Consumer-Advocate Engagement Critical for Utility Broadband Program Success
As more utilities are finding ways to bring broadband connectivity to unserved and underserved locations, engaging with utility consumer advocates is a critical priority, a panel of experts said at a national event earlier this month.
In a Nov. 9 panel discussion during the National Association of State Utility Consumer Advocates (NASUCA) 2020 Annual Meeting, representatives from UTC core utility member American Electric Power, UTC associate member Tilson, and UTC staff discussed the importance of investor-owned utility (IOU) middle-mile programs to bridging the digital divide.
NASUCA represents the government officials that advocate on behalf of utility consumers in state-level regulatory proceedings.
Brad Hall, External Affairs Vice President at AEP subsidiary Appalachian Power, discussed his utility’s middle-mile project in both Virginia and West Virginia. In his presentation, Mr. Hall noted the at-times frustrating legislative process in each state that ultimately resulted in new laws permitting IOUs to partner with local firms on broadband-connectivity projects.
Mr. Hall, a frequent speaker on UTC events, also noted UTC’s key role in educating and advocating on behalf of the utility industry as more states look to utilities as broadband partners.
Additionally, Mr. Thormeyer provided a more general picture of the utility industry’s broadband efforts, which range from middle-mile projects such as those offered by AEP, and the direct-broadband services offered by public-power and cooperatively owned utilities across the country.
Particularly as it relates to rate-regulated IOUs, educating the state officials charged with representing utility consumers in regulatory proceedings is essential, both Mr. Hall and Mr. Thormeyer said. With utilities investing in grid-modernization technologies and enhanced communications networks, there are ways to offset these costs by leasing portions of utility fiber to third parties, they said.
These points were echoed by West Virginia Public Service Commission Chair Charlotte Lane, who noted that if there were a free market, private investment solutions to rural broadband, there would likely be no need for utilities to be involved. However, the market has not provided an answer to this problem, so innovative, creative solutions such as utility middle-mile projects are essential to closing the broadband gap.
UTC appreciates the invitation from NASUCA to participate in this event.
Please contact the UTC Public Policy Team for more information.