Currently owned by GE Power systems. GE provides complete
solutions to support T&D automation programs. They provide both hardware and software
solutions.
Company: ABB
Background and Strengths: ABB is one of the world’s largest suppliers of automation
systems for the electric power industry. The ABB network management specializes in
SCADA/DMS/EMS applications software. Major products include the RANGER system.
ABB also integrates their own microprocessor-based relays with SCADA systems. They have
installed more than 5,000 substation automation systems worldwide.
Company: Alstom ESCA
Background and Strengths: Alstom provides small- and large-scale SCADA/EMS/DMS
systems. Primarily focused on the electric power industry, they provide hardware and
software in substation automation and real-time energy information systems. They are a
worldwide industry leader in SCADA technology. Products include e-terra Global energy
solutions.
2.8 SCADA EXPECTED LIFE AND DISPOSAL
Procurement, installation, and commissioning of a SCADA system is a time- and capital-

intensive process. As a result, major upgrades and/or replacements are performed
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infrequently. The average life of a SCADA system is typically 8 to 15 years. This

corresponds with the expected life of typical hardware used. As a result, there is almost no
aftermarket value for these components. A web search for aftermarket SCADA hardware
confirmed this. The only exception is in the nuclear industry. Many nuclear plants still have
original control system hardware that could be 20 to 30 years old. Much of it still uses analog
technology as compared to newer digital hardware. With the multitude of requirements that
need to be met for a control system replacement, in addition to the complexity of these
systems, many plant owners choose to limp along with older controls rather than upgrade.
This is especially true of plants that are near the end of their operating licenses.
Substation and control center hardware, once removed, is typically discarded or stored
indefinitely in a warehouse or back room. One utility in fact gave its old RTU cabinets to its
employees to use as smokers, which apparently works quite well.
CHAPTER 3
METHODOLOGY OF STUDY
3.1 CUSTOMERs PERCEPTION OF SCADA

SCADA is used in nearly every industry and public infrastructure project — where
automation increases efficiency.
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What’s more, these examples don’t show how deep and complex SCADA data can be. In
every industry, managers need to control multiple factors and the interactions between those
factors. SCADA systems provide the sensing capabilities and the computational power to
track everything that’s relevant to your operations.
3.1.1 VALUE OF SCADA
Maybe you work in one of the fields listed in the previous section; maybe you don’t. But
think about your operations and all the parameters that affect your bottom-line results:
• Does your equipment need an uninterrupted power supply and/or a controlled

temperature and humidity environment?
• Do you need to know — in real time — the status of many different components and
devices in a large complex system?
• Do you need to measure how changing inputs affect the output of your operations?
• What equipment do you need to control, in real time, from a distance?
• Where are you lacking accurate, real-time data about key processes that affect your
operations?
3.1.2 EVALUATING SCADA SYSTEM
SCADA can do a lot for the clients — but how can the clients make sure that you’re really
getting the full benefits of SCADA? Evaluating complex systems can be tricky — especially
if you have to learn a new technology while still doing your everyday job.
But you’ve got to be able to make an informed decision, because the stakes are incredibly
high. A SCADA system is a major, business-to-business purchase that your company will
live with for maybe as long as 10 to 15 years. When you make a recommendation about a
permanent system like that, you’re laying your reputation on the line and making a major
commitment for your company.
And as much as SCADA can help you improve your operations, there are also some pitfalls
to a hasty, unconsidered SCADA implementation:
• You can spend a fortune on unnecessary cost overruns
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• Even after going way over budget, you can STILL end up with a system that doesn’t
really meet all your needs
• Or just as bad, you can end up with an inflexible system that just meets your needs
today, but can’t easily expand as your needs grow
3.1.3 WHAT CUSTOMERS WANT FEOM THE SCADA SYSTEM
• The Two Most Important Components of SCADA System
Although you need sensors, control relays and a communications network to make a
complete SCADA system, it’s your choice of a master station and RTUs that really determine
the quality of your SCADA system.
• Sensors and Networks
Sensors and control relays are essentially commodity items. Yes, some sensors are better than
others, but a glance at a spec sheet will tell you everything you need to know to choose
between them.
An IP LAN/WAN is the easiest kind of network to work with, and if you don’t yet have LAN
capability throughout all your facilities, transitioning to LAN is probably one of your long-
term goals. But you don’t have to move to LAN immediately or all at once to get the benefits
of SCADA. The right SCADA system will support both your legacy network and LAN,
enabling you to make a graceful, gradual transition.
• SCADA RTU requirements
Your SCADA RTUs need to communicate with all your on-site equipment and survive under
the harsh conditions of an industrial environment. Here’s a checklist of things you should
expect from a quality RTU:
a) Sufficient capacity to support the equipment at your site … but not more capacity
than you actually will use. At every site, you want an RTU that can support your
expected growth over a reasonable period of time, but it’s simply wasteful to
spend your budget on excess capacity that you won’t use.
b) Rugged construction and ability to withstand extremes of temperature and
humidity. You know how punishing on equipment your sites can be. Keep in
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mind that your SCADA system needs to be the most reliable element in your
facility.
c) Secure redundant power supply. You need your SCADA system up and
working 24/7, no excuses. Your RTU should support battery power and, ideally,
two power inputs.
d) Redundant communication ports. Network connectivity is as important to
SCADA operations as a power supply. A secondary serial port or internal modem
will keep your RTU online even if the LAN fails. Plus, RTUs with multiple
communication ports easily support a LAN migration strategy.
e) Non-volatile memory (NVRAM) for storing software and/or firmware. NVRAM
retains data even when power is lost. New firmware can be easily downloaded to
NVRAM storage, often over LAN — so you can keep your RTUs’ capabilities up
to date without excessive site visits.
f) Intelligent control. As I noted above, sophisticated SCADA remotes can control
local systems by themselves according to programmed responses to sensor inputs.
This isn’t necessary for every application, but it does come in handy for some
users.
g) Real-time clock for accurate date/time stamping of reports.
h) Watchdog timer to ensure that the RTU restarts after a power failure.
• SCADA Master requirements
Your SCADA master should display information in the most useful ways to human operators
and intelligently regulated your managed systems. Here’s a checklist of SCADA master
must-haves:
a) Flexible, programmable response to sensor inputs. Look for a system that
provides easy tools for programming soft alarms (reports of complex events that
track combinations of sensor inputs and date/time statements) and soft controls
(programmed control responses to sensor inputs).
b) 24/7, automatic pager and email notification. There’s no need to pay personnel
to watch a board 24 hours a day. If equipment needs human attention, the SCADA
master can automatically page or email directly to repair technicians.
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c) Detailed information display. You want a system that displays reports in plain
English, with a complete description of what activity is happening and how you
can manage it.
d) Nuisance alarm filtering. Nuisance alarms desensitize your staff to alarm
reports, and they start to believe that all alarms are nonessential alarms.
Eventually they stop responding even to critical alarms. Look for a SCADA
master that includes tools to filter out nuisance alarms.
e) Expansion capability. A SCADA system is a long term investment that will last
for as long as 10 to 15 years. So you need to make sure it will support your future
growth for up to 15 years.
f) Redundant, geo diverse backup. The best SCADA systems support multiple
backup masters, in separate locations. If the primary SCADA master fails, a
second master on the network automatically takes over, with no interruption of
monitoring and control functions.
g) Support for multiple protocols and equipment types. Early SCADA systems
were built on closed, proprietary protocols. Single-vendor solutions aren’t a great
idea — vendors sometimes drop support for their products or even just go out of
business. Support for multiple open protocols safeguards your SCADA system
against unplanned obsolescence.
3.1.4 FIVE MOST IMPORTANT QUERIES A CUSTOMER MAY ASK
1. Does the SCADA package integrate with both existing and new hardware?
More often than not you have an existing infrastructure such as programmable logic
controllers (PLCs) and remote terminal units (RTUs) to which you need to add new devices
to optimize your automation system. The SCADA package that you choose must be able to
communicate with legacy hardware as well as the latest hardware, such as programmable
automation controllers (PACs). While OLE for process control (OPC) has become the de-
facto industry standard to communicate to automation devices, there are still many sensors
and instruments that require their own drivers. The ability to write your own drivers within
your SCADA environment becomes a key factor in your ability to use existing hardware with
new hardware.
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In addition to OPC client functionality, Modbus is another popular industrial protocol that is
often used to access registers on RTUs and sensors. TCP/IP and UDP are some of the other
low-level protocols that you can use to communicate with different hardware. With a truly
open SCADA system, you can communicate with any existing hardware while adding the
newest hardware as your system progresses.
Figure: Typical open architecture HMI/SCADA system connecting to both legacy and
the latest hardware.
2. What is the total cost incurred after SCADA system is deployed?
Most SCADA vendors charge based on the number of tags you use while developing your
SCADA system. A decent-sized application easily ends up using a few thousand tags. With
the SCADA vendors charging a premium for each tag used, you typically develop your
application with an eye toward the number of tags you have used up so far. If you do reach
the limit, you have to go through the painful process of getting another purchasing order
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approved and devoting time toward all the overhead associated with it instead of
concentrating on developing your application.
Once the development is complete, even during the deployment phase, vendors charge by the
number of tags for their run-time systems, which can lead you to exceed your budget if you
do not plan properly in the beginning. To reduce costs, investigate packages that do not
charge by the number of tags but still deliver the performance requirements.
3. How flexible is the SCADA package when the customer wants to add advanced
analysis features?
While automation systems are designed to optimize by improving uptime and yield, SCADA
systems are often required to perform advanced analysis and be flexible to implement
features not typical of traditional SCADA systems. For instance, if you are acquiring
vibration data and want to perform fast Fourier transform to discern if your system vibration
is above the specified limits, you typically turn to separate analysis packages or, at best,
invoke a programming language such as Visual Basic or even C from within your SCADA
package.
If your SCADA package is flexible enough to double as a programming language to
implement custom features and perform advanced analysis functions, you greatly reduce the
development time and training costs associated with having to learn different packages to
meet your final system specifications.
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Figure: Specialized development environments such as National Instruments LabVIEW

provide the flexibility and integrated HMI and logic required by modern HMI/SCADA
systems.
4. Can the customer program both the controller logic and its HMI/SCADA
functionality in the same environment?
Many times you prefer to buy most of your hardware and software from a single vendor.
Except for the convenience of a single purchase order, you could buy equipment from
different vendors as long as the specifications meet your requirements. However, if you can
program both your control hardware logic and the SCADA in the same environment, you can
minimize your development time considerably. You can also save on training costs because
you do not have to be proficient in two different environments.
5. Which operating systems can the customer use to run the SCADA application?
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All HMI/SCADA systems typically run on Windows XP and now Windows Vista operating
systems. However, with Windows CE and Windows XP Embedded gaining popularity
because of their relatively lower costs and smaller software footprints, touch panel
manufacturers have developed many touch panels to support these operating systems. A great
option to keep the cost of the total system down is to use this low-cost software where
possible. To do this, you need to make sure that the SCADA system can run on different
operating systems. Linux and Macintosh OSs are not as popular in this field but should be
considered nevertheless.
3.2 MISCONCEPTIONS ABOUT THE SCADA SYSTEM
At the heart of the issue of SCADA system security are three major misconceptions that are
commonly held by utility managers. The report points to the misconceptions, listed on the
following page, as the major obstacles to the implementation of the best possible information
security strategies.
• MISCONCEPTION #1 – “The SCADA system resides on a physically separate,

standalone network.”
Most SCADA systems were originally built before and often separate from other corporate
networks. As a result, IT managers typically operate on the assumption that these systems
cannot be accessed through corporate networks or from remote access points. Unfortunately,
this belief is usually fallacious.
In reality, SCADA networks and corporate IT systems are often bridged as a result of two
key changes in information management practices. First, the demand for remote access
computing has encouraged many utilities to establish connections to the SCADA system that
enable SCADA engineers to monitor and control the system from points on the corporate
network. Second, many utilities have added connections between corporate networks and
SCADA networks in order to allow corporate decision makers to obtain instant access to
critical data about the status of their operational systems. Often, these connections are
implemented without a full understanding of the corresponding security risks. In fact, the
security strategy for utility corporate network infrastructures rarely accounts for the fact that
access to these systems might allow unauthorized access and control of SCADA systems.
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• MISCONCEPTION #2 – “Connections between SCADA systems and other

corporate networks are protected by strong access controls.”
Many of the interconnections between corporate networks and SCADA systems require the
integration of systems with different communications standards. The result is often an
infrastructure that is engineered to move data successfully between two unique systems. Due
to the complexity of integrating disparate systems, network engineers often fail to address the
added burden of accounting for security risks. As a result, access controls designed to protect
SCADA systems from unauthorized access through corporate networks are usually minimal,
which is largely attributable to the fact that network managers often overlook key access
points connecting these networks. Although the strategic use of internal firewalls and
intrusion detection systems (IDS), coupled with strong password policies, is highly
recommended, few utilities protect all entry points to the SCADA system in this manner.
• MISCONCEPTION #3 – “SCADA systems require specialized knowledge, making

them difficult for network intruders to access and control.”
The above misconception assumes that all attackers of a SCADA system lack the ability to
access information about their design and implementation. These assumptions are
inappropriate given the changing nature of utility system vulnerabilities in an interconnected
environment. Due to the fact that utility companies represent a key component of one of the
nation’s critical infrastructures, these companies are likely targets of coordinated attacks by
“cyber-terrorists”, as opposed to disorganized “hackers.” Such attackers are highly motivated,
well-funded, and may very well have “insider” knowledge. Further, a well-equipped group of
adversaries focused on the goal of utility operations disruption is certain to use all available
means to gain a detailed understanding of SCADA systems and their potential vulnerabilities.
Furthering this risk is the increasing availability of information describing the operations of
SCADA systems. To support competition in product choices, several standards for the
interconnection of SCADA systems and remote terminal units (RTUs) have been published,
as have standards for communication between control centres, acceptance of alarms, issuance
of controls, and polling of data objects. Further, SCADA providers publish the design and
maintenance documents for their products and sell toolkits to help develop software that
implements the various standards used in SCADA environments.
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Finally, the efforts of utility companies to make efficient use of SCADA system information
across their company has led to development of “open” standard SCADA systems. As a
result of this development, SCADA system security is often only as strong as the security of
the utility’s corporate network. While the RTUs on a network may be difficult to access
outside of the dedicated serial lines, it is only moderately difficult to penetrate the control
panel for the SCADA manager through the corporate network and quickly ‘learn’ commands
by watching actions that are carried out on the screen. Attacks on highly complex systems
become much easier when attackers first penetrate the workstations of SCADA operators.
3.3 TYPICAL REQUIREMENT OF A CUSTOMER
3.3.1 GENERAL CONDITIONS AND MANUFACTURING FACILITIES
1. SCADA Vendor should have complete control over the design,

modification/alteration of basic structure of RCC Software and RTU such as CPU,
its programming, communication protocol, bus configuration, input/output
modules and analog modules. Detail circuitry of all such module should be
available with the vendor.
2. SCADA Vendor should have commissioned at least three complete SCADA
systems for reputed organisation like I.R., SEBs, NTPC, ONGC & other reputed
Pvt &PSU organisations.
3. SCADA Vendor should have adequate no. of service centres in India. Mention
number of service centres available in India.
4. SCADA Vendor should have adequate covered accommodation for the purpose of
effective storage of inward raw material, and the finished product awaiting
dispatch and prototype / routine inspection
5. SCADA Vendor should have a proper drawing office to support the designs/
development of product
6. SCADA Vendor should have a clean and pollution free environment, and is taking
adequate safety precautions during the production
7. SCADA Vendor should have items like fire extinguishers, safety warning board,
shock treatment charts and medical first aid kit in their premises.
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8. SCADA Vendor should carry out regular employee training programs for regular
up-gradation of the knowledge and skills of the employees.
3.3.2 MANPOWER REQUIREMENT
1. SCADA Vendor should have dedicated group of professionals for SCADA

development and support especially software development personals.
2. Number of qualified engineers (B.Tech) degree holders employed
3. Whether they are associated for the last five to ten year continuously in the field
of SCADA. (Relevant Certificates to this extent are required to be submitted.)
4. SCADA Vendor should have adequate staff /man power to commission SCADA
system anywhere in India and have adequate service network/ centres in the
country.
5. SCADA Vendor should have adequate number of software and hardware
engineers conversant with SCADA system communication technique and
knowledge of communication protocol preferably on IEC 870. Whether Supplier
have in house capability to write/develop/test communication protocols.
6. Whether software engineers employed with firm have adequate experience in
multiple platform programming like WINDOWS, .net, Linux, VB, VC++, ASP
etc.
3.3.3 QUALITY CONTROL REQUIREMENTS
1. SCADA Vendor should have acquired ISO-9000 certification for the product
broadly, for which approval is being sought
2. SCADA Vendor should have the system of easy tractability of the product from
the raw-material stage to the finished product stage to the finished product stage is
available
3. SCADA Vendor should have a system of monitoring the supplied product
complaints.
4. SCADA Vendor should have an effective quality control system to monitor
quality control.
• Inward raw material
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• Stage inspection at various assembly stages such as PCB inspection before and
after soldering inspection, IC functionality check, Transducer testing, modem
functionality test etc.
• Inspection of the final assembled product to confirm adherence to the
requirement / specification
• Test equipment to test designed feature of SCADA system, MODEM and
simulators to simulate field signals, Current injection set, Variable and
stabilised ac voltage source, Variable PF source of adequate range.
3.3.4 QUALITY ASSUARANCE REQUIREMENTS
1. SCADA Vendor should have the Quality assurance plan for the product detailing
following aspect:
• Organization chart.
• Flow process chart.
• Stage inspection details.
• Various parameters to maintain the control over the manufacturing.
1. The Quality manual of SCADA Vendor indicating the extent of control over
production and testing should be available.
2. A degree/diploma holder should be the head of the inspection / testing / final
control section with 5 years of experience in the relevant fields.
3. The System of documentation in respect of following should be available.
• Rejection at the customer and its warranty replacement e.g. documentation of
problems reported from field, corrective action taken thereof,
monitoring/validation of the action taken.
• Incoming raw material with the reference of suppliers as well as internal test.
• Details regarding stage inspection and test results.
• Details regarding the final testing and dispatch to the customer in proper
packed condition.
• System for calibration of testing and measuring instruments.
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3.4 SECURITY CONSIIDERATIONS
3.4.1 COMMON SECURITY VULNERABILITIES
As described in the previous section, corporate networks and SCADA systems are often
linked, which means that the security of the SCADA system is only as strong as the security
of the corporate network. With pressure from deregulation forcing the rapid adoption of open
access capabilities, vulnerabilities in corporate networks are increasing rapidly. The
following section outlines several common system vulnerabilities found on SCADA and
corporate networks that impact the relative security of SCADA systems:
• Public Information Availability

