EPB workers installing fiber-optic lines
"We have a lot of automation inside of our substations, and having the ability to control that gives us the ability to use that knowledge to maximize the use of our assets," said David Wade, senior vice president of EPB's electric system.
EPB over a three-to-five-year period would run fiber-optic lines to homes and other parts of the electric system, he said. The utility plans to issue a $230 million bond, backed by Chattanooga, to pay for part of the Smart Grid and other capital improvements to the electric system. The fiber lines now being installed were paid for by a $12 million line item in the utility's budget.
Meanwhile, a Davidson County chancellor is expected to hear several motions in a cable industry lawsuit seeking to stop EPB from offering cable service. The Tennessee Cable Telecommunications Association filed a brief countering EPB's claim that the utility should not be required to file documents before a trial, said Stacey Briggs, the cable association's president.
EPB is asking the chancellor to drop the lawsuit.
EPB recently delayed issuing the $230 million bond because officials said the subprime mortgage crisis has rocked the financial market, leading to higher interest rates and making bond insurance more expensive.
EPB is waiting for interest rates to drop before issuing the bond, officials said. Mr. Wade said the Smart Grid upgrades will allow EPB to prevent theft of electricity, which according to national surveys accounts for 1 percent to 1.5 percent of a utility's sales. The technology also would use computers to detect outages, diagnose problems in the electric system and reset switches, alleviating the need for EPB technicians to drive around and manually reset those switches, he said. The Smart Grid eventually will connect to Smart Meters that EPB plans to install at each customer's house, Mr. Wade said.
The meters will allow customers to monitor their energy use and conserve power, he said.
The utility recently received approval from the Chattanooga City Council to borrow up to $60 million from electric system revenue to launch a residential telecommunications system. The Smart Grid fiber-optic lines would form the backbone of the telecom system.
EPB would repay the electric system loan by selling residential television, Internet and telephone service.
Related News

Duke Energy reaffirms capital investments in renewables and grid projects to deliver cleaner energy, economic growth
CHARLOTTE - Duke Energy says that the company will continue advancing its ambitious clean energy goals without the Atlantic Coast Pipeline (ACP) by investing in renewables, battery storage, energy efficiency programs and grid projects.
Duke Energy, the nation's largest electric utility, unveils its new logo. (PRNewsFoto/Duke Energy) (PRNewsfoto/Duke Energy)
Duke Energy's $56 billion capital investment plan will deliver significant customer benefits and create jobs at a time when policymakers at all levels are looking for ways to rebuild the economy in 2020 and beyond. These investments will deliver cleaner energy for customers and communities while enhancing the energy grid to provide greater…