NIS2: What It Is and Why It Matters for OT Cybersecurity

What is NIS2?

The Network and Information Security Directive 2 (NIS2) is the European Union’s latest cybersecurity regulation aimed at strengthening the resilience of Critical Infrastructure. It builds upon the original NIS Directive (2016) by expanding its scope, introducing stricter security requirements, and enforcing harsher penalties for non-compliance.

NIS2 applies to a broad range of sectors, including energy, water, transportation, healthcare, and manufacturing – many of which rely on Operational Technology (OT) to manage physical processes.

Why It Matters?

While traditional cybersecurity efforts have focused on IT systems, NIS2 makes it clear that OT environments which control industrial processes are equally critical.

This matters because Level 0 systems (sensors, actuators, and controllers) are often the weakest link in industrial cybersecurity. Many were never designed with security in mind, making them vulnerable to cyberattacks that can disrupt essential services.

Key takeaways from NIS2:

• Expands cybersecurity obligations to more industries, ensuring that OT environments meet strict security standards.

• Mandates incident reporting within 24 to 72 hours, depending on the severity of the attack.

• Introduces executive accountability, meaning that company leaders can be held responsible for cybersecurity failures.

Zoom Out: A Global Trend Toward OT Security

The EU is not alone in prioritizing OT security. Regulations such as NIST SP 800-82r3 (US) and Singapore’s Cybersecurity Code of Practice also emphasize the protection of industrial control systems.

Cyberattacks targeting critical infrastructure are becoming more frequent and sophisticated. Incidents like the Colonial Pipeline ransomware attack (2021) and the attempted water treatment plant hack in Florida (2021) highlight the urgency of securing industrial systems.

Case in Point: The Risk at Level 0

A major concern addressed by NIS2 is the lack of security controls at Level 0, the process level of the Purdue Model. Devices such as sensors and actuators often lack authentication, making them susceptible to data manipulation, spoofing, and cyber-physical attacks.

For example, an attacker manipulating sensor data in a power grid could cause a false reading, leading to operational disruptions or even physical damage. NIS2 calls for real-time monitoring, anomaly detection, and network segmentation to mitigate these risks.

Reality Check: The Compliance Challenge

While NIS2 sets a strong foundation for cybersecurity, implementation is not without challenges:

• Many legacy OT systems were built without security considerations and may require costly upgrades.

• Organizations must balance operational uptime with security measures, as shutting down systems for updates can disrupt critical processes.

• Supply chain security is another hurdle, as third-party vendors must also meet compliance standards.

What’s Next?

Companies covered under NIS2 must assess their OT security readiness now. The directive requires businesses to:

• Implement strong access controls and real-time anomaly detection for industrial control systems.

• Establish cyber incident response plans that include Level 0 security measures.

• Ensure executives understand their cybersecurity obligations, as penalties for non-compliance include fines and operational restrictions.

The Bottom Line

NIS2 marks a major shift toward regulatory enforcement of OT cybersecurity. With increasing cyber threats targeting industrial processes, securing Level 0 systems is no longer optional.  It’s a business necessity.

Organizations must act now to modernize their OT defenses, ensure compliance, and protect the critical infrastructure that keeps society running.

To learn how SIGA’s ML² Multi Level/Machine Learning, process-oriented OT cybersecurity solution can help protect Level 0 systems and ensure NIS2 compliance, visit sigasec.com.

Stay ahead of evolving cyber threats with real-time monitoring and anomaly detection built specifically for industrial control environments.