The abundance of cyber-physical components in modern day power grid with their diverse hardware and software vulnerabilities has made it difficult to protect them from advanced persistent threats (APTs). An attack graph depicting the propagation of potential cyber-attack sequences from the initial access point to the end objective is vital to identify critical weaknesses of any cyber-physical system. A cyber security personnel can accordingly plan preventive mitigation measures for the identified weaknesses addressing the cyber-attack sequences. However, limitations on available cybersecurity budget restrict the choice of mitigation measures. We address this aspect through our framework, which solves the following problem: given potential cyber-attack sequences for a cyber-physical component in the power grid, find the optimal manner to allocate an available budget to implement necessary preventive mitigation measures. We formulate the problem as a mixed integer linear program (MILP) to identify the optimal budget partition and set of mitigation measures which minimize the vulnerability of cyber-physical components to potential attack sequences. We assume that the allocation of budget affects the efficacy of the mitigation measures. We show how altering the budget allocation for tasks such as asset management, cybersecurity infrastructure improvement, incident response planning and employee training affects the choice of the optimal set of preventive mitigation measures and modifies the associated cybersecurity risk. The proposed framework can be used by cyber policymakers and system owners to allocate optimal budgets for various tasks required to improve the overall security of a cyber-physical system.

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