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Industrial applications of cryptography

                                       David Podhola

                                          Prague College
                                  david.po@praguecollege.cz


                                      30. kvˇtna 2011
                                            e




David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
                                                                                 e           1 / 35
Abstract




In this topic industrial implementations of cryptography will be introduced.
It is focusing on the electric power industry with particular aspects to
power generation in nuclear powerplants, transmission, distribution and
retail. The implications of storing sensitive personal data as well as dealing
with invoicing and the customer’s money at the end will be described and
discussed.




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                                                                                  e           2 / 35
Electricity




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
                                                                                  e           3 / 35
Electricity

“Phenomenon associated with stationary or moving electric charges.
The word comes from the Greek elektron (“amber”); the Greeks
discovered that amber rubbed with fur attracted light objects such as
feathers. Such effects due to stationary charges, or static electricity, were
the first electrical phenomena to be studied. Not until the early 19th
century were static electricity and electric current shown to be aspects of
the same phenomenon. The discovery of the electron, which carries a
charge designated as negative, showed that the various manifestations of
electricity are the result of the accumulation or motion of numbers of
electrons. The invention of the incandescent lightbulb (1879) and the
construction of the first central power station (1881) by Thomas Alva
Edison led to the rapid introduction of electric power into factories and
homes. See also James Clerk Maxwell.”1

   1
       Encyclopaedia Britannica
 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Electric power industry




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Electric power industry

“The electric power industry provides the production and delivery of
electric energy, often known as power, or electricity, in sufficient quantities
to areas that need electricity through a grid connection. The grid
distributes electrical energy to customers. Electric power is generated by
central power stations or by distributed generation.
Many households and businesses need access to electricity, especially in
developed nations, the demand being scarcer in developing nations.
Demand for electricity is derived from the requirement for electricity in
order to operate domestic appliances, office equipment, industrial
machinery and provide sufficient energy for both domestic and commercial
lighting, heating, cooking and industrial processes. Because of this aspect
of the industry, it is viewed as a public utility as infrastructure.”2


   2
       Wikipedia
 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Current consumption of the Czech Republic
This whole industry is run and controlled by a lot of computers. They have
great numbers on their fingertips, but...




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Threats
Threats:3
      Intrusion: malicious attackers may intrude client or server by
      searching vulnerabilities, and the stable service of control boards may
      be threatened.
      Impersonation: operators who don’t have the right accounts but can
      enter , may impersonate operators who have the right accounts sand
      the stable service of control boards may be threatened.
      Tapping: malicious attackers may tap packets on the Internet, and
      data sent and received may be threatened.
      Obstruction: malicious attackers may attack client or server very
      often, and smooth operation may be threatened.
      Destruction: operators who have the right accounts may execute
      illegal operations unjustly, and the stable service of control boards
      may be threatened.
   3
     The Security Design of Remote Maintenance System for Nuclear Power Plants,
based on ISO/IEC 15408
 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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What is cryptography?

The practice and study of hiding information.




Now is much more complex than just encryption to apparent nonsense.

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Encryption and decryption




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Public-key cryptography




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Public-key cryptography




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Public key infrastructure




             CA = Certificate Authority RA = Registration Authority



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My public key

I am not afraid to show you my public key!




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Signing

If you have just your key, you can sign




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Encryption

If you have both keys, you can encrypt




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General attributes of public keys




Increased security and convenience.
      private keys never need to transmitted or revealed to anyone
      digital signatures
      speed
      vulnerable to impersonation (attack on a certification authority)




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Electric power industry



The legal unbundling laid down in 2005 as part of the second European
energy market package applies in 11 out of 27 EU countries.
      Generation
      Transmission
      Distribution (e.g. consumption measurements)
      Retailing (e.g. end customer invoicing)




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High level overview




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Organizations involved - CEPS
CEPS jsc is a joint-stock company operating Transmission System (TS) of
the Czech Republic by law.
      ensuring electricity transmission
      ensuring balance between electricity generation and consumption at
      any moment
      maintenance, modernization and development of TS equipment




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Organizations involved - OTE
      A processing and reporting business balance of elektricity according to
      data supplied by electricity market participants.
      An organization of short-term markets and balancing market with
      regulating energy in cooperation with transmission system operator.
      The evaluation and settlement of imbalances between the agreed and
      actual electricity supplies and consumption.
      Publishing monthly and annual reports about Czech elektricity market.
      Collecting metered data from deliveries and supplies for market
      paticipants.
      The evaluation and settlement of regulating energy.
      Administration of registry for trading with greenhouse gas emission
      allowances.




