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Smart metering has emerged as the next-generation of energy distribution, consumption, and monitoring systems via the convergence of power engineering and information and communication technology (ICT) integration otherwise known as smart grid systems. While the innovation is advancing the future power generation, distribution, energy consumption information delivery, the success of the platform is positively correlated to the successful integration and stability of technologies upon which the system is built. Nonetheless, the rising trend of cybersecurity attacks on cyber infrastructure and its dependent systems coupled with the systems inherent vulnerabilities present a source of concern not only to the vendors but also the consumers. These security concerns need to be addressed in order to increase consumer confidence so as to ensure greatest adoption and success of smart metering. In this paper, we present a functional communication architecture of the smart metering system. Following that, we demonstrate and discuss the taxonomy of smart metering common vulnerabilities exposure, upon which sophisticated threats can capitalize. We then introduce countermeasure techniques, whose integration is considered pivotal for achieving security protection against existing and future sophisticated attacks on smart metering systems.

The paper assesses how stock market volatility reacts to data breach disclosure. The paper applies Volatility Event Analysis and Kolmogorov-Smirnov Test to analyse how equity risk (stock volatility) of 96 firms listed on the S&P 500 index reacted to the announcement of a data breach using records from Breach Level Index (BLI ) over the period between January 2013 and December 2018. Two levels of empirical analysis were performed: cross-section level and industry level. We employ statistical tests that adjust for the effects of cross-section firm-specific mean and volatility. The analysis delivers the following results: Firstly, cross-sectional analysis shows that there is evidence of significant abnormal across the firms and significant difference between before and after cyberattacks announcements. Secondly, the industry level analysis reveals that the firms in the financial industry exhibit more abnormal volatility and returns than firms in other sectors. Additionally, there is significant evidence of the difference in pre and post cyberattacks or data breach announcements, however, this effect tends to be more pronounced after the announcement of a data breach. Implying that data breach announcements can significantly influence equity volatility. In conclusion, the paper posits, equity investors and other stakeholders should reconsider their approach to cybersecurity events when updating the risk measures of their stocks and portfolios.