What is the role of the NERC in relation to Frequency Response Measure?

The role of NERC (North American Electric Reliability Corporation) in relation to Frequency Response Measure involves identifying frequency deviation events for analysis. This is essential because frequency response is a critical aspect of grid reliability; it ensures that the power supply and demand are balanced. When there are disturbances in the power system, such as a sudden loss of generation or a significant change in load, it can lead to deviations in frequency.

NERC is responsible for monitoring these fluctuations and analyzing frequency events to ensure that the appropriate response measures are in place. This analysis helps improve operational protocols and informs system operators about the effectiveness of frequency response in maintaining grid stability. This includes evaluating how well various generation resources can respond to frequency deviations, which is crucial for maintaining reliability within the electric grid.

The other options do not accurately reflect NERC's primary responsibilities regarding frequency response. While setting response targets for every generation unit might be part of a larger framework, NERC's specific role is more about monitoring and analyzing events rather than direct regulation of generation units. Regulating the energy market and monitoring operational costs are also not direct functions of NERC concerning frequency response measures; those areas fall under different regulatory or financial oversight entities.