How Hardware Encryption Fuels Cyber Resilience in the Energy Sector

The importance of protecting energy infrastructure from cyberattack can't be stressed enough. When a brief outage can deliver a major impact on the community it serves, a prolonged outage can spell disaster. Major public works remain prime targets for cyber criminals. As ransomware, espionage, and insider threats intensify, energy organizations must not only strengthen their defenses, but have a strategy in place to quickly and fully restore operations in the wake of a cyber event. It's not just a matter of compliance but a matter of adopting a zero-trust stance where the assumption of imminent cyber attack persists at all times. In short, It's not a matter of IF, but WHEN.

This paper explains why data‑at‑rest protection is a “first control” for mixed IT/OT environments, why hardware‑based encryption is the most reliable way to secure removable media and field workflows, and how Apricorn devices help teams meet today’s standards while preparing for tomorrow’s. You’ll find a compliance chart and real‑world use cases for utilities, pipelines, and renewables.

Building on the executive summary: as global electricity demand and interconnections surge in 2025, system reliability increasingly hinges on how well we protect the data that moves between IT and OT. From refineries to renewable plants, no energy subsector is immune to cyber risk. The Colonial Pipeline ransomware attack in 2021 exposed the vulnerabilities of interconnected OT and IT systems. More recently, advisories from U.S. cyber authorities highlight increased targeting of programmable logic controllers (PLCs), substation management systems, and remote access terminals. As energy systems digitize, they also expand their attack surfaces—making encryption a non‑negotiable control for protecting critical data.

Independent breach research places the 2025 average breach cost near $4.88 million, with energy and utilities often higher due to regulatory scrutiny and downtime. Beyond direct costs, compromised data can endanger physical infrastructure, impact reliability, and erode public trust.

• Aligns to NERC CIP: CIP‑011 and CIP‑013 mandate data protection and supply chain security; encrypted, policy‑enforced media help utilities demonstrate compliance.
• Reinforces TSA Pipeline Security Directives: Secure data handling, segmentation, and incident recovery using removable media controls.
• Embeds DOE Cyber‑Informed Engineering (CIE): Build cyber resilience into system design—hardware‑encrypted storage as a foundational element.
• Establishes FIPS 140‑2 / 140-3 (Sept 2026) --the NIST standard for cryptographic modules used across federal and energy‑sector systems--as the current benchmark.

Apricorn’s Aegis Secure Drives and Secure Keys offer software‑free, hardware‑encrypted storage designed to safeguard data where it’s most exposed: in the field, at the edge, and during transfer. Every encryption process occurs entirely within the device, keeping keys and credentials off the host system.

Why Energy Organizations Choose Apricorn:

• Enables plug‑and‑play across Windows, macOS, Linux, and industrial platforms—no software or drivers.
• Delivers FIPS 140‑2 Level 3 protection (140‑3 in process) aligned to DOE/NIST expectations.
•  Supports TAA‑compliant procurement for regulated buying programs.
• Withstands dust, water, and extreme field conditions with rugged construction.
• Streamlines local provisioning with Aegis Configurator; enforces PIN/policy settings and retains setup logs—no cloud or centralized management. Provisioning can also be performed directly on the device (Admin mode).

Note: All Aegis devices are software‑free and authenticate/encrypt on‑device; provisioning is performed locally via Aegis Configurator or directly on the device (Admin mode).

Building a Ransomware‑Resilient Energy Ecosystem

• Offline Backups: Protect recovery data on encrypted drives stored off‑network.
• Clean Media Policies: Deploy pre‑configured Read‑Only devices for field updates.
• Air‑Gapped Forensics: Capture investigation data securely, even from compromised systems.
• Controlled Vendor Access: Assign individual encrypted drives with revocable credentials.
• Audit Readiness: Use local Aegis Configurator setup logs to demonstrate policy enforcement and chain‑of‑custody for configured devices.

Building a Ransomware‑Resilient Energy Ecosystem

As energy systems evolve, cybersecurity must evolve too. Hardware‑based encryption provides an essential layer of defense—isolated, verifiable, and aligned with the highest federal and industry standards. With Apricorn’s rugged, FIPS 140‑2‑validated devices, energy providers can protect data integrity from the control room to the most remote field site—ensuring reliability, compliance, and trust across every level of operation.

Looking ahead, Apricorn remains committed to advancing its technology and pursuing ongoing FIPS 140‑3 certification, ensuring that our devices continue to meet and exceed the evolving security and compliance needs of the global energy sector. Our mission is to provide data protection that keeps pace with innovation—empowering organizations to operate confidently in a connected, data‑driven world.

Apricorn: The Safest Place on Earth for Your Data.

Sources and References

1.        CISA, Industrial Control Systems Cybersecurity Advisories, 2024–2025.

2.        IBM, Cost of a Data Breach Report 2025.

3.        Department of Energy (DOE), Cyber‑Informed Engineering Strategy, 2024.

4.        Transportation Security Administration (TSA), Pipeline Security Directives and Cybersecurity Guidelines, 2021–2025.

5.        North American Electric Reliability Corporation (NERC), Critical Infrastructure Protection Standards (CIP‑011, CIP‑013, CIP‑010), 2024.

6.        Ponemon Institute, The State of Critical Infrastructure Cybersecurity, 2024.

7.        World Economic Forum, Global Risks Report 2025 – Energy Infrastructure Section.

8.        SANS Institute, ICS Security Survey: Trends and Threats in Operational Technology, 2024.

9.        CISA and DOE Joint Report, Securing Operational Technology in Energy Systems, 2025.

10.  U.S. National Institute of Standards and Technology (NIST), FIPS 140‑2 / CMVP (Cryptographic Module Validation Program) Overview, 2025.