Often, too much information about a utility company corporate network is easily
available through routine public queries. This information can be used to initiate a
more focused attack against the network. Examples of this vulnerability are listed
below:
➢ Websites often provide data useful to network intruders about company
structure, employee names, e-mail addresses, and even corporate network
system names
➢ Domain name service (DNS) servers permit “zone transfers” providing IP
addresses, server names, and e-mail information.
• Insecure Network Architecture

The network architecture design is critical in offering the appropriate amount of
segmentation between the Internet, the company’s corporate network, and the
SCADA network. Network architecture weaknesses can increase the risk that a
compromise from the Internet could ultimately result in compromise of the SCADA
system. Some common architectural weaknesses include the following:
➢ Configuration of file transfer protocol (FTP), web, and e-mail servers
sometimes inadvertently and unnecessarily provides internal corporate
network access.
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➢ Network connections with corporate partners are not secured by firewall, IDS,
or virtual private network (VPN) systems consistent with other networks
➢ Dial-up modem access is authorized unnecessarily and maintenance dial-ups
often fail to implement corporate dial access policies
➢ Firewalls and other network access control mechanisms are not implemented
internally, leaving little to no separation between different network segments
• Lack of Real-Time Monitoring

➢ Vast amounts of data from network security devices overwhelm utility
information security resources rendering monitoring attempts futile
➢ Even when intrusion detection systems are implemented, network security
staff can only recognize individual attacks, as opposed to organized patterns of
attacks over time
3.4.2 ELECTRONIC SECURITY
3.4.2.1 ATTACKS
Attacks on electronic systems have become a reality for many companies and electric
utilities implementing SCADA are no exception. This section discusses the types of
attacks typically seen and the defence tools used to ward off these attacks. This survey
is not focused on the electric utility industry (4% of respondents were from utilities),
it does provide a baseline for the types of attacks perpetrated and damage done by
unauthorized users in almost all the SCADA implementation. According to the
survey, approximately 56% of respondents reported unauthorized computer use in the
past 12 months, slightly less than the numbers reported in the previous 4 years. Figure
shows the data gathered from the survey.
The downward trend in reported attacks may be somewhat misleading. The report
also shows an increasing trend toward not reporting unauthorized use of computer
systems. Respondents cited fear of negative publicity or exploitation by competitors
as primary reasons for not reporting. Figure shows the actions taken by respondents
when they were attacked.
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Although documented evidence of attacks on utility systems is sparse, the threat is

real. According to security firm Riptech (now owned by Symantec), 70% of their
electric utility clients experienced at least one major attack in the first half of 2009,
compared with 57% in the last half of 2008. Riptech also reports that when they try to
penetrate a utility’s network, they are successful 95% of the time.
Types of attacks and/or misuse include viruses, laptop theft, net abuse, system
penetration, denial of service, and others. Figure shows types of attacks/misuse and
their trends during the past four years. Viruses are the most common type of attack.
One can also see from this figure that several attack types show an increasing trend,
including system penetration and denial of service. These two attack types, in addition
to viruses, typically use the internet as a source of attack. Indeed, the survey found an
increasing trend toward internet-based attacks compared to inside attacks or remote
dial-in.
Regarding types of attackers, survey respondents, as shown in Figure, pointed to

independent hackers and disgruntled employees as the most common. Domestic
competitors, foreign corporations, and foreign governments were also significant
sources of attack. Since many attackers are not caught, it is not clear whether this data
is based only on those who are caught or whether these numbers are base on
conjecture by the respondents.
3.4.2.2 ATTACK TOOLS

An attacker need not be an accomplished programmer to penetrate a network or
computer system. Several tools are available to either gain access to or learn more
about a system targeted for attack. This section gives a brief description and some
examples of several types of tools of this nature.
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➢ Password Crackers
The term password cracker is basically self explanatory. The intent of this software is
to try multiple login attempts, typically using one of two methods, dictionary or brute
force. Dictionary attack tools use common words or phrases that often appear in
passwords. Brute force attack tools simply try every possible character combination
that could be entered as a password. Brute force attacks can obviously take longer but
also have the ability to crack more passwords. A bevy of password cracking programs
is available free on the internet. Lophtcrack is a commercially available program that
costs about $250 and is capable of performing brute force and dictionary attacks.
➢ War Dialers
War dialers use a single modem or a bank of modems to dial a range of numbers to
determine whether a particular phone line has a modem connected to it. If this is the
case, the attacker can then attempt to gain access to this modem using a password
cracker or other tool. Like password crackers, war dialers can also be downloaded
from the internet. Examples include ToneLoc and THC-Scan. PhoneSweep is a
commercially available program that can differentiate between modems and faxes.
Cost for this program is approximately $1,000.
➢ Ping Sweep and Port Scan Programs
Ping sweep and port scan programs work on TCP or UDP networks. Ping sweep
programs work similarly to war dialers, except instead of dialing phone numbers they
ping ranges of IP addresses to determine which ones are used. Port scan programs can
then be used to determine which ports are being used. Nmap is an example of a tool
that can do ping sweeps and port scans. It is freely available on the internet and works
on Windows-based machines. Ethereal is a UNIX/LINUX version that is also freely
available.
➢ Packet Sniffers and Protocol Analyzers
Packet sniffers intercept data being transmitted between computers in a TCP/IP

network. This requires that the packet sniffer be in the path between sender and
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receiver. Protocol analyzers take raw packet data and attempt to determine the
protocol used and the information being transmitted by each packet. Like other tools,
many products are available freely from the internet. Ethereal, mentioned in the
previous section, also performs sniffing and protocol analysis.
➢ Denial of Service Tools
Denial of service (DOS) attack tools work by flooding a network with either
legitimate or malformed packets of data, thereby effectively locking out legitimate
traffic. Some tools come with several malformed packet types known to cause certain
systems to crash. Examples of these tools are smurf, fraggle, and SYNflood.
SYNflood sends connection requests (SYN packets) to the intended target, but never
acknowledges the connection so that many ports are left open on the target
machine(s).
3.4.2.3 ATTACK SCENARIOS
As shown in the previous section, there are several ways to gain access to a
networked system. Once a system has been penetrated, an attacker has several options
to choose from if his or her target is an electric utility.
He or she could:
1. Take direct control of devices in substations and/or generation plants,
shutting these facilities down.
2. Plant malicious code or a “logic bomb” that executes on a given event or at
a preselected time to disrupt the system.
3. Plant code that opens a “back door” to allow easy access in the future.
4. Change data such as billing information to disrupt financial operations.
5. Perform a “man in the middle” attack to intercept and change data to
deceive system operators into thinking the system is in a condition that it is
not (e.g., circuit overload). The operators may therefore take unnecessary or
damaging action to mitigate this condition.
6. Change protective device settings to make a protective relay trip when it
shouldn’t, not trip when it should, or both, thus taking the system out of
service and/or causing damage to equipment.
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7. Take resources hostage for other purposes (e.g., game hosting), degrading
performance of the system for the tasks it was designed to do.
Of course, system penetration is not necessarily even required. An attacker could
initiate a denial of service (DOS) or distributed denial of service (DDOS) attack that
basically ties up all network resources and prevents legitimate traffic from getting
through a network.
3.4.2.4 DEFENCE TOOLS
Several tools are also available to defend systems. These tools include passwords,
firewalls, intrusion detection systems, virtual private networks, and access control.
The following sections provide a brief description of each of these tools.
➢ Passwords
Passwords can be an effective security method. Two factors that influence their
effectiveness are whether the passwords are strong passwords and whether they
are encrypted. Strong passwords are defined as passwords of six characters or
more, with at least one special character or digit and mixed-case character, that do
not form a pronounceable word, name, date, or acronym.Table shows a
comparison of the time it takes a password cracking program to crack passwords
of different lengths for strong passwords (require brute-force cracking) and for
dictionary passwords. Dictionary passwords in this case are based on the 25,143-
word UNIX spell-check dictionary that contains words, numbers, common names,
and acronyms. Strong passwords are based on a 90-character set of letters,
numbers, and special characters.
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Table: Comparison of times to crack dictionary vs. strong passwords
As one can see from the table, strong passwords, especially those of six characters or
longer, are almost impossible to crack using brute force methods. Of course, if a
potential intruder can sniff a network and see the password in clear text, the strongest
password is no better than a weak password. It is therefore important that passwords
not be transmitted in clear text. Several tools are available for password encryption
for workstations and servers. Intelligent devices in substations, on the other hand,
often do not support a full character set for passwords, nor do they support password
encryption.
➢ Firewalls
A firewall serves as a barrier to traffic crossing the boundary of a network.

Firewalls allow only packets satisfying predetermined rules to get from outside a
network to the inside or vice versa. Firewalls can be either stand-alone devices or
software running on a computer. They are often set up with a buffer zone, or
DMZ, between the protected network and the outside world. The DMZ allows
web servers, for instance, to provide information to outside customers without
having to get through the firewall. Standalone firewalls are manufactured by
companies like Cisco Systems and Nokia. A simple software firewall called
TinyFirewall is available to run on Microsoft Windows-based machines.
➢ Intrusion Detection Systems
Intrusion detection systems (IDS) are used to detect unauthorized use of a

computer network. They can be set up to detect internal abusers, external abusers,
or both. Intrusion detection systems fall into one of two categories: signature
detection systems or anomaly detection systems. Signature detection systems
match packets with known intrusion characteristics and, based on sensitivity
settings, determine whether an attack is occurring. Anomaly detection compares
system behavior with a profile of past behavior to determine whether an intrusion
is taking place. Both system types require care in setting sensitivity as well as
monitoring of event logs.
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➢ Virtual Private Networks
Virtual private networks (VPNs) tunnel through open IP-based networks by

encrypting data to provide a secure connection. VPNs can encrypt just the data
packet payload or the whole packet, including the source and destination address.
In the latter case, a new packet header with a new IP address is added. VPN
devices in this case are matched so that each has a compatible address. Once a
packet is received by a VPN device, the packet is decrypted and, if the entire
packet was encrypted, the dummy address is stripped off. The packet is then
routed to its proper destination. VPNs typically use the tripledata encryption
standard (3DES or triple DES) with 128- to 168-bit encryption. Vendors of these
systems include Cisco Systems, Netgear, and Nokia.
➢ Access Control
Access control can include the control of physical access to computer systems. It
can also refer to electronic access. For electronic access, control measures are
identified as one, two, or three factor authentication. The three factors are:
○ Something you have (e.g., ID card)
○ Something you know (e.g., password)
○ Something you are (e.g., fingerprint)
Obviously the most secure authentication and access control would incorporate all
three, but this is seldom the case in actual systems. Two-factor authentication is
sometimes used, but single-factor authentication is still commonplace for many
systems. RSA security is a leader in two-factor authentication systems. According
to the RSA website (http://www.rsasecurity.com/), their SecurID cards are the
most popular two-factor identification systems in the world.
Biometrics is the term typically used to describe the third factor. Several methods
of using biometrics to verify identity are available. Factors checked by various
systems include fingerprints, retinas, iris, face patterns, hand geometry, signature,
or voice recognition. Although costs for these devices are decreasing, they do not
appear to be used widely. Perhaps one of the reasons is that at least some of them
are quite easy to spoof. According to a recent PC Magazine article, fingerprint
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scanners could be spoofed by simply breathing on the sensor, making the last
fingerprint reappear. Some face recognition sensors could be spoofed by a still
photo. Iris sensors could similarly be fooled by placing a photograph of a person’s
eye on someone else’s face.14 Newer products are addressing some of these
problems but it appears for the most part that biometric devices are not quite ready
for prime time.
3.4.2.5 USAGE OF DEFENCE TOOLS
Respondents to the survey report use several tools to defend against attacks (see
Figure). Most common among these are anti-virus software, firewalls, access control,
and physical security. Intrusion detection is also becoming a more commonly used
tool, as well as encrypted files. Most of the technologies in Figure in the previous
section are fairly self explanatory.
Information specific to electric utilities in comparison indicates that perhaps this

industry is falling behind.
According to the Newton-Evans report, use of defence tools among utilities lags well
behind industry in general. Figure shows that most respondents use passwords as a
primary means of protection. Only two-thirds of respondents use virus protection as
compared to 99% in the survey.
Less than half of the respondents use any measure other than these to defend against
attacks.
A trend that exacerbates the problem for utilities is the increasing use of the internet
for applications. Figure shows current and planned implementation of applications
using internet technology. Notice that in every application category there is planned
expansion in the use of the internet.
Of the respondents, nearly 40% either currently use the internet for supervisory
control (17%) or plan to do so (21%).
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Figure: Current/future implementation of functions using internet technology
As mentioned previously, NERC has been involved with the security of electric utility
systems. Its Urgent Action Standard 1200, which was issued in August 2003, is an
attempt to standardize and enforce compliance with cyber-security principles. The
standard mandates that every entity involved with the generation, transmission, or
distribution of electric power must perform several steps, including:
1. Identify its critical cyber assets.
2. Identify its physical and electronic perimeters.
3. Implement physical and electronic access controls.
4. Monitor physical and electronic access.
5. Identify response actions for physical and electronic incidents.
6. Identify recovery plans in the case of an attack.
3.4.3 PHYSICAL SECURITY
Physical security at electric power substations and generation facilities varies from
installation to installation depending on level of risk, level of impact, and cost of
implementation. Cost is a particularly important factor as a result of the competitive pressures
brought on by deregulation. IEEE Std. 1402-2000, “IEEE Guide for Electric Power
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Substation Physical and Electronic Security,” is available as a resource for planning and
implementing security measures. The main categories of physical security at electric power
substations are physical barriers and electronic barriers. Examples of physical barriers
include fences, walls, and locks. Examples of electronic barriers include photo-
electric/motion sensing, video surveillance systems, building systems, computer security
systems, passwords, dial-back verification, selective access, virus scans, encryption, and
encoding. Examples of other types of security measures are lighting, landscaping, buildings,
patrols, communications, and internal and external information restrictions.
Table identifies three sample electric power utilities and their implementation of IEEE Std.
1402-2000. The three utilities are a hydro-electric utility, a utility performing transmission,
distribution, and generation, and a utility performing transmission and distribution only.
Table: Three sample electric power utilities and implementation of IEEE Std. 1402-
2000
Effectiveness of Security Methods
Page 35
A security survey was performed and documented in IEEE Std. 1402-2000. The survey
results, shown in Table, provide an indication of the effectiveness of security methods used
by respondents in an urban substation. One general observation is that lights, signs, and
special locks are the most common security methods employed. Although generally effective
according to the majority of the respondents, these methods were not found to be completely
effective and can be defeated. Some of the methods used least often (alarms systems, motion
detectors, and electronic protection) were reported to be completely effective. The
respondents were from various utilities.
Table: Results of security survey on effectiveness of security methods
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3.5 GOVERNMENT POLICIES
3.5.1 POWER GENERATION IN INDIA
Cost of Generation of Power in India

