Based on coverage from CityNews Halifax and InformationSecurityBuzz.
Nova Scotia Power's Cyberattack Fallout: Payment Delays and Data Breach
Nova Scotia Power, the largest electric utility in the province, is grappling with the aftermath of a cyberattack that has left contractors and suppliers waiting months for payment. The attack, which occurred in March, targeted personal information from over 200,000 ratepayers and has since caused significant disruptions to the utility's operations.
Payment Delays Impact Contractors
The cyberattack has led to a backlog in payments to contractors, with some owed hundreds of thousands of dollars. Jacqueline Foster, a spokesperson for Nova Scotia Power, acknowledged the delays, stating that while invoices are being processed, the pace has been slower than desired. To address the issue, the utility has brought in additional staff to manually expedite the payment process, aiming to clear all outstanding invoices by the end of the year.
Tim Houtsma, CEO of Marid Industries, is among those affected. His company, which specializes in steel fabrication, is owed between $60,000 and $70,000. Houtsma expressed concern over the financial strain this places on businesses, particularly smaller firms that may not withstand prolonged delays. The situation has reignited calls for the Nova Scotia government to implement "prompt payment" legislation, a reform that has been in discussion for years but remains unfulfilled.
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Data Breach Concerns and Customer Impact
The cyberattack's repercussions extend beyond financial delays. Nova Scotia Power revealed that personal information from approximately 277,000 customers was compromised, with some data appearing on the dark web. The stolen information includes sensitive details such as names, birth dates, and, in some cases, bank account numbers.
In response, the utility has offered affected customers credit monitoring services through TransUnion, initially for two years and later extended to five years. However, the utility has been unable to inform individual customers about the specific data compromised due to the complexity of the breach.
The cyberattack also disrupted the utility's ability to retrieve electricity usage readings from smart meters, leading to estimated billing based on historical usage. This has resulted in some customers receiving inflated bills, adding to the frustration.
Related: Cyber Attacks Disrupt Systems at Kelowna, Victoria, and Windsor Airports
Calls for Improved Cybersecurity and Legislation
The incident has sparked criticism of Nova Scotia Power's cybersecurity measures and highlighted the broader implications of such attacks on the supply chain. Damon Small, a board member of Xcape Inc, criticized the utility's leadership for underinvesting in cybersecurity and IT infrastructure. He emphasized that while system recovery is crucial, ensuring the resilience of payment systems should be a priority to protect the entire ecosystem.
The situation underscores the need for robust cybersecurity strategies and legislative reforms to safeguard against future disruptions. As Nova Scotia Power works to resolve the current crisis, the focus remains on restoring trust and ensuring timely payments to all partners involved.
