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Host Chris Mitchell speaks with community broadband pioneer Billy Ray. Billy is the Superintendant of the Glasgow Electric Plant Board, the municipally owned electric power, cable television, and internet utility for the City of Glasgow, Kentucky. He brings a plethora of experience in building local power as a longtime advocate for both municipally owned electricity and broadband.
Chris and Billy make the case for restructuring the electric grid and generating power locally rather than relying on giant, centralized utility companies that extract wealth from communities. Billy shares his insights on why it matters that electricity is generated locally and how making the switch can save customers money.
They talk about the parallels between the movements for municipal electric utilities and community broadband networks. The two also identify the ways in which the Internet fight against monopoly is almost word-for-word replaying the electric monopoly history. As a veteran of the movements, Billy explains what a difference it can make to get your internet from a community broadband network versus a monopoly Internet service provider, like Comcast.
Tune in to hear more about overhauling our energy system and Internet infrastructure and how far we’ve come in the past 30 years.
So I have been interested in all elements of local economies and local control and trying to implement pretty much the electric power micro grid concept with respect to all aspects of a local economy. There’s gotta be a way to make it work by eating your own dog food as I like to say, and concentrating on things that people are gonna buy that can be provided locally.
So I’m curious, you’re there in Glasgow Kentucky, a place that many listeners may not even be familiar with, but you’ve been thinking about small towns for what I can gather, is your whole life. So what are people missing today when you’re hearing news analysis on the TV and things like that about the way small towns should be thinking about their local economies?
And we operate a public power system and a public broadband network in this small community of 15 thousand people and it’s probably a rare board meeting that I’m involved in where if somebody wants to get way down in the weeds of the individual services that we provide and just look at the profit and loss characteristics of an individual piece of the puzzle without thinking about the whole puzzle. And really for a public power system, the whole puzzle should mainly be focused on, “How can we make people’s lives better in this community? And how can we keep this community from being used by some distant corporate board to feather their nest at the expense of our local nest?”
So yeah, I think that’s kind of a epidemic of people that don’t take the time to become fully involved or fully informed or even worse, they allow themselves to be pseudo informed by social networks or what have you and somebody quoting some kind of a indirect reference or just blatantly false reference to the success or failure of one of these networks, is the real problem as communities try to figure out how to make themselves stand on their own two feet. It’s not normally a five minute conversation to really consider all aspects of these things. They’re not simple and people really love simple these days. They like to make decisions based on a 40 column inch Facebook post and a lot of these things are just more complicated than that.
And the status quo with respect to electric rates is that they are just classically socialized. And it’s not that the people that are designing electric rate structures are socialists, it’s that we have for 100 years, used technology to measure electric power that provided not anything like enough information. For example, everybody gets an eclectic bill, it usually is based on kilowatt hours or some unit of energy that is not differentiated according to time and so it’s just a monthly charge.
But the utility that’s sending you that bill, when they either make the energy or buy it from someone else, they’re not buying it simple, wholesale rate environment like that, they’re paying different during every hour of the day depending on the mix of generation they’re having to run to provide that energies.
There’s a lot of information to be sent back and forth, information that is dramatically more important than have a better Netflix experience by virtue of having a faster broadband network. That stuff is okay but the center of the universe really is in enhancing the most complicated machine that man has yet constructed on this planet and that is the electric power grid.
So using broadband to make that grid work better and make it more capable of exploiting this practically free wind energy by helping people employ appliances and what have you that recognize energy at night is free. Lets figure out a way to heat and cool the house mainly at night and to restructure the way people use energy with the attempt of trying to make sure that we don’t ever have to build any new fossil fuel generation.
The electric utility business moves so slowly. And there’s some amazing dynamics that I’ve watched across the country as a few utilities have attempt … Every time it seems that a utility go to a state public service commission and asks to make a move in the direction that I’m talking about by restructuring the price of energy where that it’s more a fixed cost and the actual value of the energy going down to mimic the actual cost of producing it, public utility commissions have a knee jerk reaction, they’re against it. They wanna maintain the status quo.
