Management Consulting
Aon
Full Credential Description
Aon identified significant cybersecurity vulnerabilities within the battery energy storage system (BESS) market, particularly concerning operational technologies (OT) that control these systems. As the energy grid becomes increasingly digitalized, BESS assets are at risk of cyber attacks that could lead to data loss, physical damage, or catastrophic events such as thermal runaway. Aons Cyber Security Advisory team highlighted that many asset owners have mature cybersecurity programs for information technology (IT) but lack corresponding measures for OT, leaving them exposed to potential threats. To address these vulnerabilities, Aon recommended that BESS asset owners enhance their cybersecurity strategies by adopting a comprehensive model known as "The Cyber Loop." This iterative approach focuses on continuous risk assessment, mitigation, and recovery, ensuring that businesses can maintain operational continuity and access insurance coverage in the event of a cyber incident. Aon has successfully placed insurance for over 2.8 GW of BESS assets and managed claims exceeding US$100 million, demonstrating the effectiveness of their tailored solutions in reinforcing cyber resilience within this critical sector.