(2008-2009)
Net Total Cost of
Generation Cost of Generation
(Million Unit) Generation Unit
Contents (Rs. in Lakh) (Paise/kWh)

Hydro Stations 89739.16 612376.97 68.24
Thermal Stations 419344.84 8040393.86 191.74
Nuclear Generation 18659 330219 176.98
The entire power requirement in India is basically met by the following three methods:
• Hydro Stations
• Thermal Stations
• Nuclear Generation
From the pie chart we can clearly conclude that the major portion of the requirement of the
power is met using the Thermal generation technique.
Subsequently the total cost of production for the Thermal power generation is the maximum
followed by Hydro stations and the Nuclear generation in the end. One of the reasons for the
low contribution of the Nuclear sector is that it is relatively a new domain and currently the
production is only under the control of the Central Government.
Per Unit cost for Thermal power generation is maximum closely followed by Nuclear power.
Whereas the per unit cost of Hydro power generation is the least. But however due to the lack
of proper projects on the river beds across India, there is a lot of emphasis on the production
of electricity using the Thermal stations even though it is very costly. In the Eleventh Five
year plan the Government of India has given a lot of emphasis on the Hydro electric power
stations.
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3.5.2 POWER CAPACITY ADDITIONS – NEW PROJECTS
Power Capacity Addition Targets in India

(11th Plan)
(Figure. in MW)
Particulars Central State Private Total
Thermal 12790 6676 5951 25417
Hydro 8742 4481 1170 14393
Nuclear 1300 0 0 1300
Total 22832 11157 7121 41110
In the Eleventh Five year plan (2007-2012) the Government of India plans to clearly increase
the capacity of all the three Power generation sectors i.e. Thermal, Hydro and Nuclear in
order to satisfy the ever increasing requirement of the Urban and the Rural India. This clearly
indicates that there will be an increase in the number of projects to meet the requirement
which will provide a clear opportunity for the SCADA implementation as these projects will
involve a lot of automation.
Number, Capacity and Amount Spent on Grid-Connected

Renewable Power Projects Installed in India
(As on 31.03.2008)
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Total Total Total Govt.
Capacity No. of Estimated Subsidy$
(MW) Projects Investment* (Rs. in Crore)
Type of Project (No.) (Rs. in Crore)

Wind Power 8757 13 35000 145
Small Hydro Power 2181 618 11000 400
Biomass Power/Cogeneration 1407 181 5500 74
U&I Waste to Power 56 17 360 59
Solar Power 2 33 50 35
Total 12403 13511 51910 713
Wind power and Hydro electric power stations are the two most cheap way of producing
energy to satisfy the requirement of the Urban and Rural masses across India. Therefore the
Government of India has given the maximum subsidies to the projects in these sectors to
encourage energy production.
Due to the limited infrastructure across the river beds in India the total capacity production of
Hydro power stations is not adequate to meet the requirements of the Indian population.
There exists a great potential in the Wind power stations for generating energy and meet the
requirements.
The subsidies provided by the Government of India encourage the projects in the Wind
power sector. However being a relatively new sector there are fewer projects in this domain
but it is slowly increasing.
India has been heavily relying on the Small hydro power stations for satisfying the energy
requirement and hence the total number of projects is maximum in this particular sector.
India has also started concentrating on the generation of energy using Biomass and Urban
waste as it is one of the cheapest ways and is environmental friendly.
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3.5.3 SECTORWISE POWER GENERATION
Sector/Category-wise Targets Fixed for Electricity Generation in

India
(2007-2008 to 2009-2010)
(Figures in Million Unit)
Category/ Sector 2007-08 2008-09 2009-10
Thermal
Central Sector 237449 260824 261148
State Sector 277604 304764 303192
Pvt. Sector 57141 65682 84139
Total 572194 631270 648479
Hydro
Central Sector 39790 42912 43239
State Sector 64299 70221 67123
Pvt. Sector 5361 5317 5106
Total 109450 118450 115468
Nuclear
Central Sector 22713 19000 19000
All India
Central Sector 299952 322736 323387
State Sector 341903 374985 370315
Pvt. Sector 62502 70999 89245
Bhutan Import 5643 5624 6564
Total 710000 774344 789511
The increase in the participation of the private sector over the years for the production of
energy provides an opportunity for HCL to provide infrastructure support as well as to
implement SCADA for the automation related processes in the project and provide an end to
end support. HCL has a tremendous potential to tap the Thermal and the Hydro projects
across India and thus give a boost to its SCADA domain.
3.5.3.1 THERMAL
3.5.3.2 HYDRO
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5.3.3 NUCLEAR
However Nuclear sector being a relatively new and a niche domain is solely under the
control of the Central Government. All the projects of Nuclear energy production is
managed by the Central Government and HCL does not have an opportunity in this
particular domain. The production of energy has gone down tremendously for 2007-
08 to 2009-10 due to the restrictions introduced for the nuclear energy production by
the Indo-US nuclear deal.
3.5.4 PRODUCTION OF NATURAL GAS AND CRUDE OIL
Projected Production of Crude Oil and Natural Gas in India

(2007 to 2012)
2008- 2003- 2011-
Company 2007-08 09 10 2010-11 12 Total
Production of Crude Oil

(MMT)
ONGC 27.16 28 29 28.53 27.37 140.06
OIL 3.5 3.55 3.73 3.91 4.3 18.99
Joint Venture/ Private

Companies 10.57 10.78 9.76 8.75 7.85 47.71
Total 41.23 42.33 42.49 41.19 39.52 206.76
Actual Production 34.12
Production of Natural Gas
ONGC 60.55 61.73 62.38 62.99 60.27 112.39
OIL 8.58 8.79 8.9 8.99 9.75 16.43
Joint Venture/ Private

Companies 23.42 61.78 80.58 78.82 103.2 126.45
Total 92.55 132.3 151.86 150.79 173.23 255.27
Actual Production 88.42
There are basically three major players involved in the production of the Natural Gas and Crude Oil
as a Secondary source of Commercial energy provider. These players are:
• ONGC
• OIL
• Joint Ventures/ Private Companies
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The overall production projects of Crude Oil are basically under the Central Government
organizations ONGC and OIL. However there are around 25 % of projects under the private
sector which again throws up an opportunity for HCL to provide infrastructure support and
implement SCADA in its automation processes.
Whereas in the production of the Natural Gas around 50% of the total projects are under the
private sector thus opening up another opportunity for HCLs SCADA implementation.
3.5.5 GOVERNMENT POLICIES TOWARDS ENERGY PRODUCTION SECTOR
3.5.5.1 Water Management Policy
Sr. PROJECT ALLOCATION

No
1. Flood management programme Rs. 8500 crore
2. Development of Water Resources Information System Rs.230 crore
3. Hydrology project Rs.180 crore
4. Ground water management and regulation Rs. 515 crore
5. Flood Forecasting Rs.150 crore
6. Infrastructure development Rs.125 crore
Total Rs.9700 crores
• Flood management programme:
This centrally sponsored scheme includes the continuing schemes related to Flood
Management Works in Ganga Basin/Brahamaputra & Barak Basin and improvement
of drainage in Brahamaputra, flood management and anti erosion works being
executed by Brahamputra Board, feasibility studies of channelization of Brahamputra
etc. This scheme will also include activities to be taken up in all the other basins
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throughout the country such as Flood proofing programme, critical flood control and
anti erosion works including sea erosion, improvement in drainage in critical areas,
inundation modeling of flood disaster preparedness, Grant-in-Aid to Brahamputra
Board and Ganga Flood Control Commission, Strengthening of Flood Management
Organisation, CWC, setting up of National Flood Management Commission, share
cost for flood component in multi-purpose water resources development projects etc.
A provision of Rs. 8500 crore has been kept for this scheme under Central sector in
XI Plan. Out of this Rs.7000 crore is for the Centrally Sponsored Programme and
Rs.1500 crore is meant for the Central Sector Schemes of GFCC, Brahamputra
Board and CWC.
• Development of Water Resources Information System:
Planning of water resources development and management improves with the

availability of data. Water resources projects were planned and executed even when
long term rainfall or runoff data was not available. With the availability of modern
computing technology, the State of the Art of technologies such as GPS, GIS, Remote
Sensing, Telemetry, RDBMS, MIS, DSS, Expert Systems, SCADA etc. it is possible
to further improve the planning and operation of the projects. But this requires
substantial amount of spatial and time series data on all aspects including water
quality data, data related to snow hydrology, sedimentation, river morphology, minor
irrigation etc. As emphasized in the National Water Policy, a standardized National
Information System should be established with a network of data banks and
databases, integrating and strengthening the existing central and State level agencies
and improving the quality of data and the processing capabilities. Often there is a
considerable time lag between the developmental activities and reporting of physical
and financial progress. It is considered essential to have “On-line monitoring system”
for having up to date information of physical and financial progress of ongoing
projects in different states. This can be achieved by strengthening the present
monitoring mechanism, introduction of remote sensing technique in the monitoring
system and providing Central Assistance to projects for time bound communication of
monitoring related information. It is in this background all the activities of data
collection including monitoring have been merged under this Central sector scheme of
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“Development Water Resources Information System” and a provision of Rs.230 crore

has been kept under Central sector in XI Plan for this scheme.
• Hydrology project:
The system being established under Hydrology Project need to be developed as

operational Management System rather than creation of the hydrological system
alone. The project component should include decision support system (DSS) – real
time, operational management system, etc. involving hardware, software and
appropriate training need to be established in all the States including the States in
Ganga and Brahmaputra River Systems. The scheme of “Hydrology Project” is
proposed to cover all activities identified under World Bank Assistance for the project
and will include the continuing schemes of the hydrology related to MoWR, CWC,
CGWB, CWPRS and NIH. A provision of Rs.180 crore has been kept for this scheme
under Central sector in XI Plan.
• Ground water management and regulation:
The scheme will cover all activities related to ground water management studies with
an objective to evolve sustainable strategies including exploration, investigations,
artificial recharge to ground water, conjunctive use of surface and ground water
resources, geogenic contamination etc. The scheme will include existing scheme of
Ground Water Survey, Exploration & Investigations, Artificial Recharge of ground
water and Central Ground Water
Authority. A provision of Rs. 515 crore has been kept for this scheme under Central
sector in XI Plan
• Flood Forecasting:
The scheme will include the activities of collection of Hydro-meteorological data and
issue of Flood Forecasts in India and will include the continuing scheme related to
Strengthening & Modernization of FF & HO network in Brahamaputra & Barak basin
and Establishment and Modernization of flood forecasting network in India including
inflow forecasts.A provision of Rs.150 crore has been kept for this scheme under
Central sector in XI Plan.
• Infrastructure development:
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This scheme will include the activities related to lands & building and IT
Development and will include the continuing schemes related to Land and Buildings
of CWC, Lands and Buildings of GFCC, Lands and building of CGWB, IT
Development of MoWR, Upgradation and Modernisation of Computerisation and
Information system of CWC etc. A provision of Rs.125 crore has been kept for this
scheme under Central sector in XI Plan.
3.5.5.2 Power Management Policy
Sr. PROJECT ALLOCATION

No.
1. Development of sensor systems for online fuel
calorific value & unburnt carbon in ash measurement Rs.3 crores
2. Steam Generator condition assessment model
through neutron activation techniques Rs.20 crores
3. Development of desalination technology with LP
exhaust steam/Solar heat source Rs.16 crores
4. Advanced RLA methodologies Rs.25 crores
5. Application of GIS / GPS in river inflow / discharge
measurements, flood forecasting, etc. Rs.1.5 crores
6. Soft rock tunnelling Rs.1.5 crores
7. Testing and simulation laboratory for SCADA
(Complying with IEEE 61850) & demonstration
projects Rs.7.5 crores
8. SCADA implementation in 27 cities Rs.1000 crores
9. Wide area measurements for grid
protection & control Rs.10 crores
Total Rs.1084.5 crores
• Steam Generator Condition Assessment Model Through Neutron Activation

Techniques
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The objective of the proposal is to development of a comprehensive Boiler Condition

& Performance Assessment. Boiler Condition assessment shall be done through a
combinatorial program of Neutron Activation Technique, Electro-Mechanical
Acoustic Transducer, and Fibre Optic embedded Raman Scattering Technique. The
entire proposal is to be executed in an integrated manner. The nature of the project is
such that the elements mentioned below are neither modular nor discrete; rather they
are intrinsically intermingled and interdependent and hence cannot be taken up in a
serial manner. Though interdependent, the main elements of technology development
in the project shall be following:
It would involve complete, identify the required competence areas and potential
collaborating institutes for each of the following technologies and initiation of its
execution:
i. Neutron Activated Tomography for scanning of Boiler Tube Thickness.
ii. Electro-Mechanical Acoustic Transducer based scanning of Boiler Tube

Thickness.
iii. Fibre Optic embedded Raman Scattering Technique or any other alternate
technology for scanning of Boiler Tube Metal Temperature.
iv. Neutron Activation based combustion visualization technology.
Technologies are available for boiler condition assessment. However the major issue
involved is to make it suitable & approachable, when it comes to real life situation in
a boiler. The main deliverable for the project is to demonstrate these technologies in
an integrated manner for true assessment of boiler condition.
• Advanced RLA methodologies (Robotic corrosion mapping, phased array

technology, remote eddy current, temper embrittlement and electro magnetic
acoustic transducers)
Robotic based Corrosion mapping system for water wall tubes through Magnetic
Inductance Bridge based robotic system. The water wall tubes in the primary pass of
thermal power plant boiler are subjected to severe corrosion problems especially in
the burner zones leading to loss in thickness. The wall thickness of each tube needs to
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be monitored during annual shutdown periods for ascertaining their suitability for
continued service and schedule for replacement if necessary. In view of the short shut
down periods, it is not possible to measure the thickness of all tubes using
conventional ultrasonic technique. In a robotic based system, the probe/magnetizing
coil is supported on robotic device which can crawl along the whole length of the
water wall tubes and maps the corrosion thickness. The high temperature boiler tube
during service forms coherent oxide layer on the outer surface due to oxidation. The
presence of this oxide layer on the outside of tubes interferes with ultrasonic wall
thickness measurement and prevents proper sound coupling during conventional UT
technique. The application of EMAT probes permits enables direct measurement
without any surface cleaning of the boiler. When coupled with a robotic device, large
number of tubes and different elevations can be covered in a short shut down period.
Phased array technique is a specialized type of testing that utilizes multi element array
transducers and software controls for steering the ultrasonic beam. In view of
complexity in shape & geometry of component of turbine components such as blades,
rotor steeple and disk rim attachments, the conventional techniques suffer by
reliability, accuracy & reproducibility. The advanced linear phased array ultrasonic
technology wherein multiple UT probes mounted in a single holder is used to for this
purpose and reported that the reliable and redundant results can be obtained in respect
of defect detection, sizing and shape. HP / IP rotors suffer in-service degradation from
rotor material temper embrittlement. The rotor material fracture toughness, which
governs the size of the critical flaw for fracture, is hence adversely affected. A
reliable assessment of the fracture toughness properties of steam turbine rotor requires
sampling of material from inservice rotor. A miniature sample removal and small
punch testing technique for direct estimation of fracture toughness provides a rational
basis for reduction of conservatism during RLA of rotor. The remote eddy
current/CCTV system is capable of examining the trailing and attachment areas of L-
0 and L-1 turbine blades without turbine disassembly. Eddy current tests have also
been successfully used to detect cracks in the area of the satellite wear strips on the
leading edge of last stage blades and for inspection of turbine casing bolt and bolt
holes. Critical turbine components must be evaluated to assure safe operation during
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their lifetime. The adoption of advanced RLA methodologies leads to the emergence
of sophisticated practice in RLA with reliable and upgraded assessment technologies
in the short time available during periodic maintenance, application of Robotics,
improved deterministic routes and evolution of technology options. The project
envisages development of state-of-art technology in the area and adopts them in a few
thermal power stations. The project will support a number of spin off research in the
related area.
• Combustion modelling and technologies for utilization of fly ash unburnt carbon
in pressurized fluidized bed gasifier
The objective of the project is to demonstrate pressurized fluidized bed char

combustor in a pilot scale facility & to explore other ways of separating char from fly
ash of pressurized fluidized bed gasifier. Pressurized fluidized bed gasifier operating
in a bubbling mode normally gives lower carbon conversion efficiency in the range of
90-91% only. The attributing factors are particle attrition & elutriation from the bed.
Freeboard reaction is normally limited due to dearth of oxidant resulting in 15%
combustibles in fly ash. The fly ash recycling is another option to reduce the overall
combustible in ash. For high ash Indian coal, large amount of ash recycling is always
a big threat in a pressurized system. Another option is to separate char from fly ash &
utilize the char in a separate furnace. Various separation methodologies are still in
developmental stage only. Tribo-electrostatic separation & dry fluidization separation
are among few technologies, which have been tried so far. However research work
needs to be carried for demonstration of such technologies for Indian coal. The third
option is to put the fly ash in a pressurized fluidized bed combustor to produce steam
& the hot gases i.e. a mixture of nitrogen & carbon dioxide at around 1000C can be
reintroduced back to main gasifier. The heat carried over with the flue gas will sustain
the endothermic reaction & carbon dioxide can be used as a gasifying agent in the
gasification process. The project would have deliverables in three stages. Modelling
of the char combustor with actual fly ash constituent as an input would be the first
deliverable. Next would be a development of a bench scale pressurized char
combustor & final will be its integration with main gasifier. The cost of the project
has been estimated as 19 crores & project is expected to be completed in six years.
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• AC/ DC Microgrid Demonstration Project By Deploying Various Distributed

