A novel new approach to underwriting the costs of next generation high speed Internet - fiber to the home while addressing the challenges of reducing energy consumption and CO2 emissions and providing new revenue model for service providers.
Executive Summary
One of the significant challenges facing network operators today is the high capital cost of deploying next generation broadband network to individual homes or schools. Fiber to the home only makes economic sense for a relatively small percentage of homes or schools. One solution is a novel new approach under development in several jurisdictions around the world is to bundle the cost of next generation broadband Internet with the deployment of solar panels on the owners roof or through the sale of renewable energy to the homeowner. Rather than charging customers directly for the costs of deployment of the high speed broadband network theses costs instead are amortized over several years as a small discount on the customer’s Feed in Tariff (FIT) or renewable energy bill. There are many companies such as Solar City that will fund the entire capital cost of deploying solar panels on the roofs of homes or schools, who in turn make their money from the long term sale of the power from the panels to the electrical grid. In addition there are no Energy Service Companies (ESCOs) and Green Bond Funds that will underwrite the cost of larger installations.
Wednesday, January 20, 2010
FTTH leads to energy reduction of 73%, CO2 emissions reduction of 85%.
http://bbpmag.com/wordpress2/2010/01/etisalat-fiber-to-the-home-network-reduces-carbon-emissions-by-85/
The Etisalat study compared 5,000 fiber-connected homes in the United Arab Emirates with homes serviced by Etisalat’s legacy infrastructure. Because the FTTH network transmits voice, video and data over a single system, it is replacing two separate legacy networks, telephone and coaxial cable, each of which had its own infrastructure and power. The fiber optic network can also transport data over much greater distances. The facilities required to manage the fiber optic network are built at 12-km (7.5-mile) intervals, while the legacy system required a building or station every 2.5 km (1.5 miles). Not only does this require less power and fuel to keep the buildings operational, but it also cuts down on maintenance and staff transport.
Etisalat’s FTTH network has been deployed nationwide and its engineering teams are now working door-to-door to connect every household in the country by 2011. More than 670,000 homes can now access the network.
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