500kW seems small to need transfer trip, but I can't see the broader picture.
So, QB looks at the planner's N-1, N-2, or N-1-1 world and says all is well, no problems with this installation. The P&C guy knows that when the N-2-1-2-3 event occurs everybody is going to be after his arse demanding to know why it didn't stop at N-2-1. At that point nobody's going to care that the first N-2 didn't cause any particular concern. The P&C guy (or gal) isn't really chicken little, he knows that the sky has fallen and he's carrying it around on his back trying to keep it from making it all the way to the ground.
The planner in his N-x world considers a fault to be a contingency; the P&C guy knows better. The fault is a given; it's there just waiting for the worst possible time and place. Givens are not contingencies; contingencies are things that either happen prior to the fault (line out, transformer out, etc.) or contingencies are the results of things not going according to Hoyle post fault.
Planners and P&C folk can get along well or they can be ever at logger heads; each just needs to understand the other's world. They're not the same world by any means. I've never known a situation where the planner gets the first call from the control center to find out what the he!! just went wrong; no, that call goes to the protection engineer. I take those calls, I make the evaluations, and now and then I recommend planning criteria changes to the planners. And, yes, I get along very well with the planners and transmission ops engineers I work with. Planners deal with the distant future, the transmission operations engineers deal with the immediate future, and the protection operations engineer carries around the pooper scooper. That protection operations experience turns around and drives the protection planning side of the Protection Operations and Planning Engineer. Know how sh!t happens and try to make Murphy figure out a different tact next time. But don't dis Murphy too much, after all he sets the table every night as well as keeping a roof over my head and money in my bank account.
Bottom line, neither planners nor the P&C folk have a lock on "truth", each is right and they need to work together and recognize the differences in how they look at the world as it was, or as it will be.