Energy Sources, Energy Storage Systems, Communication Systems, AMR, DVR,
STATCOM, HVDC Light
Distributed power generation system is emerging as a complementary infrastructure

to the traditional central power plants. This infrastructure is constructed on the basis
of decentralized generation of electricity close to consumption sites using Distributed
Generation (DG) sources. The increase in DG penetration depth and the presence of
multiple DG units in electrical proximity to one another have brought about the
concept of the micro-grid. A micro-grid is a portion of a power system which includes
one or more DG units capable of operating either in parallel with or independent from
a large utility grid, while providing continuous power to multiple loads and endusers.
The idea supporting the formulation of the micro-grid is that a paradigm consisting of
multiple generators and aggregated loads is far more reliable and economical than a
single generator serving a single load. India being geographically diverse country
with habitation spread over all kind terrains such as, hilly inaccessible areas, desert
lands, small islands etc, providing reliable power at affordable price is a challenging
task. At the same time, India is endowed with different kinds of renewable sources
like solar, hydro, bio-mass etc. Micro grid system encompassing locally available one
or more resources for power generation could offer possible solution to the challenges
of a nation to provide energy to the remote locations. The demonstration micro-grid
project would also include energy storage systems to supply power to critical loads
and also for emergency system start-up power. These projects incorporating concepts
of microgrid would include suitable communication system required for AMR.
Research on AMR technology is needed to optimize cost of overall distribution
system.
The advantages of VSC based HVDC system can be best utilized for applications
like:
• Deep river crossings
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• Power supply to isolated loads (supply to distant town, mine, island or even
production platform in the sea needing power from main land),
• Feeding Power from small isolated generation (wind, small hydro, tidal solar
etc.) to a grid or to a separate load without affecting power quality of receiving
network.
The implementation of technology developed in the area of power distribution is also
envisaged. Here, power electronics devices such as DVR, STATCOM etc. based on
VSC based converters would be developed. These would be included in the feeders to
improve power quality. These demonstration systems would have suitable AMR
system to monitor energy supplied to customers. The deliverables from the project
would result in demonstration of high quality power distribution systems. The
selection and development of suitable power electronics devices and a field show
casing as stated above forms an integral part of the project.
The project would pave the way for design of future rural energy network, where
distributed generation sources are likely to be deployed and would act as a
benchmark.
3.5.5.3 Petroleum Management Policy
Sr PROJECTS ALLOCATION
No.
1. Coal Liquefaction Project by OIL Rs.250 Crore
XI Plan Break Up Rs Crore
Upstream 159,161
Refining 81,545
Gas 13,079
Marketing 6,080
Crude Pipelines/Crude Oil

4,230
Terminal
R&D (including in upstream) 1,418
Others including RGIPT 3,536
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TOTAL 269,049
The above investments are based on the information received from various companies and
does not include investment in the oil and gas sector by the private sector. However, these
investments may undergo some change at the time of finalisation of the Annual Five Year
Plans.
3.5 SWOT ANALYSIS
SWOT analysis is a tool for auditing an organization and its environment. It is the first stage
of planning and helps marketers to focus on key issues. SWOT stands for strengths,
weaknesses, opportunities, and threats. Strengths and weaknesses are internal factors.
Opportunities and threats are external factors.
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Strengths
1. Advantages of the proposition-SCADA System
a) A SCADA system can help industry to save time and money through
standardisation of technology.
b) SCADA systems are equipped to make immediate corrections in the

operational system, so they can increase the life-period of your equipment and
save on the need for costly repairs.
c) SCADA software enables you to monitor the operations in real time thus
reducing the operational costs and improves the efficiency of any automation
set up.
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d) Reduced incident risks through the reduction in the number and severity of
operational incidents and improved capability to respond once an incident has
occurred (remote monitoring, remote control, and ability to control groups of
assets)
e) Standardize operating procedures and better utilization of staff and the auto-
generated reporting system can ensure compliance with regulatory principles.
f) Improved ability to integrate with other company information systems such as

financial, customer, maintenance management, planning, geographic, email,
etc
1. Capabilities of HCL
a) HCL has a well established and reputed brand name in the market in both
primary sector requirements for SCADA implementation
i. IT domain
ii. Hardware and Networking
b) HCL thus can have a competitive advantage over other existing niche players
in the market by providing end-to-end solutions by itself.
c) HCL keeps up its pace with the changing trends in the technology. Therefore
the clients can be assured of the solution provided by HCL will not become
obsolete.
d) HCL Infinet- the Networking service provider has received MAIT's 'Level II
recognition for Business Excellence'. HCL Infinet has also received the
ELCINA award for quality in networking solution.
Weaknesses
HCL Infinet while providing the networking solution for SCADA might adopt the
standardized technologies with known vulnerabilities because of the constraints on the use of
existing security technologies and practices which may give rise to the security
vulnerabilities.
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1. Security Concerns for SCADA
a) Denial of Service (DoS) attack to crash the SCADA server leading to shut
down condition (System Downtime and Loss of Operations)
b) Delete system files on the SCADA server (System Downtime and Loss of
Operations)
c) Planting a Trojan and take complete control of system (Gain complete control
of system and be able to issue any commands available to Operators)
d) Log keystrokes from Operators and obtain usernames and passwords

(Preparation for future take down)
e) Log any company-sensitive operational data for personal or competition usage

(Loss of Corporate Competitive Advantage)
f) Change data points or deceive Operators into thinking control process is out of
control and must be shut down (Downtime and Loss of Corporate Data)
g) Modify any logged data in remote database system (Loss of Corporate Data)
h) Use SCADA Server as a launching point to defame and compromise other

system components within corporate network. (IP Spoofing)
Opportunities
1. Market developments
a) SCADA system for different verticals are showing tremendous growth

potential in the next few years:
i. Water & Waste water treatment industry– 5.4% over the next five
years
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ii. Oil & Gas industry – 9.3% over the next five years
iii. Electric Power industry – 5.5% over the next five years
b) Indian market is showing an above average growth rate as compared to the

EMEA in the automation sector which provides a great opportunity for
SCADA implementation.
1. Technological Development & Innovation
a) Customization of the PLCs through the use of Software is a market which has
remained aloof from the existing players. HCL has the capability to explore
this opportunity in a profitable manner and can use it as a potential entry
point.
1. New Verticals
a) Opportunities exist for the implementation of SCADA in new verticals in

India like the Traffic Signal control system, Hospitals & Laboratories and
Food Processing industry.
b) HCL can also target operations in niche segments like Nuclear and
Radioactive processing industry which is a booming sector in India due to the
recent Indo-US nuclear deal.
c) SCADA integration with GIS - HCL can also plan to integrate SCADA with
the existing System Integration vertical of HCL-Vehicle Tracking Signal for
proper Traffic Signal control and Congestion Management System.
1. Strategic Alliances / Acquisitions
a) HCL can go for key strategic alliances with established core automation
sector players in the market and provide them with the required hardware,
software and networking technologies for SCADA implementation.
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b) HCL can also go for the acquisition of some small SCADA implementing
firms and thus need not worry about acquiring new projects.
Threats
1. Existing players
a) A number of domestic and international players in the Indian market can pose
a great challenge and competition for HCL.
b) Difficulty in acquiring projects due to customer’s perception that HCL might

lack knowledge about the automation domain.
1. Insurmountable weakness
a) Security threat which is a weakness of the SCADA system both internal and
external, are the biggest threat that HCL might face while developing and
implementing the SCADA system
1. Low cost implementation
a) Thin clients, web based products and web portals which provides low cost
solution for SCADA implementation can pose a threat for new entrant like
HCL
CHAPTER 4
Page 56
ANALYSIS OF THE FINDINGS
4.1 COMPETITIOR’S ANALYSIS
4.1.1 WIPRO
Page 57
WIPROs Strategy for SCADA implementation

Wipro's engineering services help automate plants for process industries, particularly when
system integration across a variety of technologies is key to success. Our engineering
services include
• Obsolescence protection such as feasibility studies, porting to 64 bit environment
• Testing and deploying vendor-solutions
• Remote management and SCADA implementation such as pipelines
• Design and development of HMI/GUI for process monitoring
• Customization and implementation of standard HMI packages
• Simulation and Modeling based on Matlab, Labview, others...
• Enhancement of in-house solutions such as Data Analysis and Visualization
• High Performance Computing such as high volume data analysis, GIS Systems,
Simulation
• Integrating industrial and business systems
• Implementation of surveillance systems for pumping stations
For the implementation of the SCADA successfully Wipro has gone into a number of
strategic alliances with the leading players in this particular domain.
PLC System partners of WIPRO

• Allen Bradley
• GE Fanuc
• Siemens
SCADA & DCS systems partners of WIPRO

• • Wonderware
• Honeywell
• Yokogawa
• Intellution
• Cimplicity
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Spectrum of SCADA Services offered by WIPRO
Page 59
BCG Matrix of WIPROs SBUs
WIPROs alliance with Schneider Electric
Wipro will market and deliver Schneider Electric's solutions including Manufacturing
Execution Systems (MES) and Supervisory Control And Data Acquisition (SCADA) in
India.
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To begin with, Wipro shall provide Schneider Electric’s Ampla MES Solution to the mining,
mineral processing and metals industries.
Wipro’s System Integration capabilities and Schneider Electric’s reach in the SCADA market
will promote the synergy and alliance. Wipro's matured consulting practice and proven
delivery model for large and complex projects will help Schneider Electric’s collective
customers make the most of their energy.
WIPROs alliance with GE Fanuc
GE Fanuc Automation entered into a Solution Provider go-to-market agreement with Wipro
Technologies, the global IT services business of Wipro Limited (NYSE:WIT). The two
companies will work together globally to better serve manufacturing enterprises in the
Automotive, Pharmaceutical, Food & Beverage and Consumer Packaged Goods industries
with solutions in the Production Management area.
This relationship will provide significant value to customers looking to integrate their
Production Management and ERP systems by leveraging Wipro’s knowledge of GE Fanuc
Production Management solutions and their expertise in ERP.
The scope of the agreement covers services, point solution development and joint go-to-
market activities. Wipro’s knowledge of supply chain, plant floor operations, enterprise
technologies and business processes will enable timely and effective deployment of GE
Fanuc Production Management solutions which include the Proficy family of products:
Proficy Tracker, Proficy Plant Applications, Proficy HMI/SCADA CIMPLICITY and iFIX,
as well as Proficy Historian, Proficy Change Management and Proficy Real-Time
Information Portal products that encompass an integrated suite of applications providing
execution, logistics, quality, tracking, reporting and visibility throughout all of a company’s
plant operations.
4.1.2 ASEAN BROWN BOVERI
Page 61
Page 62
Business Segments 2008 2007

Power Systems 31% 36%
Power Products 28% 26%
Process Automation 18% 17%
Automation Products 23% 21%
The following pie chart shows the segment wise performance of ABB in the year 2008 and
2007. The revenue from all the other segments of ABB in 2008 other than the Power System
shows a significant increase in the performance from the year 2007.
Power System Segment
2008 2007
Orders Received 25608 30029
Revenues 23054 22514
Central Government’s focus on the power sector reforms and introduction of the National
Electricity policy in past few years is reflected in increasing investments in capacity addition,
development of transmission network and power distribution improvements. However due to
the exceptional global liquidity crunch, economic downturn and increase in capital costs
resulted in the postponement and implementation of several power projects, especially those
which has been taken up by industrial houses. The rescheduling of few power projects and
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Company’s decision to exit Rural Electrification projects due to safety and cash flow
concerns has resulted in lower orders received as compared to the previous year.
The exit of ABB from the Rural Electrification projects presents an opportunity in front of
HCL to grab these projects and thus enter the market in automation projects and provide end
to end solution to the Government of India.
Power Product Segment
2008 2007
Buoyancy in the transmission sector and the distribution sector continued during the year
with higher level of investment in this sector until the middle of the year. The orders
somehow slowed down during the second half of the year due to liquidity crunch and
slowdown in the global market. However as per the current indications in the Eleventh five
year plan the Government of India is planning towards the implementation of the power
generation, distribution and transmission projects. The stimulus package announced by the
Government of India of around Rs.20 crore shows the seriousness of the Government of India
towards this sector.
Thus the impetus of the Government towards this sector can be perceived by HCL as a
positive indicator and can use this as an opportunity to enter the market.
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Process Automation Segment
2008 2007
The Industrial climate in the country remained buoyant during the first half of the year with
strong growth indicators from various verticals. The global market meltdown affected the
second half of the year with some of the proposed investments being deferred or postponed
indefinitely. The industry has significant opportunities for investments looking at the trend of
increasing per capita consumptions of steel, cement etc. Also the setting of industrial plants
by steel majors like POSCO and Arcelor-Mittal provides an opportunity for this sector to
grab new projects.
HCL can plan acquisitions or a strategic merger with Siemens and acquire mechanical OEMs
in the metal sector and then put effort to consolidate this acquisition with their own
automation solutions for metals to provide an end to end solution to the customer
Automation Products Segment
2008 2007
Page 65
A positive market environment particularly in the first half of the year coupled with strategic
thrust on capacity and product range expansion and focused marketing efforts depending
upon the industry verticals helped the segment in registering a growth of 34% in orders
received and 30% increase in the revenues during the year. There was a strong marketing
focus on the original equipment manufacturer (OEM) segment including HVAC, pumps,
compressor, boiler machinery, wind energy, waste water management.
Building up of capacities by the segment and increase in competition coupled with reduction
in the demand in the market on account of the slow down posed challenges for the growth in
business volumes. Capacity expansion planned in infrastructure sector like water, roads,
railways, wind and water management projects are expected to grow.
HCL can plan major marketing activities in potential growth areas like railways, water, waste
water, maintain efficient distribution network and continuous range expansion in order to
establish itself in the market.
4.1.3 ROCKWELL AUTOMATION
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Business Segment Information
Rockwell Automation is a leading global provider of industrial automation power, control

and information solutions that help manufacturers achieve a competitive advantage for their
businesses. Rockwell determines their operating segments based on the information used by
their chief operating decision maker, Chief Executive Officer, to allocate resources and
assess performance. Based upon these criteria, Rockwell organized their products and
services into two operating segments: Architecture & Software and Control Products &
Solutions.
Architecture & Software
The Architecture & Software segment contains all of the elements of our integrated control
and information architecture capable of controlling the customer’s plant floor and connecting
with their manufacturing enterprise.
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Architecture & Software has a broad portfolio of products including:

• Control platforms that perform multiple control disciplines and monitoring of
applications, including discrete, batch, continuous process, drives control, motion
control and machine safety control. Our platform products include controllers,
electronic operator interface devices, electronic input/output devices, communication
and networking products, industrial computers and condition based monitoring
systems. The information-enabled Logix controllers provide integrated multi-
discipline control that is modular and scalable.
• Software products that include configuration and visualization software used to
operate and supervise control platforms, advanced process control software and
manufacturing execution software (MES) that addresses information needs between
the factory floor and a customer’s enterprise business system. Examples of MES
applications are production scheduling, asset management, tracking, genealogy and
manufacturing business intelligence.
• Other Architecture & Software products, including rotary and linear motion control
products, sensors and machine safety components.
2009 2008
$1,723. $2,419.
Sales 5 7
Segment Operating
Earnings 223 584.7
Segment Operating Margins 12.90% 24.20%
(in millions, except
percentages)
Sales
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Architecture & Software sales decreased 29 percent in 2009 compared to 2008 as plant
shutdowns occurred and production slowed across many industries. Organic sales decreased
24 percent, as the effects of currency translation contributed approximately 5 percentage
points to the decline.
We experienced year-over-year declines in sales of this segment as a result of the global

recession and the short-cycle nature of this segment’s sales activities.
Logix sales declined 17 percent in 2009 compared to 2008, while the decline in sales of our
legacy processor products was greater than the segment’s average rate of decline.
Operating Margin
Architecture &Software segment operating margin decreased by 11.3 points to 12.9 percent
in 2009 compared to 2008. The decrease was primarily due to significant declines in sales
volume. The unfavorable impact of currency exchange rates and restructuring charges also
contributed to the decrease, partially offset by cost reductions.
Control Products & Solutions

The Control Products & Solutions segment combines a comprehensive portfolio of intelligent
motor control and industrial control products with the customer support and application
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knowledge necessary to implement an automation or information solution on the plant floor.

