Data Privacy Day: Best practices for protecting your energy data

For Data Privacy Day 2025, we spoke with our Technical Director, Mark Gray, who brings over 30 years of experience in the technology industry, to share practical advice on protecting sensitive information. In this Q&A, we explore actionable tips and address the unique challenges faced by the energy sector, where safeguarding data requires innovative approaches and tailored strategies.

Q: Why is data privacy so critical, especially for the energy sector?

A: With the rapid adoption of AI, IoT devices, and cloud services, personal and organisational data is more vulnerable to breaches and misuse. In the energy sector, the stakes are even higher. Critical infrastructure, such as power grids, oil pipelines, and renewable energy systems, is a prime target for cyberattacks. Protecting data in this vertical is crucial to maintaining operational integrity, preventing financial losses, and complying with regulations like GDPR, NCSC Cyber Assessment Framework and if operating within or providing services to the EU, the Network and Information Security 2 Directive (NIS2).

Q: What are your top data protection tips for individuals in the energy sector?

A: Here are some key steps individuals can take:

1. Use strong, unique passwords: Avoid reusing passwords across sites. Use a password manager to generate and store complex passwords securely.
2. Enable multi-factor authentication (MFA): Add an extra layer of security by requiring a second form of verification, such as a text message or authentication app.
3. Be cautious with public Wi-Fi: Avoid accessing sensitive accounts on public networks. Use a virtual private network (VPN) for secure browsing.
4. Limit sharing of personal and work-related information: Be mindful of what you share online, especially regarding your role in critical infrastructure, and review your privacy settings regularly.
5. Update software and devices: Install updates promptly to patch security vulnerabilities, particularly on systems and devices used for remote energy operations.

Q: What are some best practices for energy organisations to protect sensitive data?

A: Organisations in the energy sector face unique threats, such as ransomware targeting operational technology (OT) systems. Here are some tailored practices:

1. Conduct regular security audits: Identify vulnerabilities, particularly in SCADA systems and IoT-enabled energy devices, and ensure compliance with industry regulations.
2. Encrypt sensitive data: Use encryption for data at rest and in transit to prevent unauthorised access. Ensure critical infrastructure data is stored securely.
3. Implement access controls: Follow the principle of least privilege, granting employees access only to the data and systems they need for their roles.
4. Train employees: Educate staff on recognising phishing attacks and other social engineering tactics, particularly those targeting OT environments.
5. Segment networks: Separate IT and OT networks to limit the spread of malware and other threats.
6. Develop an incident response plan: Be prepared to act quickly in the event of a data breach or cyberattack to minimise damage and restore operations.
7. Invest in specialised cybersecurity tools: Utilise firewalls, intrusion detection systems, and endpoint protection tailored for the energy sector.

Q: How can individuals and organisations in the energy sector stay informed about data privacy?

A: Staying informed about data privacy is essential for individuals and organisations in the energy sector. To keep up with the latest developments, follow trusted sources like the National Cyber Security Centre (NCSC), Ofgem updates, and industry-specific forums such as the Energy Networks Association (ENA). Stay updated on evolving regulations, including the NCSC Cyber Assessment Framework (CAF), Network and Information Systems (NIS) Regulations, and the upcoming Data Protection and Digital Information Bill. Additionally, participate in UK-focused webinars, workshops, and events or regional critical infrastructure protection forums to gain insights and network with industry peers addressing similar challenges.

Q: What are some emerging trends in data privacy for 2025 in the energy sector?

A: AI and privacy-preserving technologies

Tools like federated learning and homomorphic encryption are enabling data analysis without compromising privacy. This is critical for managing large-scale energy data. Federated learning allows energy organisations to train machine learning models across distributed datasets, such as those from smart meters or distributed energy resources, without moving or exposing the underlying data. We spoke to Gus Chadney and Sheng Chai from the Centre for Net Zero about how they’re using federated learning to research synthetic smart meter data on the Hypercube Podcast – check it out here.

Similarly, homomorphic encryption enables computations on encrypted data, ensuring sensitive information remains secure throughout the process. These tools are particularly valuable for balancing grid demand, optimising energy storage, and integrating renewable resources, as they allow organisations to gain actionable insights while maintaining strict compliance with data privacy regulations and protecting customer trust.

Zero Trust architecture

Energy organisations are adopting this security model to verify every access request, regardless of location, ensuring both IT and OT environments are protected. By verifying every access request, this approach minimises risks from cyber threats, ensures compliance with stringent data privacy regulations, and protects sensitive systems such as smart grids, SCADA networks, and energy storage operations.

Greater regulatory enforcement

Governments and regulatory bodies are intensifying efforts to ensure compliance with data privacy laws and critical infrastructure protections. The landscape is always changing, and in November 2024 the UK the Data (Use and Access) Bill was introduced to Parliament. This aims to reform data protection laws, including provisions to enhance the Information Commissioner’s Office’s enforcement powers, particularly concerning data privacy in sectors like energy. The Smart Data initiatives under the Data Bill will require energy providers to give consumers secure access to their data and enable sharing with authorised third parties, to drive transparency and innovation. This shift aims to enhance customer empowerment, drive market competition, and push energy providers to adopt advanced data governance and technology solutions.

Cyber-physical threat monitoring

In the energy sector, cyber-physical threat monitoring is critical for safeguarding interconnected systems like smart grids, energy storage facilities, and renewable energy assets. These advanced solutions integrate IT cybersecurity tools with real-time monitoring of physical infrastructure, such as transformers and substations, to detect and mitigate threats across the entire ecosystem. By providing a unified view of both digital and physical vulnerabilities, they help energy organisations prevent disruptions, ensure operational continuity, and maintain the resilience of critical infrastructure against increasingly sophisticated cyberattacks.

Is your data privacy up to scratch?

Data privacy is everyone’s responsibility. In the energy sector, where operational and personal data intertwine, the stakes are particularly high. By implementing these tips and staying informed, individuals and organisations can protect their sensitive information and build a safer, more resilient future in energy.

Hypercube is an energy technology partner with deep expertise in cloud, data and AI. Contact us today for a no-obligation chat to maximise your data privacy capability in the energy sector.