Every customer or consumer advocate group known to man automatically, against it. It’s this struggle to help people who seemingly don’t wanna be helped. If you restructure the energy industry and price it appropriately so that people begin to demand less capital investment for serving loads that very wildly and unfortunately use most of their energy during three hours of the day, there’s no better way to help consumers than forbidding those additional capital outlays. But we’re struggling to get to that point because consumers apparently prefer the status quo, even though the status quo is screwing them.
Remember, the electric power industry is only 100 years old. It follows that we haven’t figured everything out, and we need to be open to learning from nature about how they have learned to manage energy and what is an effective microgrid. An individual human body is a microgrid.
So, let’s switch over to community broadband a little bit, just because being conscious of time, there’s so much more to discuss there.
Just noticed they’re about to do a one or two day seminar called Fiber University, to talk to … these are the same people that are operating the most complicated system on earth, the electric grid, but in 2019, we still need to have kind of an elementary explanation of what broadband is good for and why you might want to do it. That surprises me. I know there’s 10,000 cities across the United States, and everybody can’t do it all at the same time, but in 30 years, I would think that everybody could have done it by now.
So that gives an opportunity for those who want to extract wealth from the communities, to try to take it over, it seems like.
The whole concept of natural monopolies and being regulated by state public service commissions was invented to try to protect people, but by 2019, long before 2019, but that just happens to be when we’re talking, to a large extent the state public service commissions have succumbed to the siren song of the electric utilities, and often they are kind of a handmaiden of the electric utilities, and suddenly protector of the consumers, because they too find it really attractive to stick with the status quo, you know. Whatever we’ve been doing probably is good, and we outta just keep on doing that.
But if you really dig into the electric utility industry, and there’s a great book that I would highly recommend for any of you listeners that are turned on by any of this and want to learn more about it, the title of it is “The Grid”, flat cop flat footed here, I can’t remember who the author is. But it’s a really great book that explains all of this. I mean I bought 50 copies to get all of my team to read it, and every time I get I new board member, the first requirement is they’ve got to read this book.
I have a really good prediction about what life with Comcast is like in your city, and that is that you’re pretty much on your own. If you have some strange issue with your service that you can’t figure out, your download speed is not what it should be, you just are confused, that you got a new laptop and you don’t know how to get it set up on the system, my perception is that you might spend weeks trying to get your problem solved. It may take days out of your otherwise productive life if they need to make a site visit. And just the classic monopoly service, big company, little customer.
With respect to cable TV, and this is another absolutely economically perverse situation, but you know, even though all the prognosticators with respect to video entertainment write off cable TV, and I’m probably one of them, it’s going to be dead in X number of years, we just can’t figure out what X is. Everybody’s gonna go to streaming. Well the thing is, there is, percentage-wise, a huge number of customers that are never going to go to streaming. They won’t even use the program guide which is available on all the TV products that we sell now. They still change channels by the plus and minus key. And if somebody sits on that remote and gets it off of the right input where they can’t get that, they often … That’s the only entertainment option that they have, and they expect us to send a truck over there with somebody that will walk in the house and get their TV back on the right input.
And that’s a service we provide. It’s economically insane, but it makes happy customers. We understand that that’s the basis for our existence is because we live in a rural area. People are not going to get this stuff made easy for them. They didn’t get it in 1910 with electricity, so the public power concept came along where people would teach them how to use their washing machine, and it’s just being repeated again in 2019, or in our case, since 1988 when we started building this network. We recognize that it’s fairly easy to get a flow of electrons or a flow of bits to go through conductors and arrive at your home. It’s much more difficult to democratize the technology which is constantly evolving. But that’s the difference … You asked what the difference is. That’s the difference.
I understand where our customers are. It’s more than an inconvenience. It can border on fear that I’m not going to be able to live my life here because this system, this technology is broken down. You know, we understand that the basis for the electric power utilities, at least the public ones, were born of that same fear.
But I want you to tell me about you going to be a guest of President Clinton’s at the time. What was happening around there?