This comprehensive portfolio includes:
• Low voltage and medium voltage electro-mechanical and electronic motor starters,
motor and circuit protection devices, AC/DC variable frequency drives, contactors,
push buttons, signaling devices, termination and protection devices, relays and timers
and condition sensors.
• Value-added packaged solutions, including configured drives, motor control centers
and custom-engineered panels for OEM and end-user applications.
• Automation and information solutions, including custom-engineered hardware and
software systems for discrete, process, motion, drives and manufacturing information
applications.
2009 2008
2,609.0 3,278.1
Sales 0 0
Segment Operating Earnings 206.7 440.5
Segment Operating Margins 7.90% 13.40%
(in millions, except
percentages)
Sales
Control Products & Solutions sales decreased 20 percent in 2009 compared to 2008. Organic
sales decreased 15 percent as the effects of currency translation contributed 5 percentage
points to the decrease.
We experienced significant year-over-year declines in sales by the products businesses of this

segment as a result of the global recession and the short-cycle nature of these businesses’
sales activities. Sales by our solutions and services businesses declined at a lower rate than
the segment’s average rate of decline, as we delivered solutions from our backlog.
Operating Margin
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Control Products & Solutions segment operating margin decreased by 5.5 points to 7.9
percent in 2009 compared to 2008. The decrease resulted primarily from significant declines
in sales volume. Inflation, the unfavorable impact of currency exchange rates and
restructuring charges also contributed to the decrease.
Competitors
• The major competitors of our Architecture & Software operating segment include
Siemens AG, Mitsubishi Corp., ABB Ltd, Honeywell International Inc., Schneider
Electric SA and Emerson Electric Co.
• The major competitors of our Control Products&Solutions operating segment include
Siemens AG, ABB Ltd, Schneider Electric SA, Honeywell International Inc. and
Emerson Electric Co.
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4.1.4 SIEMENS
Page 72
Segment information :
The primary and secondary reportable segments are business segments and geographical
segments respectively.
Business Segments: The business of the company is divided into eleven segments. These
segments are the basis for management control and hence, form the basis for reporting. The
business of each segment comprises of:
Revenue
Inter
segmental
External sales sales Total
2008 2007 2008 2007 2008 2007
Automation and 1,59,78, 1,34,10, 50,69,6 31,44,8 2,10,48, 1,65,55,
drives 711 663 40 16 351 479
Industrial solutions 1,17,95, 92,37,92 2,34,00 2,91,05 1,20,29, 95,28,98
and services 420 8 9 2 429 0
67,08,85 34,67,42 67,08,85 34,67,42
Transport 8 4 0 0 8 4
Building 10,19,59
technologies 0 9,84,319 0 35,274 0 3
4,15,42, 4,17,79, 8,35,46 12,28,2 4,23,78, 4,30,08,
Power 879 906 5 49 344 155
Healthcare and 60,53,46 52,46,93 60,53,46 52,46,93
other services 0 1 0 0 0 1
Real estate 6,44,530 4,95,568 0 0 6,44,530 4,95,568
Information and 14,41,88 14,69,96
communication 0 0 0 28,088 0 8
12,03,43 12,03,43
Automotive 2,31,596 7 0 0 2,31,596 7
• Power
Provides automation solutions for a wide range of applications in power plants,
focusing on a complete range of medium and high voltage switchgears, medium
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voltage switchboards, protection and control systems for sub-stations, power system
control and energy management systems, meters, transformers and industrial turbines.
• Automation & drives

Provides the complete range of automation products & systems, from large and
standard drives and motors, special purpose motors, process and motion control
systems, industrial automation systems to low-voltage controls and distribution and
electrical installation technology.
• Information technology services

Provides comprehensive range of technology services, including software
development, packaged software integration and systems maintenance to its
worldwide customers operating in different industries.
Convergence communications solutions for enterprises, communications, video

conferencing, and call centers, networking, mobility, teleworking, multimedia
customer relation management. Provides mobile handsets and accessories. Provides
back office support services to group companies and other external customers.
Siemens India has discontinued the operations in the Information Communication
sector in 2008. This is clearly evident from the fact that the sales in the year 2008
were zero.
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• Transport
Provides solutions for rail automation, railway electrification, light and heavy rail,
locomotives, trains, turnkey projects and integrated services.
• Healthcare & other services

Provides diagnostic, therapeutic and life-saving products in computer tomography
(CT), magnetic resonance imaging (MRI), ultrasonography, nuclear medicine, digital
angiography, patient monitoring systems, digital radiography systems, radiology
networking systems, lithotripsy and linear accelerators.
• Industrial solutions & services

Undertakes turnkey projects in the industrial and infrastructure sectors over the entire
life cycle including concept, engineering, procurement, supplies, installation,
commissioning and after sales services.
• Building Technologies
Executes projects for providing Integrated Building Management Systems including
Building Automation Systems, Fire Alarm/Access Control/Security Systems.
Siemens India has discontinued the operations in the Building Technologies sector in
2008. This is clearly evident from the fact that the sales in the year 2008 was zero.
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• Real estate
Provides comprehensive real estate management.
• Automotive
Manufacturing and trading of dashboard instruments, tachographs and other allied
equipments for the automobile.
Geographical Segments: The business is organised in two geographic segments i.e.

domestic and exports.
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4.1.5 HONEYWELL
Honeywell manages their operations basically through four major businesses that are reported
as operating segments:
• Aerospace
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Aerospace segment is a leading global provider of integrated avionics, engines,

systems and service solutions for aircraft manufacturers, airlines, business and general
aviation, military, space and other operations.
• Automation and Control Solutions
Automation and Control System is a leading global provider of environmental and
combustion control systems, sensing controls, security and life safety products and
services, scanning and mobility devices and process automation and building
solutions and services for homes, buildings and industrial facilities.
• Speciality materials
Speciality material segment is a global leader in providing customers with high
performance speciality materials, including hydrocarbon processing technologies,
catalysts, adsorbents, equipments and services, speciality materials and electronic
equipments.
• Transportation Systems
Transportation System segment is one of the leading manufacturers of engine
boosting systems for passenger cars and commercial vehicles as well as a leading
provider of automotive care and braking products.
2009 2008 2007

Net Sales
Aerospace 10,763 12650 12,236
Automation and Control
Solutions 12,611 14,018 12,478
Specialty Materials 4,144 5,266 4,866
Transportation Systems 3,389 4,622 5,009
Corporate 1 0 0
(dollars in millions) $ 30908 $ 36556 $ 34589
2009 2008 2007

Segment Profit
Aerospace 1,893 2,300 2,197
Automation and Control 1,588 1,622 1,405
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Solutions
Specialty Materials 605 721 658
Transportation Systems 156 406 583
Corporate (145) (204) (189)
(dollars in millions) $ 4097 $ 4845 $ 4654
Aerospace 2010 Areas of Focus
Aerospace’s primary areas of focus for 2010 include:
• Focus on cost structure initiatives to maintain profitability in the face of challenging

commercial aerospace conditions;
• Aligning inventory, production and research and development with customer demand
and production schedules;
• Expanding sales and operations in international locations;
• Pursuit of new defense and space platforms;
• Continuing to design equipment that enhances the safety, performance and durability
of aerospace and defense equipment, while reducing weight and operating costs;
• Delivering world-class customer service and achieving cycle and lead time reduction
to improve responsiveness to customer demand; and
• Continued deployment of our common enterprise resource planning (ERP) system.
Automation and Control Solutions 2010 Areas of Focus
ACS’s primary areas of focus for 2010 include:
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• Products and solutions for energy efficiency and asset management;

• Extending technology leadership: lowest total installed cost and integrated product
solutions;
• Defending and extending our installed base through customer productivity and
globalization;
• Sustaining strong brand recognition through our brand and channel management;
• Centralization and standardization of global software development capabilities;
• Continuing to identify, execute and integrate acquisitions in or adjacent to the markets
which we serve;
• Continuing to establish and grow emerging markets presence and capability;
• Continuing to invest in new product development and introductions; and
• Continued deployment of our common ERP system.
Speciality materials 2010 Areas of Focus
Specialty Materials primary areas of focus for 2010 include:
• Continue to develop new processes, products and technologies that address energy
efficiency, renewable energy sources, global warming, security regulations and
position the portfolio for higher value;
• Commercialize new products and technologies in the petrochemical, gas processing
and refining industries;
• Drive sales and marketing excellence and expand local presence in fast growing
emerging markets;
• Execution of awarded government stimulus projects and pursuit of additional projects;
• Manage exposure to raw material commodity fluctuations; and
• Prioritize critical investment to increase plant reliability and attainment, productivity,
quality and operational excellence.
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Transportation Systems 2010 Areas of Focus
Transportation Systems primary areas of focus in 2010 include:
• Sustaining superior turbocharger technology through successful platform launches;
• Maintaining the high quality of current products while executing new product
introductions;
• Increasing global penetration and share of diesel and gasoline turbocharger OEM
demand;
• Increasing plant productivity to address capacity challenges generated by volatility in

product demand and OEM inventory levels;
• Aligning cost structure with current economic outlook, and successful execution of
repositioning actions;
• Aligning development efforts and costs with new turbo platform launch schedules;
and
• Continuing global expansion and extension of established strong product brands in

CPG.
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4.1.6 GENRAL ELECTRIC
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Segment Operations
Our five segments are focused on the broad markets they serve:
• Energy Infrastructure
• Technology Infrastructure
• NBC Universal
• Capital Finance
• Consumer & Industrial
Revenues
2009 2008 2007
Energy Infrastructure 37,134 38,571 30,698
Technology Infrastructure 42,474 46,316 42,801
NBC Universal 15,436 16,969 15,416
Caital Finance 50,622 67,008 66,301
Consumer & Industrial 9,703 11,737 12,663
Segment Profit
2009 2008 2007
Energy Infrastructure 6,842 6,080 4,817
Technology
Infrastructure 7,489 8,152 7,883
NBC Universal 2,264 3,131 3,107
Caital Finance 2,344 8,632 12,243
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Consumer & Industrial 400 365 1,034
Energy Infrastructure
Energy Infrastructure segment revenues decreased 4%, or $1.4 billion, in 2009 as higher
prices ($1.3 billion) were more than offset by lower volume ($1.6 billion), the stronger U.S.
dollar ($0.7 billion) and lower other income ($0.5 billion), primarily related to lower earnings
from associated companies and marks on foreign currency contracts. The increase in price
was primarily at Energy. The decrease in volume reflected decreased equipment sales at
Energy, partially offset by increased equipment sales at Oil & Gas. The effects of the stronger
U.S. dollar were at both Energy and Oil & Gas.
Segment profit increased 13% to $6.8 billion, compared with $6.1 billion in 2008, as higher
prices ($1.3 billion) and lower material and other costs ($0.5 billion) were partially offset by
lower other income ($0.7 billion), primarily related to lower earnings from associated
companies and marks on foreign currency contracts, and lower volume ($0.2 billion). Lower
material and other costs were primarily at Energy. Lower volume at Energy was partially
offset by higher volume at Oil & Gas.
Technology Infrastructure
Technology Infrastructure revenues decreased 8%, or $3.8 billion, in 2009 as lower volume
($4.1 billion), the stronger U.S. dollar ($0.4 billion) and an update at Transportation of our
estimate of product service costs in maintenance service agreements ($0.3 billion) were
partially offset by higher prices ($0.5 billion) and higher other income ($0.5 billion),
primarily including gains on the ATI-Singapore acquisition, dissolution of the joint venture
with FANUC Ltd. and the Times Microwave Systems disposition. The decrease in volume
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was across all businesses in the segment. The effects of the stronger U.S. dollar were at
Healthcare, Enterprise Solutions and Aviation. Higher prices, primarily at Aviation, were
partially offset by lower prices at Healthcare. Segment profit decreased 8% to $7.5 billion in
2009, compared with $8.2 billion in 2008, as the effects of lower volume ($1.0 billion) and
lower productivity ($0.4 billion) were partially offset by higher prices ($0.5 billion) and
higher other income ($0.4 billion), primarily including gains on the ATI-Singapore
acquisition, dissolution of the joint venture with FANUC Ltd. and the Times Microwave
Systems disposition. The decrease in volume was across all businesses in the segment. Lower
productivity at Transportation and Enterprise Solutions was partially offset by Aviation.
NBC Universal
NBC Universal_ revenues decreased 9%, or $1.5 billion, in 2009 as lower revenues in our
broadcast television business ($1.1 billion), reflecting the lack of a current-year counterpart
to the 2008 Olympics broadcasts and the effects of lower advertising revenues, lower
revenues in film ($0.8 billion) and lower earnings and higher impairments related to
associated companies and investment securities ($0.4 billion) were partially offset by the gain
relating to A&E Television Network (AETN) ($0.6 billion) and higher revenues in cable
($0.3 billion). Segment profit of $2.3 billion decreased 28%, or $0.9 billion, as lower
earnings in film ($0.6 billion), lower earnings and higher impairments related to associated
companies and investment securities ($0.4 billion), lack of current-year counterpart to 2008
proceeds from insurance claims ($0.4 billion) and lower earnings in our broadcast television
business ($0.2 billion) were partially offset by the gain related to AETN ($0.6 billion) and
higher earnings in cable ($0.2 billion).
Capital Finance
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Capital Finance revenues decreased 24% and net earnings decreased 73% compared with
2008. Revenues in 2009 and 2008 included $3.0 billion and $0.4 billion of revenue from
acquisitions, respectively, and in 2009 were reduced by $4.8 billion as a result of
dispositions, including the effect of the deconsolidation of Penske Truck Leasing Co., L.P.
(PTL). Revenues in 2009 also decreased $14.1 billion compared with 2008 as a result of
organic revenue declines, primarily driven by a lower asset base and a lower interest rate
environment, and the stronger U.S. dollar. Net earnings decreased by $6.3 billion in 2009
compared with 2008, primarily due to higher provisions for losses on financing receivables
associated with the challenging economic environment, partially offset by lower selling,
general and administrative costs and the decision to indefinitely reinvest prior-year earnings
outside the U.S.
During 2009, GE Capital provided $72 billion of new financings in the U.S. to various
companies, infrastructure projects and municipalities. Additionally, we extended $74 billion
of credit to approximately 54 million U.S. consumers. GE Capital provided credit to
approximately 14,200 new commercial customers and 40,000 new small businesses during
2009 in the U.S. and ended the period with outstanding credit to more than 346,000
commercial customers and 174,000 small businesses through retail programs in the U.S.
Consumer & Industrial
Consumer & Industrial_ revenues of $9.7 billion decreased 17%, or $2.0 billion, in 2009
compared with 2008, as lower volume ($2.2 billion) and the stronger U.S. dollar ($0.1
billion) were partially offset by higher prices ($0.2 billion). The decrease in volume primarily
reflected tightened consumer spending in the European and U.S. markets. Segment profit
increased 10% in 2009 as higher prices ($0.2 billion) and lower material and other costs ($0.2
billion) were partially offset by lower productivity ($0.3 billion) and lower other income
($0.1 billion).
4.2 COMMISSIONING/VALIDATION
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4.2.1 GENERAL COMMISSIONING
Commissioning is the formal process of verifying and documenting that the installed SCADA
system complies with and performs in accordance with the design intent, as defined in the
design documentation. Commissioning should be identified as a specific activity requiring its
own planning, scheduling, management and monitoring during the design and construction
process. A commissioning team should be assembled including representatives of all
involved parties.
a. Those represented should include as a minimum:

(1) Government project management
(2) Facility operations
(3) Design engineer
(4) General contractor
(5) Mechanical subcontractor
(6) Electrical subcontractor
(7) System integrator
(8) Installation subcontractor
(9) Major equipment vendors
(10)Reliability engineer
b. Roles and responsibilities of the various parties within the commissioning process
may vary with the agency and the type of project. In some cases, an independent
engineer may be brought in to coordinate and oversee the commissioning process. If
an independent engineer is not used, the design engineer should be retained to oversee
the commissioning process. In either case, certain key components of the program
that must be included for a successful outcome:
(1) A clear definition of the process and the parties’ roles and responsibilities
(Commissioning Plan).
(2) Integration of commissioning activities into the overall project schedule.
(3) An organized system of commissioning documentation.
(4) Development of written testing and verification procedures for every
critical aspect of system performance.
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(5) Review of these procedures by all affected parties prior to testing.

