Insider Risk in the Energy Sector – Case Study

by Lucas Seewald on July 19, 2023

Introduction

The energy sector is a vital part of modern life, powering every aspect of our homes, businesses, and economies. Yet, the sector is increasingly becoming a target for both external and internal threats. Cases of sabotage, espionage, and corruption are on the rise, and with it, the sector’s vulnerability. This case study examines the insider threat landscape in the energy sector, the impacts it incurs, and offers a potential solution through Signpost Six’s specialized services.

The Challenge: Insider Risks in the Energy Sector

The energy sector has a unique threat profile, averaging $14.45 million per incident of insider acts. Cases like the Belgian Doel Nuclear power plant sabotage in 2014 and the Colonial oil pipeline ransomware attack in 2021, underline the significant cost and far-reaching implications of insider threats. Additionally, with the sector being one of the top targets for espionage, cyber attacks and human-induced errors, the challenge is only escalating.

The sector’s ongoing digitalisation is creating new vulnerabilities, widening the scope for attack vectors, and raising the stakes in data protection. At the same time, the energy transition is triggering workforce redundancies, increasing the likelihood of insider acts out of spite or revenge. The geopolitical threats that the sector is subject to, like supply chain attacks and sabotage as a weapon of war, further increase the risk level.

The Impact of Insider Risk in the Energy Sector

The impact of an insider act in the energy sector is massive. Sabotage, which can cause damage up to hundreds of millions, as seen in the Belgian Nuclear power plant case, can cripple an organisation’s operations. Espionage can compromise trade secrets, intellectual property, and disrupt geopolitical relations, causing long-term economic and political harm.

Beyond these direct impacts, there are indirect implications. The reputational damage an organisation suffers after a significant insider incident, such as BP’s oil leaks, can result in the loss of customer and stakeholder trust, leading to a long-term financial drain. Moreover, the increasingly common hybrid warfare strategies put societal stability at risk, causing even more significant and widespread harm.

The Solution: Signpost Six

Addressing insider risk requires a comprehensive, tailored approach. Signpost Six offers specialised insider risk management services and insider risk awareness trainings designed to help energy companies face these challenges.

Our services are designed to not only identify and mitigate existing risks but also to build a resilient organisational culture that minimises the potential for future insider risks.

While we can’t reveal all our strategies here, we can assure you that our approach is comprehensive, data-driven, and tailored to the unique needs of each organisation.

Conclusion

Insider risk in the energy sector is a growing concern that needs immediate attention. With the right strategies and expert guidance, organisations can not only effectively manage these risks but also seize the opportunity for improvement. Signpost Six is here to guide energy companies in this endeavour, providing the necessary tools and knowledge to navigate this complex landscape. Don’t delay; safeguard your organisation today with our robust insider risk management solutions.