Once, when I was … They had a press release to talk about this, and I got to make a talk at the National Press Club. And that night was the State of the Union address, and they told me to be at a certain bar right there on Capitol Hill right there at a certain time. I showed up and they gave me a ticket to get into the House, which didn’t get you into the chamber. And then somehow, before the speech started, they handed a ticket that was going to let me get on the floor of the House. No more instructions other than that.
Well, you know, I’m just an old boy from a little town in south central Kentucky. And so I went to the door keeper person and presented the ticket and he opened the door and let me in. Of course, there was no place to sit. Every place I tried to sit was taken by somebody important. And I got run out of a couple of seats and I finally wound up just standing through the whole address and President Clinton finished.
Since the only place I could find to stand was right in one of the doors that goes onto the floor of the House … So when it was over and the doors swung open, I was the first one to leave because I was standing in the door.
The only place I knew to go was the last place I had seen my host, which was the office of the guy that introduces the President at the State of the Union address. I can’t remember if it’s the Sergeant-at-arms, or what the right term is.
I turned back around from opening a beer and I was looking right in the face of a Secret Service guy, and right behind him was the President. And so I didn’t know what I was supposed to do next, so I just said, “Mr. President, that was a great speech. Would you like a beer?” And he said, “I’d really like that, but I’d better not.” Of course he was hoarse, sounded like he really needed one. He asked me who I was and I told him. And I’m going to tell you, he said, “Oh, Glasgow. That’s the place where y’all built the community broadband that worked.” I said, “Yeah! That’s right!”
So he either was just a voracious consumer of information, or these guys told him I was going to be there, but I left there impressed. I have no proof of that because there were no pictures made.
Yeah no, it is amazing to think of how little has changed, just looking at this and the same sort of discussions. But I do think we’re at the precipice. And I’ll say that in five years, I think things are going to look different, finally.
Well thank you so much for coming on. It’s always a pleasure to hear from you, and I’m really glad to know that you stuck around in Glasgow. Because I think it’s easy for people to hop from job to job to job, and it’s hard to see something through. And I’m glad that you saw it through and have continued to inspire people.
Thank you all for tuning in to this episode of the Building Local Power Podcast from the Institute for Local Self Reliance. You can find the links we discussed today at ILSR.org, clicking on the show page for this episode. That’s ILSR.org. While you’re there, you can sign up for one of our many newsletters and connect with us on the Internet socials. Take a second to rate us, or even shout the name of this show out a window. I’m pretty sure that’s how word-of-mouth works.
This show is produced by Lisa Gonzales and Hibba Meraay. Our theme music is Funk Interlude by Dysfunctional. For the Institute for Local Self Reliance, I’m Chris Mitchell. We’ll be back in two weeks. Let’s build local power!
Like this episode? Please help us reach a wider audience by rating Building Local Power on iTunes or wherever you find your podcasts. And please become a subscriber! If you missed our previous episodes make sure to bookmark our Building Local Power Podcast Homepage.
If you have show ideas or comments, please email us at [email protected]. Also, join the conversation by talking about #BuildingLocalPower on Twitter and Facebook!
Photo Credit: Rennett Stowe via Flickr
Audio Credit: Funk Interlude by Dysfunction_AL Ft: Fourstones – Scomber (Bonus Track). Copyright 2016 Licensed under a Creative Commons Attribution Noncommercial (3.0) license.
Follow the Institute for Local Self-Reliance on Twitter and Facebook and, for monthly updates on our work, sign-up for our ILSR general newsletter.
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Host Chris Mitchell speaks with community broadband pioneer Billy Ray. Billy is the Superintendant of the Glasgow Electric Plant Board, the municipally owned electric power, cable television, and internet utility for the City of Glasgow, Kentucky. He brings a plethora of experience in building local power as a longtime advocate for both municipally owned electricity and broadband.
Chris and Billy make the case for restructuring the electric grid and generating power locally rather than relying on giant, centralized utility companies that extract wealth from communities. Billy shares his insights on why it matters that electricity is generated locally and how making the switch can save customers money.