(6) Clear definition prior to testing of the criteria for acceptance.
(7) Procedures for correction and retesting in the case of failure.
c. Projects completed through the Military Construction (Mil Con) process

automatically include commissioning. Facility managers must assure that
commissioning is included in the scope of site initiated projects.
4.2.2 FACTORY ACCEPTANCE TESTING
A factory acceptance test and demonstration should be required in which the controller(s),
I/O, and HMI hardware and software are verified to the extent possible without the actual
field devices.
a. This test should demonstrate the following:

(1) Simulation of all inputs
(2) Operation of all outputs with dummy load
(3) Loop operation
(4) Control sequences
(5) Network communications
(6) HMI screens, displays, and alarms
(7) Operator control functions
(8) Physical and information security measures
b. PLC systems providing control of standby generators and paralleling switchgear

should be factory tested with the switchgear to demonstrate actual operation of the
breakers and other controls with simulated utility and generator voltage and frequency
sources.
4.2.3 INTEGRITY TESTING
Pneumatic lines should be pressure tested per ISA RP 7.1 and checked for obstructions.
Electrical conductors should be tested for continuity and insulation resistance according to
industry standards for their voltage ratings.
4.2.4 CALIBRATION
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Instrument and actuator calibration should be completed prior to loop checkout or startup of
systems. The calibration program should include the following:
a. All sensors, elements, indicators, transmitters and actuators should be calibrated

from NIST traceable standards according to the manufacturer’s instructions.
b. All calibration equipment should have current independent certification of
accuracy.
c. Stroke actuators and verify control action, limits, and end switches.
d. Each calibrated instrument should be field-marked with a waterproof calibration
tag bearing the range, set point, date and calibrator’s initials.
e. An Instrument Certification sheet should be completed for each instrument and
included in the system documentation.
f. A Final Control Element Certification sheet should be completed for each control
valve and included in the system documentation.
4.2.5 LOOP VERIFICATION
The wiring of each control loop should be physically verified from the field device terminals
to the controller.
Cable, conductor, terminal board and terminal designations should be verified and marked off
as such on a copy of the loop diagram or equivalent schematic or wiring diagram.
Verification should be by signal tracing, continuity verification, or “ringing out”. Tags and
labels placed during construction should not be considered adequate verification.
a. Each control loop should be verified by injection of an appropriate pressure,

voltage, or current signal. Use actual signals where available.
(1) Closely observe controllers, recorders, alarm and trip units, remote
setpoints, ratio systems, and other control components. Make corrections as
required. Following any corrections, retest the loop as before.
(2) Stroke all control valves, cylinders, drives and connecting linkages from
the local control station and from the control room operator interface.
(3) Check all interlocks to the maximum extent possible. In addition to any
other as-recorded documents, record all setpoint and calibration changes on all
system documentation.
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b. All analog loops should be tuned for optimum response using a closed-loop tuning
method and the resulting gain, reset and rate recorded on the loop checkout sheet.
c. A Control Loop Checkout sheet should be completed for each loop.
4.2.6 FUNCTIONAL PERFORMANCE TESTING
Performance testing of all systems should be performed to verify compliance with the
specified sequences of operations and control diagrams. Functional performance testing
consists of executing written step-by step procedures in which a condition is initiated or
simulated and the response of the system is noted and compared to the specified response.
Functional performance tests must verify the following:
a. Manual and automatic control modes.
b. Normal system conditions and modes of operation.
c. Contingency conditions and modes of operation.
d. Effect of all operator controls.
e. Operation of all interlocks and permissives.
f. Confirmation of failure state of all outputs.
g. Physical and information security measures.
4.2.7 SOFTWARE INTEGRITY
It is common for PLC programming errors to be identified during functional performance

testing of SCADA systems. Typically these are easily corrected by revising the program logic
via a laptop computer and testing is then continued. It is also common for unforeseen
circumstances to dictate that a change be made to the specified sequence of operation in the
field, again easily implemented by changing the PLC logic. These common startup processes
contain the serious risk that a change made to correct misoperation at one point in the PLC
control sequence may inadvertently affect the performance of other control sequences that
have already been tested and accepted.
4.2.8 RE-COMMISSIONING
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Whenever all or part of a SCADA system is modified, repaired or replaced, re-

commissioning is required to verify that the portions of the system affected function correctly
and that the work has not affected other portions of the system. The extent of re-
commissioning required should be determined from the extent of the modifications.
a. For work that affects only devices and wiring external to the controller, the affected
loops should be verified and functionally tested.
b. For changes to controller program logic or settings, the entire process or subsystem
supported by that controller should be functionally tested, and the interface to the
supervisory level HMI verified.
c. More extensive modifications may require re-commissioning of the complete
SCADA system.
d. Functional performance testing for system certification must take place without
operator intervention in the processor from beginning to end of the test. For this
reason it is highly recommended that a complete pre-test be conducted, using the full
functional performance test procedure, prior to undertaking the certification test.
4.2.9 INSTRUMENT CERTIFICATION SHEET
Prior to functional performance testing, all sensors and instruments should be calibrated and
documented using an Instrument Certification Sheet. Each Instrument Certification Sheet
should include four sections:
a. Description of the Instrument such as Tag Number and Description;
b. A table to record the calibration of Transmitters and Indicators;
c. A table to record the calibration of Process Switches;
d. A list of the Calibration equipment used.
e. Instrument Description: The Instrument Description section should include the
following information:
(1) Project name
(2) Project location
(3) Project number
(4) Certifier’s name
(5) Certification date
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(6) Control loop number

(7) Drawing references (such as P&ID, wiring diagram, etc.)
(8) Instrument tag number
(9) Instrument Description
(10) Instrument location
(11) Instrument manufacturer
(12) Instrument model number
(13) Instrument serial number, if applicable
(14) Instrument range
(15) Instrument setpoint and deadband (for switches)
f. A record of the transmitters and indicators calibration should contain the following
data for both increasing and decreasing input signals at 0, 25, 50, 75 and 100 percent
of span.
(1) Input value
(2) Output value
(3) Error
g. A record of the process switches calibration should contain the following data for
both increasing and decreasing inputs at all setpoints:
(1) Setpoint value
(2) Operate value
(3) Error
h. Calibration equipment: The certification sheet should include the following
information on the calibration equipment used.
(1) Type of Device
(2) Manufacturer and Model Number
(3) Accuracy
(4) NIST Traceability (Yes/No)
i. Definitions:
(1) Input: the process value
(2) Output: the measured value of the switch actuation point
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(3) Span: the difference between the Maximum and Minimum value of the
instrument
(4) Error: [(Output – Input) / Span] x 100%
4.2.10 FINAL CONTROL ELEMENT CERTIFICATION SHEET
Valve actuators and other final control elements should also be calibrated and documented. A
final control element certification sheet should include four sections:
a. Description of the final control element such as tag number and description
b. A table to record the calibration of the I/P (current to pneumatic) converter, if
applicable
c. A table to record the calibration of the final control element
d. A list of the calibration equipment used
e. The final control element description section should include the following
information.
(1) Project Name
(2) Project Location
(3) Project Number
(4) Certifier’s Name
(5) Certification Date
(6) Control Loop Number
(7) Drawing References (such as P&ID, Wiring Diagram, etc.)
(8) Control Valve Tag Number
(9) Control Valve Description
(10) Control Valve Location
(11) Control Valve Manufacturer
(12) Control Valve Model Number
(13) Control Valve Serial Number, if applicable
(14) Control Valve Actuator (Pneumatic or Electric)
(15) Control Valve Positioner (Direct or Reverse), if applicable
(16) Control Valve Positioner Input and Output Signal, if applicable
(17) Control Valve I/P Converter Input and Output Signal, if applicable
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(18) Control Valve Failure Mode (open or close) on air failure, if applicable
(19) Control Valve Failure Mode (open or close) on power failure, if
applicable
f. A record of the I/P (current to pneumatic) converter calibration should contain the
following data for both increasing and decreasing inputs at 0, 25, 50, 75 and 100
percent of span:
(1) Input value
(2) Output value
(3) Error
g. A record of the final control element calibration should contain the following data
for both increasing and decreasing signals at 0, 25, 50, 75 and 100 percent span:
(1) Input value
(2) Output travel (position)
(3) Error
h. The certification sheet should include the following information on the calibration
equipment used.
(1) Type of Device
(2) Manufacturer and Model Number
(3) Accuracy
(4) NIST Traceability (Yes/No)
i. Definitions:
(1) Input: the control signal from the controller (PLC)
(2) Output: the measured value of the valve controller to the valve
(3) Travel: the valve percent open (not all valves are linear)
(4) Error: [(Output – Input) / Span] x 100%
4.2.11 CONTROL LOOP CHECKOUT SHEET
The control system integrator should perform loop checkouts for each control loop in the
system and provide suitable documentation certifying that the loop is tuned and operating
properly. The control loop checkout sheet should have a section verifying each of the six
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steps described below. When this has been verified and signed off, the functional
performance testing (FPT) can be started.
a. Verify Mechanical Field Installation; that are no leaks;

(1) Motors and Pumps
(2) Valves and Dampers
b. Verify that all instruments are calibrated correctly for the specified ranges and
setpoints;
(1) Pressure instruments
(2) Flow instruments
(3) Level instruments
(4) Temperature instruments
(5) Analysis instruments
c. Verify Electrical power wiring;
(1) Incoming power sources for proper voltage
(2) Field cables properly installed and identified
(3) Circuit breakers sized and operating correctly
(4) Fuses sized correctly inside control panels
d. Verify control system Input and Output wiring;
(1) Digital (switch) inputs
(2) Digital (on/off) outputs
(3) Analog (transmitters) inputs
(4) Analog (VFD’s, valves, and meters) outputs
e. Verify software logic is complete;
(1) Correct programs are loaded
(2) Factory Acceptance Test (FAT) thoroughly completed
(3) Software Management Practices in place
f. Verify HMI (or OIT) points and displays are complete;
(1) Graphic screens and screen navigation
(2) Alarm screens and operator actions
(3) Trend Displays and Data Archiving configured properly
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g. The software logic and HMI/OIT should have been verified during the factory
acceptance test.
h. The Control Loop Checkout Sheet should have a section verifying each of the steps
describe above.
When this has been verified and signed off, the Functional Performance Testing can
be started.
4.3 MAINTENANCE PRACTICES
4.3.1 GENERAL MAINTENANCE
A comprehensive maintenance program is critical to attaining long-term reliable performance

of SCADA systems. Periodic device calibration, preventive maintenance, and testing allow
potential problems to be identified before they can cause mission failure. Prompt corrective
maintenance assures reliability by minimizing downtime of redundant components.
4.3.2 PREVENTIVE MAINTENANCE
The SCADA system should be part of the overall preventive maintenance (PM) program for
the facility. Preventive maintenance schedules for SCADA components and subsystems
should be coordinated with those for the mechanical/electrical systems they serve to
minimize overall scheduled downtime.
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a. Many components of SCADA systems, such as dead-bus relays, are not required to
function under normal system operating modes. For this reason the system should be tested
periodically under actual or simulated contingency conditions. These tests should approach as
closely as possible the actual off normal conditions in which the system must operate. For
example, SCADA for standby generator plants should be tested by interrupting the utility
source as far upstream of the normal service as possible.
b. Periodic system testing procedures can duplicate or be derived from the functional
performance testing procedures.
c. The SCADA software maintenance should include timely updates of any new versions
from the supplier and testing to verify proper installation on the SCADA computer. In
addition, software antivirus updates should be maintained. This should be performed any
time after the computer is connected to the Internet. Normal operation requires that the
SCADA computer not be connected to the Internet.
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d. Electrical power systems, both AC and DC, serving SCADA systems should be
maintained in accord with the requirements of TM 5-692-1 and NFPA 70B.
4.3.3 CONCURRENT MAINTENANCE
Concurrent maintenance is defined as testing, troubleshooting, repair or replacement of a

component or subsystem while redundant component(s) or subsystem(s) are serving the load.
The ability to perform concurrent maintenance is critical to attaining the specified
reliability/availability criteria for C4ISR facilities and must be designed into the SCADA
system. Where SCADA components are associated with equipment that has redundancy and
therefore are not themselves redundant, their maintenance should be scheduled to occur
during maintenance of the associated equipment. SCADA components and controllers that
are redundant must be capable of being taken out of service, repaired or replaced and tested
without interfering with the operation of the redundant component.
4.3.4 RELIABILTY CENTRED MAINTENANCE
Reliability-Centered Maintenance (RCM) is an approach for developing an effective and

efficient maintenance program based on the reliability characteristics of the constituent parts
and subsystems, economics,and safety. RCM provides a logical, structured framework for
determining the optimum mix of applicable and effective maintenance activities needed to
sustain the operational reliability of systems and equipment while ensuring their safe and
economical operation and support. RCM has changed the approach to preventive
maintenance, and can be considered the “next step” in moving from a trial and error based
approach to establishing PM frequencies to an intelligent approach to maintenance planning.
A significant by-product of the application of SCADA systems to the control of C4ISR
facilities is the large amount of operational data made available through the trending and data
storage features of the SCADA. This operational data can be used for automated performance
monitoring of mechanical and electrical systems that can support a RCM approach.
4.3.5 OPERATIONS AND MAINTENANCE DOCUMENTATION
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The design agency should perform an O&M analysis to determine the O&M data required to
support maintenance of the SCADA system by the using government agency. This analysis
should be coordinated with the using government agency to determine maintenance
parameters and O&M data that are available to the using government agency. Typical O&M
data requirements include the following items:
a. System documentation as defined in chapter 10.
b. Minimum spare parts list.
c. Recommended spare parts list.
d. Recommended onsite test equipment.
e. Recommended O&M training.
f. Recommended O&M to be performed by contract.
4.3.6 SPARE PARTS STOCKING
An adequate on-site stock of spare parts is essential to obtaining high availability of SCADA
systems.
Reliability calculations demonstrating compliance with “six nines” criteria typically use
repair times based on “replace with spare” which are shorter than those for “repair failed
component”. If on-site stocks are inadequate, actual availabilities will be significantly less
than these calculated values.
a. Minimum recommended stocking levels include the following. These quantities
may need to be increased for components which are used in large numbers in the
facility:
(1) Manufacturer’s recommended spare parts list.
(2) One each of all line replaceable boards or modules.
(3) Six each power and control fuses used in the system.
(4) Tools required to terminate coaxial on fiber optic cables.
b. Specifications should also require that the following be furnished with each
system:
(1) Laptop computer loaded with software required to access controllers.
(2) Licenses for all software installed on the system.
(3) Permission to modify program code.
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(4) Spare cables for connecting computer to controllers.
4.3.7 TECHNICAL SUPPORT
The design agency should specify functional areas of the operating system and/or equipment
where a technical representative will be furnished by the manufacturer for training, test,
checkout, validation, or pre-operational exercises. Ongoing O&M of SCADA system
software may require technical support from the system vendor or from agency technical
personnel not located at the facility. Commercial SCADA software typically has provisions
for remote modem access that permit this type of support from the vendor’s location or an
agency central engineering group. Such remote access provisions represent a vulnerability to
“hacking” and must be used with great caution. They should be monitored when in use and
physically disconnected when not in use. PLC suppliers have indicated that they are unable to
provide a firewall that will protect the controller program in the event of unauthorized access
to the HMI processor.
Password protection policies for all SCADA systems, including PLC’s, shall be in
compliance with established DoD policies. The DoD policy is established by the Chairman of
the Joint Chiefs of Staff Instruction (CJCSI) 6510.01 D, Information Assurance (AI) and
Computer Network Defense (CND).
These policies require that the default password that came from the control supplier be
changed when placed into operation at the facility.
4.4 DOCUMENTATION AND CHANGE CONTROL
4.4.1 GENERAL
Complete and accurate documentation is critical to the commissioning and ongoing

maintenance and operation of a SCADA system and should be a high priority of design
contract administration.
a. SCADA system documentation provided by the system designer and/or system
integrator should include the following:
(1) One-line diagrams
(2) Process and instrumentation diagrams (P&IDs)
(3) Sequences of operation
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(4) Instrument data sheets

(5) Points list
(6) Loop diagrams or I/O wiring diagrams
(7) Binary logic diagrams
(8) Control schematics
(9) PLC program listing
(10) HMI description (screen prints and database)
(11) Software configuration management documentation
(12) Facility physical and information security policies
b. All SCADA documentation should be furnished in both hard copy and appropriate
electronic format.
Electronic format should be capable of revision; i.e. scanned documents or portable
document format (pdf) files are not acceptable, although pdfs may be submitted as
archive copies in addition to revisable files.
c. All system documentation for C4ISR facilities should be treated as sensitive and
this applies to SCADA system diagrams and documentation as well. At a minimum,
document security measures should include:
(1) Marking all documents For Official Use Only (FOUO)
(2) Controlling access to documents
(3) Properly destroying outdated or unused documents
4.4.2 SYMBOLS AND IDENTIFICATION
Individual control loops should be identified by loop number following the convention
established by ISA S5.1. Each instrument, actuator and control point should have a unique
tag number incorporating the loop number and identification letters per table 1 of ISA S5.1.
All equipment and instruments should be consistently identified by their complete tag
number on all drawings and points lists.
4.4.3 PROCESS AND INSTRUMENTATION DIAGRAM (P&IDs)
P&IDs should be provided for all mechanical systems. P&IDs should depict all components
of mechanical systems including vessels, pumps, compressors, chillers, heat exchangers,
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piping, valves and instruments and the control relationships between them. Symbols used
should comply with ISA S5.1 – Instrumentation Symbols and Identification and ISA 5.3 -
Graphic Symbols for Distributed Control/Shared Display Instrumentation, Logic and
Computer Systems.
4.4.4 SEQUENCE OF OPERATIONS
Written sequences of operation should be provided for all control loops.

a. Sequences of operation should include the following minimum information:
(1) Manual and automatic control modes;
(2) Normal system conditions and modes of operation;
(3) Contingency conditions and modes of operation;
(4) Effect of all operator controls;
(5) Description of all interlocks and permissives;
(6) Identification of failure state of all outputs.
4.4.5 INSTRUMENT DATA SHEETS
Instrument data sheets should be provided per ISA S20.