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
                                                                                  e           21 / 35
OTE CA




David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Electricity generation




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Electricity generation


For nuclear powerplants Title 10 of the Code of Federal Regulations (10
CFR) Section 73.21(g)(3) states, in part, “. . . Safeguards Information
shall be transmitted only by protected telecommunication circuits
(including facsimile) approved by the NRC.” The Nuclear Regulatory
Commission (NRC) considers those encryption systems that the National
Institute of Standards and Technology (NIST) has determined conform to
the Security Requirements for Cryptographic Modules in Federal
Information Processing Standard (FIPS) 140-2, as being acceptable. The
Secretary of Commerce has made use of Cryptographic Module Validation
Program products mandatory and binding for Federal agencies when a
Federal agency determines that cryptography is necessary for protecting
sensitive information.



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Stuxnet




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Stuxnet




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Transmission




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Distribution




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Distribution




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Retailing




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                                                                                  e           30 / 35
Communication




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Communication




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Communication




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                                                                                  e           33 / 35
SmartGrid




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Thank you!




                                    David Podhola
                     david.po@praguecollege.cz, david@podhola.net
                               http://david.podhola.net




 David Podhola (Prague College)   Industrial applications of cryptography   30. kvˇtna 2011
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Industrial Applications of Cryptography

  • 1. Industrial applications of cryptography David Podhola Prague College david.po@praguecollege.cz 30. kvˇtna 2011 e David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 1 / 35
  • 2. Abstract In this topic industrial implementations of cryptography will be introduced. It is focusing on the electric power industry with particular aspects to power generation in nuclear powerplants, transmission, distribution and retail. The implications of storing sensitive personal data as well as dealing with invoicing and the customer’s money at the end will be described and discussed. David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 2 / 35
  • 3. Electricity David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 3 / 35
  • 4. Electricity “Phenomenon associated with stationary or moving electric charges. The word comes from the Greek elektron (“amber”); the Greeks discovered that amber rubbed with fur attracted light objects such as feathers. Such effects due to stationary charges, or static electricity, were the first electrical phenomena to be studied. Not until the early 19th century were static electricity and electric current shown to be aspects of the same phenomenon. The discovery of the electron, which carries a charge designated as negative, showed that the various manifestations of electricity are the result of the accumulation or motion of numbers of electrons. The invention of the incandescent lightbulb (1879) and the construction of the first central power station (1881) by Thomas Alva Edison led to the rapid introduction of electric power into factories and homes. See also James Clerk Maxwell.”1 1 Encyclopaedia Britannica David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 4 / 35
  • 5. Electric power industry David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 5 / 35
  • 6. Electric power industry “The electric power industry provides the production and delivery of electric energy, often known as power, or electricity, in sufficient quantities to areas that need electricity through a grid connection. The grid distributes electrical energy to customers. Electric power is generated by central power stations or by distributed generation. Many households and businesses need access to electricity, especially in developed nations, the demand being scarcer in developing nations. Demand for electricity is derived from the requirement for electricity in order to operate domestic appliances, office equipment, industrial machinery and provide sufficient energy for both domestic and commercial lighting, heating, cooking and industrial processes. Because of this aspect of the industry, it is viewed as a public utility as infrastructure.”2 2 Wikipedia David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 6 / 35
  • 7. Current consumption of the Czech Republic This whole industry is run and controlled by a lot of computers. They have great numbers on their fingertips, but... David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 7 / 35
