As Phone Companies Dismantle Landlines, Utilities Have a Lesson to Learn

[kristopher]

As Phone Companies Dismantle Landlines, Utilities Have a Lesson to Learn

The looming utility death spiral looks a lot like the “digital divide” in telecom.


STEPHEN LACEY: JULY 22, 2013
As the economics of distributed energy, storage and demand-side management continue to improve, the warnings about coming radical changes to traditional electric utility business models grow louder.

One of the most recent ominous signs of change came not from the power sector, but from the telecom industry.

AT&T recently said it wants to abandon all of its copper phone lines by 2020. Verizon is close behind.

Of course, phone companies are much further along the trajectory of disruption than utilities. With mobile phones and internet-based phone services making copper landlines obsolete for most Americans (only one quarter of citizens will have a copper line by the end of this year), service companies are faced with difficult choices about how to maintain their infrastructure.

Most experts predict that solar, storage and other distributed energy technologies will soon force utilities to make the same tough decisions ...

http://www.greentechmedia.com/articles/read/utilities-have-a-lesson-to-learn-from-the-phone-companies?utm_source=SmartGrid&utm_medium=Headline&utm_campaign=GTMDaily

[question everything]

1. There was recently a story about a city along the Jersey shore

don't remember the name - where the phone company, Verizon, I think, decided not to rebuild the land line. And how it is going to affect many, mostly senior citizens.

We do keep our phone line. Not only that, one of the extension is the old handset from the 80s. Not connected to any electronic device thus that it works when we lose power.

There was a major power disruption several weeks ago. Several supermarket were operated on auxiliary generator and... many came to the store to charge their cell phone.

I hope that the day you describe is far in the future.

[kristopher]

2. So you are already there! (sort of)

Those supermarkets on an aux generator are a sample of what the world will look like when everyone is part of a small self-sufficient electric network. All of those "microgrids" will be linked together to optimize performance and efficiency. A solid benefit is that our power supply will be much more dependable.

[starroute]

3. Not New Jersey -- Fire Island

http://www.npr.org/2013/07/22/204501411/residents-forced-to-live-without-landlines

Last fall, Hurricane Sandy damaged homes, buckled boardwalks and ruined much of the infrastructure of the small vacation spot of Fire Island, just off the coast of New York. The storm also destroyed many of the island's copper phone lines. But the island's only traditional phone company has no plans to replace them. Instead, Verizon is offering customers a little white box with an antenna it calls Voice Link.

"It has all the problems of a cellphone system, but none of the advantages," says Pat Briody, who has had a house on Fire Island for 40 years.

Essentially, Voice Link connects home phones to the Verizon Wireless network on the island. It has a traditional-sounding dial tone and 911 service, but that's about it. You can't use Voice Link to access the Internet. Some businesses can't process credit card transactions. Many alarm systems and health monitors won't work with Voice Link. "I don't think there's anyone who will tell you Voice Link is better than the copper wire," says Steve Kunreuther, the treasurer of the Saltaire Yacht Club.

[kristopher]

4. It sounds like a case of damned if you do, damned if you don't

I just did a little reading, it is an interesting case. At one time it made sense to invest in the expense of running copper in an area like this, but it no longer does. The public has been adversely affected, but the fact that there was a hurricane that wiped out infrastructure isn't the fault of either those individuals or Verizon.
The public lost a familiar dependable system for basic telephone service, and it sounds like the Voice Link system is designed to replicate that basic service as much as possible without going to the expense of laying a landline again. I have to say that it sounds like a reasonable approach given the trends in technology.
In my case, I have copper only because I live in a low population density spot. DSL runs to within 3 miles, cable internet runs to within 2 miles, and fiber optics runs within 2 miles. I'm also in a deadzone for both 3G, 4G, and basic telephone cellular.
I'd love some options.

Here is a summary of the project that I found prepared by the Village of SaltAire.

Residential Phone Service
1. Verizon is committed to restore basic telephone service to all subscribers by May 31st.
2. Subscribers who have functioning landline telephone service will retain that service unless or until the copper wire supporting that service fails.
3. Subscribers who have no service as a result of failed copper wiring will be given the option to restore voice service via the Voice Link system. Verizon will install this system at the residence at no charge to the subscriber.
4. The Voice Link system will allow any phone jack in the house to support a landline phone.
5. The Voice Link System will support the E911 Emergency Dispatch services.
6. The Voice Link System will have a rechargeable battery back‐up that will
operate the phone for 36 hours in the event of a phone failure.
7. The cost will be equivalent to the cost of the prior land ‐line service.
8. The Voice Link System will NOT support fax machines, internet access or
point of sale terminal equipment‐ although this enhancement is in the works.

DSL Service‐
1. DSL service will continue to be available as long as the copper‐wire servicing
the home is intact.
2. Once Verizon determines that the DSL line cannot be restored, the subscriber
will be advised that this service is no longer available.

Cellular Data Services
1. Verizon is working with its affiliate; Verizon Wireless, to provide enhanced cellular service coverage and expanded network capacity.
2. Verizon is installing supplemental poles along existing utility right‐of‐ways and will mount small (18 inch)transmitter/receivers on the poles to expand its capabilities.
3. This cellular network will provide 4G service throughout the Village
4. Subscribers will pay a separate fee to access this service. The fee has not
been set but Verizon has committed to provide a service fee credit to
subscribers to partially offset the cost.
5. Individuals will be free to subscribe to any other data services provider
offering services in the community

Essential Services
Verizon will rewire service to Municipal offices, Fire Houses Police/Security facilities and any other essential service providers. This will restore full capability voice and data services to these locations only.

http://www.saltaire.org/phoneservicesummary.pdf

[question everything]

5. Thank you for the correction

Back in the stone age, when I first took Economy 101 we were taught about how monopoly is called for when individuals cannot rely on businesses to provide service. Utilities were the prime example.

Yes, I am talking about a government agency rebuilding the land lines. But, sigh, our government cannot even dedicate funds for the other infrastructure of roads and bridges and so many want "small government that can be flushed down the tub.."