Points list
A points list should be provided that includes all real and virtual input, output and control
points.
a. Provide the following information, where applicable, for each point:
(1) System
(2) Equipment
(3) Loop number
(4) Tag number
(5) Controller, rack and slot
(6) Point type
(7) Field location
(8) Range
(9) Failure state
4.4.6 LOOP DIAGRAMS
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Loop diagrams define the physical wiring for each loop from each instrument or actuator to
the controller. All field devices, terminal boards, junction boxes, etc. are depicted along with
the signal type and range. These drawings are the basis for verification of all SCADA system
field wiring, instrument calibration, and loop tuning. All devices, terminals, cables and
conductors must be completely identified on the loop diagrams per ISA S5.4 – Instrument
Loop Diagrams.
4.4.7 BINARY LOGIC DIAGRAMS
Binary logic diagrams are flowcharts that depict all discrete logic using Boolean logic
symbols. Logic diagrams should comply with ISA S5.3 – Binary Logic Diagrams.
4.4.8 CONTROL SCHEMATICS
Control schematics show the interface between the SCADA system and the internal wiring of
related equipment such as motor starters, pump control panels, generator control panels, etc.
Proper development of control schematics requires a significant effort on the part of the
SCADA system integrator because the standard drawings provided by manufacturers of these
related system drawings are typically inconsistent in format, symbols and content, requiring
that they be redrafted by the integrator to provide an integrated documentation package.
Symbols used on control schematics should comply with the previously referenced ISA
standards and ANSI Y14.15. – Electrical and Electronic Diagrams.
4.4.9 PLC PROGRAM LISTING
A documented listing of the complete program of each PLC should be provided.

Documentation should consist of an English-language description of the function of each
logic rung inserted into the listing.
4.4.10 CHANGE CONTROL
All SCADA documentation should include creation date, issue date, revision data, and
revision history in a format that is consistent across all documents. A document database or
spreadsheet should be maintained that provides a current listing of all documents and their
revision status.
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a. The database should include the following:

(1) Document Type
(2) Document Number
(3) Page Number
(4) Sheet Number
(5) Title
(6) Current Revision
(7) Revision Date
b. Each submittal of SCADA documentation should include an updated submittal of
the document database. The database should be provided in electronic format and
maintained on an ongoing basis by the facility manager after system commissioning.
All changes made to the system should be promptly reflected by revising the
documentation and the database and distributing copies of the revised documentation
and updated database to the field.
CHAPTER 5
CONCLUSIONS
5.1 HCLs INFOSYSTEMs SCADA
5.1.1 HCL VERTICALS FOR SCADA IMPLEMENTATION
5.1.1.1 HEALTHCARE SECTOR
SCADA Software can be installed in many hospitals and research facilities in order to
ensure the continuous monitoring of all medical devices providing a steady and controlled
temperature (refrigerators, freezers, ..) and to guarantee the conservation for a long time
of special tissues and materials; any operational abnormal condition is immediately
recognized and filtered according to user settings; in case of persistent anomalies an
alarm is created that, depending on its gravity, can be related with a local signal (siren,
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lamp, ...) or broadcast via SMS to a maintenance technician cellular phone; a TCP/IP
network can provide all data related to devices functionality and organic material
conservation to one or more client analysis stations; at defined time interval or at user
request.
HCL's current Focus areas
HCL offers end-to-end turnkey solutions to our customers in the 'Healthcare' domain.
Listed below are the areas on which we provide our services as a System Integrator.
Hospital Management Information Software (HMIS) Application:
➢ Design, Development & Customization of HMIS application as per approved SRS
& BPR document.
➢ Deployment of Integrated HIS with Data mining tool.
➢ Data Migration/Porting from Existing/Legacy Application (HIS)
➢ Support during Warranty
5.1.1.2INFRASTRUCTURE
➢ Airports
• An advanced Supervisory Control and Data Acquisition (SCADA) system

can be used at the Airports to control runway lighting. Unlike conventional
airport control applications, the SCADA system can be directly operated
from the airport's control tower.
• With increasing passenger volume and stricter legal provisions, baggage
handling at airports requires maximum logistical performance. SCADA
Systems can be used to automate and control the baggage management
system at any airport in a very efficient manner.
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• SCADA System can also be used for the airport fuelling system that
handles barge and ship receiving, mainline pump control, tank inventory,
valve manifold control, ESD, jetty mainline metering/proving, interface to
leak detection system, distribution pump control, hydrant and truck rack,
fire and safety systems.
➢ Railways
Indian Railways can use SCADA system for monitoring and control of Traction
Power system which is responsible for providing power to the electric trains. The
following railways specific applications can be implemented:
• Auto Fault Localization
• CB Tripping reports
• Power Block
• Maximum demand handling
HCL's current Focus areas

IT enablement through solutions on reservation terminals, setting up Data centres,
creating WAN networks, development and rollout of e-Procurement solution for
optimizing the stores operations and ease to vendors, Setting up Automatic Ticket
vending machines infrastructure for unreserved ticketing system, Providing energy
management solutions for reducing energy consumption.
5.1.1.3 HOMELAND SECURITY
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SCADA Systems can be used for the Homeland Security in the following areas:
Fleet Management
Fleet management is an all-inclusive urban public transit management solution which
enables you to plan your operations on strategic level, model routes and schedules
while providing you with intuitive insight into the status of routes in progress – just
what you need to improve the efficiency and timeliness of daily operations.
City Surveillance
It is the process of monitoring the behavior of people, objects or processes within city
for conformity to expected or desired norms in trusted systems for security or social
control. The purpose of the project is to investigate and generate better public
understanding of the practices, programs and systems used to screen in order to assess
the scope and depth of their concrete impacts on civil liberties, privacy rights and
mobility rights. This basically makes the security personnel to be OMNIPRESENT in
places where they do not need to be physically.
Red Light Violation Detection:

This system includes inductive loops which are placed in a roadbed to detect vehicles
as they pass over the loop by measuring the vehicle's magnetic field. The simplest
detectors simply count the number of vehicles during a unit of time (typically 60
seconds ) that pass over the loop, while more sophisticated sensors estimate the speed,
length, and weight of vehicles and the distance between them. As the right light is
violated by the person, it will be highlighted to the control room.
5.1.1.4 TRANSPORT MANAGEMENT SYSTEM
SCADA System is important for maintaining good traffic and road conditions,
improve the monitoring of traffic flow, as well as rush hour traffic management,
safety signs and emergency alarm systems.
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Firstly, the SCADA System has to provide a fast and reliable, high quality, data
transfer solution over long geographical distances. The second key factor was to
overcome the mountainous area around the Indian terrain. Wireless SCADA System
is the best and the most cheap option for the implementation of the SCADA System.
SCADA System can also be used for keeping a track of the efficient management of
the Toll Plaza.
5.1.1.5 POWER SECTOR
➢ HCL Offerings to Power Field Automation to address IT automation of

commercial, technical and operational functions & ERP for corporate level
functions
➢ Energy Audit services
➢ Advance Metering Infrastructure
➢ Smart Grid Technology
➢ Automated Meter Reading Systems
➢ LT SCADA
5.2 PROJECT PLANNING AND IMPLEMENTATION
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5.2.1 GENERAL PLANNING

This chapter has two objectives: to outline the basic process and key issues in planning,
design, construction and commissioning of a SCADA project; and to summarize key points
from the rest of the technical manual in a way that can serve as a checklist for the facility
manager during the implementation process. All project management methodologies involve
breaking a project down into phases, usually with approval gateways at the end of each
phase. A further breakdown into tasks is used to produce a work breakdown structure (WBS).
Typical Project Management Phases of a Typical SCADA project
• Identification.
• Initiation.
• Definition.
• Design.
• Acquisition.
• Project Closeout.
5.2.1.1 IDENTIFICATION
1. Identify need
2. Prepare Preliminary estimate. Costs to within (-50+100%)
3. Obtain approval for funds or resources to proceed to the next phase. This phase is
normally informal, and does not require a lot of resources
The identification of need may have arisen out of some other activity e.g. development of
Corporate Strategies, review of plant condition, or from the aftermath of coping with a
major incident.
Typically SCADA will be required for some of the following reasons:
• To reduce power costs.
• To reduce staffing.
• To reduce future capital requirements.
• To improve level of service.
• To avoid environmental incidents.
• To comply with regulators requirements.
• It may not be possible to run the business without SCADA.
• To obtain a competitive edge
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• To replace an existing aging system

Often SCADA is not rigorously justified but simply required by management as being
part of the way management want to run the business. This may be the best way, as often
substantial resources are consumed attempting to provide a justification for SCADA, and
it is extremely common that after the system is installed, unexpected benefits arise that
overwhelm the originally predicted benefits. In addition, the benefits may arise because
of SCADA and several other key initiatives which are proceeding in parallel eg business
re-engineering and it is impossible to separate the benefits of SCADA from the benefits
arising from other initiatives.
In any event the decision as to whether to proceed with SCADA will often arise directly
out of the management philosophy. A progressive management will create a climate in
which staff will actively seek ways in which to improve the productivity of the
organisation. In other organisations, every such proposal will be treated with sceptism.
The key to this is for management to have developed a vision of how they want the
organisation to run in the future. If they have this, then it is likely this will encompass
automation, SCADA etc in order to become more efficient.
This phase is a crucial one in any SCADA project. It is here the business case for the
project is fleshed out to determine initial feasibility. The scope of the project is essentially
defined at this point. For example if you do not look at the benefits of use of off peak
electricity tariffs to reduce pumping costs, it is unlikely you will include this in the
SCADA project at a later date.
5.2.1.2 INITIATION
1. Validate project need
2. Establish concepts and scope
3. Establish Summary Work Breakdown Structure
4. Conceptual estimate (-30 to +50%)
At this stage some small amount of funding has been approved to undertake the
preliminary investigations, and prepare a preliminary project management plan. It will be
necessary to firm up on the scope, identify the main technologies to be used, and gain
agreement and approval of the potential users of the system. Sufficient work needs to be
done to enable a cost estimate to be prepared that is accurate to within -30 to +50%.
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Similarly sufficient work needs to be done to establish the benefits of the system to
enough accuracy to convince management to give approval to proceed to the next phase.
A common mistake at this point is to go into too much technical detail. It is surprising
how often detailed I/O listings for example are produced at this stage. The work at this
stage should be concentrating on the functional (or user) requirements, and the
technological requirements should only be looked at to the point of enabling cost
estimates to be produced (and only to within -30 to +50%).
The emphasis should be on ensuring that there is a common understanding within the end
users of what functionality the system will provide. If the system is being introduced to
improve productivity, then it is important that user management understand how they can
use the SCADA system to change work practices.
It is important at this stage that the project team include someone from the end user part
of the organisation to begin to build a sense of ownership of the system. This involvement
should continue throughout the project so that the system can be handed over on
completion to an operator who is committed to using it to its full potential.
Although the work should be concentrating on the functional requirements, it is necessary
to keep an eye on the technical capabilities offered by suppliers as "off the shelf" in your
industry. Restricting the amount of custom software that the system will require is
probably the biggest single action you can take to reduce costs, risks, and minimise the
project timeframe.
Some preliminary idea of the contracting strategy will have been developed e.g. to use
consultants, to use design and construct contracts (recommended) and so on. This can
have a substantial impact on costs and in particular a decision to use consultants requires
funding to proceed to the next phase.
The decision to use consultants must be taken with care. A consultant may have
preconceived ideas as to how the project should be managed. Some decisions such as the
use of design and construct contracts may not be in consultants interests, as they may
wish to carry out the design for example. They can normally point to a track record of
"success" for their approach. Care must be taken in the selection of the consultant to
ensure that you get what you want. Therefore you must be clear as to what your priorities
are before selecting the consultant. Do you want to take a low risk approach to your
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SCADA acquisition to avoid purchasing an expensive boat anchor. If so, then an

approach which stipulates extensive testing at all phases of the contract may be best for
you. Involvement of consultants in the design gives a second perspective. Most
consultants are comfortable with this approach (low for them too). If however you want a
low cost solution, and are comfortable with the technology, then design and construct
contracts are for you. Be sure to select a consultant who is familiar with this contracting
approach.
5.2.1.3 DEFINITION
1. Appoint key team members

2. Establish a preferred option (if not already done)
3. Develop baseline and schedules for project management
4. Assess risks
5. Studies (eg value management, economic)
6. Develop contracting strategies Develop implementation strategies
7. Definitive estimate (-15 to +25%)
8. Go/No-go decision
At this stage the project is starting to get serious. A project team is in place, and
organisational and reporting processes are established. The scope is being finalised
(which sites, which functions, etc). Firm decisions are being made on contracting
strategies such as design and construct, etc.
The work at this stage should still be concentrating on the functional (or user)
requirements, and the technological requirements should still only be looked at to the
point of enabling cost estimates to be produced) and only to within -15 to +25%). Site
audits should normally be conducted at this stage to avoid nasty surprises in the future.
It is important at this stage to firmly identify the benefits of the system, and to develop
"benefit realisation plans". These plans will identify exactly how the proposed benefits
will be realised ie what changes will be made to existing processes to achieve the
intended benefits. This will give management confidence that the investment is going to
be worthwhile.
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As the project is about to proceed to design, it is important that the contracting strategies
are firmed up. The trends are towards increasing use of design and construct contracts.
These are highly recommended, and will reduce costs substantially. In the past it has been
common to engage a consultant (or to do "in-house") to do the design, and then tender for
a system based on this design. This meant the SCADA supplier was told how the system
was to be put together, and in effect he was somewhat absolved of responsibility. If it
didn't work, then it was an additional cost for him to fix up someone elses mistakes.
Bundling all parts of the system into a single contract (communications, instrumentation,
RTU's and SCADA system ) and using a design and construct approach can substantially
reduce costs and increase the chance of the project being delivered on time. In effect you
are minimising the numbers of interfaces between designer and supplier, between
communications and SCADA, etc, and allowing the SCADA supplier to organise the
project in the most efficient manner for him. It is important that if you are going to use
design and construct contracts, you still don't do the design. Your contract for example
should not mandate the communications design to be used, but should lay down some
guidelines eg must be radio, x numbers of RTU's per repeater, reliability required, must
have diagnostic facility built in, and so on. The so-called "go-no go" decision at the
completion of this phase is probably the last serious chance that the project can be
stopped.
5.2.1.4 DESIGN
• Design Reviews
• Definition Report Reviews
• Funds Justification
• Design Estimate -10%+10%
If using a design and construct approach, then this phase normally involves preparing the
specification, and developing tender evaluation plans. It is probable that a prequalification
phase could proceed at this time to overlap the tender preparation, and the
prequalification phases. (Prequalification is used to preselect reputable tenderers who
have a proven track record in this field, and should always be undertaken.
Prequalification allows the selection of potential suppliers before they have submitted a
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priced quotation, ie on the basis of their capability and experience. Without

prequalification you run risks of having to reject inappropriate tenderers in the tender
evaluation, and if your tender documents are not well prepared you can wind up in a
difficult position.)
A key decision in the tender documents is the extent of testing specified. In the 1980's
contracts routinely specified Factory Acceptance Tests, Commissioning tests, Site
Acceptance tests, and so on. This was required because the technology was new,
expensive and the separation of design and acquisition meant there was a great deal of
customisation. The modern approach is to use design and construct contracts, and pay for
performance. A functional test at the end is all that is required from the perspective of the
purchaser. If the supplier wants to run factory acceptance tests, then that is his business. I
have been told by one supplier that 80% of contracts no longer specify factory tests.
5.2.1.5 ACQUISITION
1. Specification and working drawing preparation

2. Pre-construction estimate(after receipt of tenders) -5%+5%
3. Procurement
4. Construction
5. Off-site fabrication
6. Commissioning
7. Practical completion
Under design and construct contracts, all the detailed work is carried out by the
supplier(s). The vendors basically resist all suggestions to split the work. e.g. one contract
for the communications network, one for the SCADA. Every time you split the work, you
are taking the risks. If the radio system does not perform, are you sure the radio
contractor is responsible? If it meets your specification, then you have problems with
both contracts.
The key players at this stage are
• The supplier's project manager
• The contract superintendent
• The project manager
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The success of the project will depend on all three performing.

