Moving Missouri Forward with Fiber Network Upgrades
Ameren Missouri is expanding its fiber optic network as part of the Smart Energy Plan to make the energy grid even smarter, which will improve reliability for Missouri families and businesses. The plan focuses on infrastructure upgrades through 2023, which include adding in automated, smarter equipment that many times must rely on a robust communication network to operate effectively.
Along with those reliability improvements, spare bandwidth/fiber capacity being installed on transmission (and some distribution) lines could be leased to end-use internet providers who will be able to deliver broadband service to homes and businesses in unserved and underserved areas of the state.
Revenues generated from leasing space on Ameren Missouri's system will be returned to electric customers, as a reduction in the revenue requirement in a general regulatory rate review, to help keep rates affordable in Missouri. Ameren Missouri has no intention of becoming a telecommunications or internet service provider.
Making fiber services available to internet service provider companies will help them reach more customers with high-speed internet that is in high demand as more people are working from home, educating their children/distance learning from home and using tele-health services.
Legislation is required to be passed in the 2021 session to allow electric utilities to expand the use of rights-of-way and easements in order to provide broadband capacity to end-use providers.
Sen. Jason Bean (R-25), who represents Butler, Carter, Dunklin, Mississippi, New Madrid, Pemiscot, Shannon and Stoddard counties in southeast Missouri, is sponsoring the fiber/broadband legislation (SB184 and SB185) in the Senate. Rep. Travis Fitzwater (R-49, Holts Summit) is the House sponsor (HB321).
“I’ve seen how important broadband is in my area," says Sen. Bean. "I’m pretty lucky. Where we live rural broadband is becoming more accessible. But if you look at my district as a whole — Butler, Shannon and Carter counties — it is really tough to get high-speed internet. There are so many different reasons why it is important: industries look at internet capabilities. With COVID-19, people are working remotely, and so many children are going to school virtually.”
Ameren Missouri currently has approximately 1,300 miles of fiber on its system with a goal of 2,800 miles to enable new grid technologies and reliability for customers for many decades. The fiber network that Ameren Missouri is deploying is in-line with today's utility standards and it will have spare capacity for the foreseeable future that could be utilized by competitive providers to deliver broadband services to end-use customers.
Ameren is making a prudent investment in broadband communications for maintaining grid reliability and serving electric customer needs.