  • 8. Threats Threats:3 Intrusion: malicious attackers may intrude client or server by searching vulnerabilities, and the stable service of control boards may be threatened. Impersonation: operators who don’t have the right accounts but can enter , may impersonate operators who have the right accounts sand the stable service of control boards may be threatened. Tapping: malicious attackers may tap packets on the Internet, and data sent and received may be threatened. Obstruction: malicious attackers may attack client or server very often, and smooth operation may be threatened. Destruction: operators who have the right accounts may execute illegal operations unjustly, and the stable service of control boards may be threatened. 3 The Security Design of Remote Maintenance System for Nuclear Power Plants, based on ISO/IEC 15408 David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 8 / 35
  • 9. What is cryptography? The practice and study of hiding information. Now is much more complex than just encryption to apparent nonsense. David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 9 / 35
  • 10. Encryption and decryption David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 10 / 35
  • 11. Public-key cryptography David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 11 / 35
  • 12. Public-key cryptography David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 12 / 35
  • 13. Public key infrastructure CA = Certificate Authority RA = Registration Authority David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 13 / 35
  • 14. My public key I am not afraid to show you my public key! David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 14 / 35
  • 15. Signing If you have just your key, you can sign David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 15 / 35
  • 16. Encryption If you have both keys, you can encrypt David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 16 / 35
  • 17. General attributes of public keys Increased security and convenience. private keys never need to transmitted or revealed to anyone digital signatures speed vulnerable to impersonation (attack on a certification authority) David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 17 / 35
  • 18. Electric power industry The legal unbundling laid down in 2005 as part of the second European energy market package applies in 11 out of 27 EU countries. Generation Transmission Distribution (e.g. consumption measurements) Retailing (e.g. end customer invoicing) David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 18 / 35
  • 19. High level overview David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 19 / 35
  • 20. Organizations involved - CEPS CEPS jsc is a joint-stock company operating Transmission System (TS) of the Czech Republic by law. ensuring electricity transmission ensuring balance between electricity generation and consumption at any moment maintenance, modernization and development of TS equipment David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 20 / 35
  • 21. Organizations involved - OTE A processing and reporting business balance of elektricity according to data supplied by electricity market participants. An organization of short-term markets and balancing market with regulating energy in cooperation with transmission system operator. The evaluation and settlement of imbalances between the agreed and actual electricity supplies and consumption. Publishing monthly and annual reports about Czech elektricity market. Collecting metered data from deliveries and supplies for market paticipants. The evaluation and settlement of regulating energy. Administration of registry for trading with greenhouse gas emission allowances. David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 21 / 35
  • 22. OTE CA David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 22 / 35
  • 23. Electricity generation David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 23 / 35
  • 24. Electricity generation For nuclear powerplants Title 10 of the Code of Federal Regulations (10 CFR) Section 73.21(g)(3) states, in part, “. . . Safeguards Information shall be transmitted only by protected telecommunication circuits (including facsimile) approved by the NRC.” The Nuclear Regulatory Commission (NRC) considers those encryption systems that the National Institute of Standards and Technology (NIST) has determined conform to the Security Requirements for Cryptographic Modules in Federal Information Processing Standard (FIPS) 140-2, as being acceptable. The Secretary of Commerce has made use of Cryptographic Module Validation Program products mandatory and binding for Federal agencies when a Federal agency determines that cryptography is necessary for protecting sensitive information. David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 24 / 35
  • 25. Stuxnet David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 25 / 35
  • 26. Stuxnet David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 26 / 35
  • 27. Transmission David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 27 / 35
  • 28. Distribution David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 28 / 35
  • 29. Distribution David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 29 / 35
  • 30. Retailing David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 30 / 35
  • 31. Communication David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 31 / 35
  • 32. Communication David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 32 / 35
  • 33. Communication David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 33 / 35
  • 34. SmartGrid David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 34 / 35
  • 35. Thank you! David Podhola david.po@praguecollege.cz, david@podhola.net http://david.podhola.net David Podhola (Prague College) Industrial applications of cryptography 30. kvˇtna 2011 e 35 / 35