In this phase the project will go through a number of phases:
• Design (culminating in a design report from the supplier for approval)
• Configuration of SCADA master software
• Development of custom software
• Assembly of RTU's in factory, and testing
• Field installation of instrumentation, communications, and RTU's
• Commissioning
• Site acceptance testing
• Customer training
Subsequent to this, the system normally has a defects liability period, and beyond that
maintenance must be contracted for.
5.2.1.6 PROJECT CLOSEOUT
1. Project Final report

2. Closeout of any outstanding defects and nonconformities
3. Final completion
4. Post implementation review (PIR) as required
The post implementation review is something that is probably rarely undertaken, but
should be a mandatory part of all projects. It is important that an assessment be made of
how well the system is meeting the organisations needs as they are now understood. What
needs to be done now to remedy these "faults"? Remember as far as the contractor and
project team are concerned, these are not faults - the system has been delivered as
specified.
If it is likely that your organisation will be undertaking future SCADA projects, then the
PIR can be used to document any lessons learnt to avoid repeating the same mistakes.
5.2.2 PROJECT TEAM SELECTION
The following key personnel or their representatives make up the recommended project
implementation team. Although time commitment and degree of involvement will vary with
the stage of the project, all team members should be involved from the planning stage and
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remain in the communications loop throughout the duration of the project. It is a mistake to
delay the involvement of maintenance staff or the commissioning agent until the end of the
design stage or the construction stage; making changes at this late stage based on their input
will undoubtedly impact schedule and cost.
a. Project manager
b. Facility manager
c. Operations and maintenance manager
d. Controls technician
e. Mission commander
f. Utility system designer(s)
g. SCADA system designer
h. Physical security specialist
CHAPTER 6
RECOMMENDATION
6.1 HCL STRATEGY FOR SCADA
The far-reaching impact of new technologies and quantum change in the way companies are
restructuring and streamlining business processes are transforming the global Supervisory
Control and Data Acquisition (SCADA) market. The worldwide market for SCADA systems
for the oil and gas industry is expected to grow at a compounded annual growth rate (CAGR)
of 9.3% over the next five years. The market was nearly $850 million in 2007 and is
forecasted to be over $1.3 billion in 2012, according to a new ARC Advisory Group study.
The latest SCADA systems encompass a new generation of technology components. These
new generations of SCADA components are easier to integrate and provide vastly improved
capabilities and functionalities. SCADA systems are now being considered in a wide range of
applications and true business processes for a variety of purposes, including business
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performance management thus providing ample opportunity for a new player to exploit the
profits in the different verticals related to this sector.
6.1.1 MARKET OVERVIEW
ARC has analyzed the SCADA market by geographic region, project size, and component
type, including hardware, software, and services. The worldwide SCADA market is
expanding as upstream development and new production occurs in remote and newly
developed regions, and the existing energy infrastructure utilizes the enhanced functionalities
of SCADA to improve its core business processes of managing global disparate assets.
Global demand for energy in the form of oil and gas is driving both exploration and
production activities of the oil and gas industry. New SCADA technology enables energy
companies to conduct their business in remote and increasingly hostile environments.
Exploration activities and new production fields are developed, monitored, controlled, and
optimized globally using advanced technologies including SCADA.
The energy sector in developed regions is using SCADA as a core technology to support new
business processes in response to changing industry dynamics. Developing regions are seeing
increased exploration and production activities for which SCADA is used to link the
geographically separated facilities. SCADA will be at the core of technology adoptions as the
world economy strengthens and as the industry moves to improve business processes to meet
growing energy demand and economic challenges. In both the upstream and midstream
portions of the oil and gas industry, SCADA will play an increasingly important role in the
real-time dissemination of knowledge and management control of assets.
6.1.2 STRATEGIES FOR SUCCESS
Strategic planning for energy investments and the transition of the operation and management
of existing assets to incorporate new advances in technology is critical. Challenges and issues
the energy industry must address include:
• Tightening integration of business processes to midstream oil and gas operational
systems such as SCADA;
• Migration planning to enable efficient transition of legacy systems to meet new
demands from all stakeholders;
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• Updating and automating older fields, the coming of age of the digital oilfield, and the
proliferation of intelligence to all levels of physical assets on a global basis;
• Implementation of Asset Lifecycle Management programs and regulatory compliance
initiatives such as integrity management, and
• Increasing concern over security and environmental issues.
Energy industry operating firms are seeking ways to become more responsive to the demands
of all stakeholders. SCADA suppliers can play a major role by providing solutions. SCADA
systems are an enabling technology that can help to change the way energy companies
restructure business processes to respond to market dynamics with real-time knowledge flow.
With change come opportunities. There are a number of strategies that ARC recommends to
suppliers and users of SCADA systems and components to maximize their potential in the
changing marketplace. Here is a closer look at three of the strategies.
6.1.2.1 INTEGRATION OF BUSINESS AND MIDSTREAM SYSTEMS
Suppliers must develop a SCADA system that can be fully integrated with corporate business
systems. Energy companies are increasingly looking for a total solution, integrating SCADA
systems with other systems at the plant level and with higher level corporate business
systems. SCADA system design must go beyond plant systems that are open, modular, and
provide for simplified connectivity to other control systems.
For a SCADA system to be marketable, it is becoming necessary to be able to communicate
with business systems throughout a company. These systems include an ever-expanding
number of outside systems that typically reside in an extended supply chain. To be
competitive, suppliers must show how their SCADA systems can provide appropriate real-
time data to systems across this extended supply chain, both now and in the future.
SCADA has evolved into a more robust technology capable of serving as the channel for
information flow to a number of higher level applications, including supply chain
applications. The midstream segment of the oil and gas industry, with its focus on transport
(pipelines), is particularly supply chain-centric. SCADA, long associated with operations
management of pipelines, must now have the functionality to provide supply chain systems
with real-time information.
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Just as the upstream and downstream portions of the energy industry have become more
sophisticated in integrating operations management with business processes, so too will the
midstream portion. The supervisory control portion of SCADA is already transitioning to
better accommodate a collaborative production management approach. This collaboration is
closely tied to supply chain and other business processes, with linkage to upstream and
downstream industry workflows.
Most of the issues that pipeline management programs address may also be viewed in the
context of creating an efficient supply chain. Functions such as custody transfer, accounting,
and transactional management, batch tracking, nominations, and terminal management all
reside in both the operations management and supply chain domains.
There's also increasing need to operate the midstream portion of the industry as a value-add
business and to generate increased revenue from existing assets. Business drivers for
implementing supply chain management initiatives include clean fuels regulatory issues, an
increasing product mix, increasing market volatility, and tightened regulatory constraints.
The net result is a more complex set of scheduling and inventory management issues that are
forcing the adoption of more efficient business processes.
Emerging SCADA systems should have the capability to be both fully compatible with IT
and to communicate with internal and external enterprise systems.
They should also include an expanding number of applications that typically reside in the
extended supply chain, such as:
• Strategic network planning
• Replenishment planning/inventory management
• Distribution planning and optimization
• Scheduling movements
• Execution management
6.1.2.2 INITIATE AND MAINTAIN MIGRATION PLAN
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When evaluating the lifecycle of a SCADA system, it's important to note that the components
that comprise a complete system have distinctly different lifecycles. While some
owner/operator firms have RTUs that are more than 25 years old, it is doubtful the software
applications that connect to business or IT systems would be viable for that length of time.
Migration planning is the interface for merging the automation and IT worlds. There are a
number of perspectives and issues to consider. Software is continually being developed to
reflect the changing demands of business processes and workflows. Companies must employ
a SCADA system that provides a flow of data and information to support these evolving
workflows. This often requires an upgrading of SCADA systems. Proper migration planning
is critical.
The principal issues are deficiencies in the functionality of legacy systems, component
obsolescence, and increasing security concerns. SCADA's role is changing dramatically in
response to changing business processes. More information is demanded more frequently by
additional functional groups, both internal and external to an enterprise.
Legacy SCADA system components may still function as designed. However, new
operational and business processes often require new, higher-level functionality not included
in the original components. This makes SCADA migration planning critical.
6.1.2.3 PROFESSIONAL CERTIFICATION
HCL should look for a comprehensive SCADA professional's certification program that
enables the measurement of SCADA knowledge, skills and abilities, and also serves to
enhance the standing of SCADA professionals in the industry.
The objectives of a certified SCADA professional's program should seek to:
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• Provide a means for an individual or organization to assess their skills against a

recognized and appropriate industry standard.
• Establish a recognized standard that ensures anyone who has access to a live SCADA
system for the purposes of support or administration has achieved a specified level of
competence and is aware of the best practices for performing specific tasks in a safe,
productive and professional manner.
• Certify that employees are properly prepared for the professional responsibilities of
successfully supporting a SCADA system environment and fully understand the
impact of their actions on the safety and reliability of the operation.
6.1.2.2 SCADA SYSTEM CONSULTANCY
HCL SCADA consulting services can accelerate the productivity of the prospective channel
partners as well as our prospective end users. HCL Quality Process Consulting is a niche
service offering as a part of the suite of Transformation Services. HCL Quality Process
Consulting offers process improvement services that span the entire continuum ranging from
Process definition, implementation & training to Process assessments for Model and non-
model based improvement initiatives. HCLs System Integration team has an impressive track
record, offering first-hand experience working for channel partners in mission-critical
industries including oil & gas, power, transportation and water. Thus HCL can become only
the second organization in India after Reliance to provide both IT Consultancy and SCADA
Consultancy to the end user.
• Custom application development
HCLs consulting team would have a wealth of vertical industry experience that they
can bring to bear on partner and end user efforts to develop specialized applications.
Our consultants can help customers develop the specialized software in applications
such as power generation and distribution, gas and liquids pipelines, rail and metro
transportation and water/wastewater applications.
HCL’s Consulting team will be leveraged to provide Quality Consulting Services to HCL’s
clients. HCL’s Quality Consulting strength lies in the skills and rich experience of our
consultants, who have experience in Energy sector. They bring with them practical
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implementation experience of various processes that best fits client’s SCADA environment.
6.1.2.2 STRATEGIC ALLIANCES & ACQUISITIONS
HCL can form a Global Strategic Alliance with some of the leading SCADA players and thus
combine its IT expertise with the SCADA domain knowledge of the leading players to
provide an end to end solution to the prospective customers.
As part of this alliance, HCL can focus on providing full-solution system integration services
in established markets, while the prospect partner will be responsible for the marketing and
sales of both companies HMI/SCADA products.
However it needs to be ensured that the target markets for both companies are oil and gas
production, water and wastewater, power and utilities industries, and environment change
tracking industry.
Some of the potential partners of HCL in the SCADA domain are listed below:
• ABB
• Siemens
• Larsen & Toubro
• GE
• Honeywell Automation India Ltd
HCL can also acquire a pre established small firm in the SCADA domain and thus be assured
of gaining a sure entry in to the market and provide an enhanced end to end solution to the
established clients. By doing this HCL can actually showcase its capability in the SCADA
domain and this will help HCL to acquire new projects.
Fig: Perceptual map showing the potential entry point in the SCADA domain
6.1.2.2 HCL – OUTSOURCEE & OUTSOURCER
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Scalability is a constant challenge in IT. Acquiring new capacity may necessitate expansion
of IT staff, software licenses, floor space, power and more. Contracts change. Markets shift.
And managers face the possibility of either constantly buying or underutilizing IT resources.
How can players across the industry keep SCADA data and other mission-critical
applications safe without wasting money? To stay out of the fire-fighting mode it is better for
niche SCADA players to outsource functions like managing data centres, monitoring basic
security and ensuring fundamental network and application performance. HCL thus can
provide turnkey IT infrastructure to a number of energy-related companies.
HCL can provide the following advantage to the outsourcing company:

• Manage risk cost-effectively. Providers of outsourced IT infrastructure typically offer
Service Level Agreements which guarantee a certain level of data and application
availability for a set price. Operators are assured that IT best practices are applied to
their infrastructure without investing in the latest and greatest of everything.
• Ensure system security without distraction. From auditing traffic patterns to
maintaining security patches to firewall management, as well as the physical aspects
such as power redundancy and redundant router configurations. Enbridge handed over
security functions to focus on the strategic capitalization of its SCADA data.
On the other hand HCL can also outsource its SCADA operations to some of the already
established players in the market. However every operator is not a prime outsourcing
candidate. Companies with little inherent fluctuation in SCADA resource demand are less
likely candidates. While looking for a SCADA firm HCL should look for the following:
• Visit the data centre and talk to the staff, not just the salespeople. Test their
knowledge. Explore the environment and infrastructure--and how long they've been in
business.
• Get references from the pipeline industry. A glossy brochure with a compressor
station on the front doesn't mean they understand what pipelines do.
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• Don't rush into a Service Level Agreement. Define what you really need. Get the
details of what they're guaranteeing, how it will be measured and what penalties apply
if you step outside the lines.
• Get grassroots support. Make sure non-executive SCADA staff understands that these
measures will help them, not undermine them. Involve them in the selection process.
• Draft up an exit strategy, just in case.
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Business credibility of System Integration in ICT domain using SCADA

1.1 PROJECT OBJECTIVE

1.2 DESCRIPTION OF THE SITUATION

Fig: Typical SCADA System

2.1 SCADA AS A SYSTEM

2.2 USER INTERFACE (HMI)

Fig: Typical Human Machine Interface

2.3 SCADA SOFTWARE AND HARDWARE COMPONENTS

2.4 SCADA ARCHITECTURES

SCADA systems have evolved through 3 generations as follows :

• First generation: "Monolithic"

• Second generation: "Distributed"

• Third generation: "Networked"

2.5 SCADA APPLICATIONS

• Electric power generation, transmission and distribution:

• Water and sewage:

• Buildings, facilities and environments:

2.6 TRENDS IN SCADA

2.7 SCADA VENDORS

Company: GE Network Solutions

2.8 SCADA EXPECTED LIFE AND DISPOSAL

Procurement, installation, and commissioning of a SCADA system is a time- and capital-

infrequently. The average life of a SCADA system is typically 8 to 15 years. This

3.1 CUSTOMERs PERCEPTION OF SCADA

3.1.1 VALUE OF SCADA

• Does your equipment need an uninterrupted power supply and/or a controlled

• What equipment do you need to control, in real time, from a distance?

3.1.2 EVALUATING SCADA SYSTEM

3.1.3 WHAT CUSTOMERS WANT FEOM THE SCADA SYSTEM

• The Two Most Important Components of SCADA System

• Sensors and Networks

• SCADA RTU requirements

• SCADA Master requirements

3.1.4 FIVE MOST IMPORTANT QUERIES A CUSTOMER MAY ASK

2. What is the total cost incurred after SCADA system is deployed?

Figure: Specialized development environments such as National Instruments LabVIEW

3.2 MISCONCEPTIONS ABOUT THE SCADA SYSTEM

• MISCONCEPTION #1 – “The SCADA system resides on a physically separate,

• MISCONCEPTION #2 – “Connections between SCADA systems and other

• MISCONCEPTION #3 – “SCADA systems require specialized knowledge, making

3.3 TYPICAL REQUIREMENT OF A CUSTOMER

3.3.1 GENERAL CONDITIONS AND MANUFACTURING FACILITIES

1. SCADA Vendor should have complete control over the design,

3.3.2 MANPOWER REQUIREMENT

1. SCADA Vendor should have dedicated group of professionals for SCADA

3.3.3 QUALITY CONTROL REQUIREMENTS

3.3.4 QUALITY ASSUARANCE REQUIREMENTS

3.4 SECURITY CONSIIDERATIONS

3.4.1 COMMON SECURITY VULNERABILITIES

• Public Information Availability

• Insecure Network Architecture

• Lack of Real-Time Monitoring

3.4.2 ELECTRONIC SECURITY

Although documented evidence of attacks on utility systems is sparse, the threat is

Regarding types of attackers, survey respondents, as shown in Figure, pointed to

3.4.2.2 ATTACK TOOLS

➢ Ping Sweep and Port Scan Programs

➢ Packet Sniffers and Protocol Analyzers

Packet sniffers intercept data being transmitted between computers in a TCP/IP

➢ Denial of Service Tools

3.4.2.3 ATTACK SCENARIOS

3.4.2.4 DEFENCE TOOLS

Table: Comparison of times to crack dictionary vs. strong passwords