They talk about the parallels between the movements for municipal electric utilities and community broadband networks. The two also identify the ways in which the Internet fight against monopoly is almost word-for-word replaying the electric monopoly history. As a veteran of the movements, Billy explains what a difference it can make to get your internet from a community broadband network versus a monopoly Internet service provider, like Comcast.
Tune in to hear more about overhauling our energy system and Internet infrastructure and how far we’ve come in the past 30 years.
So I have been interested in all elements of local economies and local control and trying to implement pretty much the electric power micro grid concept with respect to all aspects of a local economy. There’s gotta be a way to make it work by eating your own dog food as I like to say, and concentrating on things that people are gonna buy that can be provided locally.
So I’m curious, you’re there in Glasgow Kentucky, a place that many listeners may not even be familiar with, but you’ve been thinking about small towns for what I can gather, is your whole life. So what are people missing today when you’re hearing news analysis on the TV and things like that about the way small towns should be thinking about their local economies?
And we operate a public power system and a public broadband network in this small community of 15 thousand people and it’s probably a rare board meeting that I’m involved in where if somebody wants to get way down in the weeds of the individual services that we provide and just look at the profit and loss characteristics of an individual piece of the puzzle without thinking about the whole puzzle. And really for a public power system, the whole puzzle should mainly be focused on, “How can we make people’s lives better in this community? And how can we keep this community from being used by some distant corporate board to feather their nest at the expense of our local nest?”
So yeah, I think that’s kind of a epidemic of people that don’t take the time to become fully involved or fully informed or even worse, they allow themselves to be pseudo informed by social networks or what have you and somebody quoting some kind of a indirect reference or just blatantly false reference to the success or failure of one of these networks, is the real problem as communities try to figure out how to make themselves stand on their own two feet. It’s not normally a five minute conversation to really consider all aspects of these things. They’re not simple and people really love simple these days. They like to make decisions based on a 40 column inch Facebook post and a lot of these things are just more complicated than that.
And the status quo with respect to electric rates is that they are just classically socialized. And it’s not that the people that are designing electric rate structures are socialists, it’s that we have for 100 years, used technology to measure electric power that provided not anything like enough information. For example, everybody gets an eclectic bill, it usually is based on kilowatt hours or some unit of energy that is not differentiated according to time and so it’s just a monthly charge.
But the utility that’s sending you that bill, when they either make the energy or buy it from someone else, they’re not buying it simple, wholesale rate environment like that, they’re paying different during every hour of the day depending on the mix of generation they’re having to run to provide that energies.
There’s a lot of information to be sent back and forth, information that is dramatically more important than have a better Netflix experience by virtue of having a faster broadband network. That stuff is okay but the center of the universe really is in enhancing the most complicated machine that man has yet constructed on this planet and that is the electric power grid.
So using broadband to make that grid work better and make it more capable of exploiting this practically free wind energy by helping people employ appliances and what have you that recognize energy at night is free. Lets figure out a way to heat and cool the house mainly at night and to restructure the way people use energy with the attempt of trying to make sure that we don’t ever have to build any new fossil fuel generation.
The electric utility business moves so slowly. And there’s some amazing dynamics that I’ve watched across the country as a few utilities have attempt … Every time it seems that a utility go to a state public service commission and asks to make a move in the direction that I’m talking about by restructuring the price of energy where that it’s more a fixed cost and the actual value of the energy going down to mimic the actual cost of producing it, public utility commissions have a knee jerk reaction, they’re against it. They wanna maintain the status quo.
Every customer or consumer advocate group known to man automatically, against it. It’s this struggle to help people who seemingly don’t wanna be helped. If you restructure the energy industry and price it appropriately so that people begin to demand less capital investment for serving loads that very wildly and unfortunately use most of their energy during three hours of the day, there’s no better way to help consumers than forbidding those additional capital outlays. But we’re struggling to get to that point because consumers apparently prefer the status quo, even though the status quo is screwing them.
Remember, the electric power industry is only 100 years old. It follows that we haven’t figured everything out, and we need to be open to learning from nature about how they have learned to manage energy and what is an effective microgrid. An individual human body is a microgrid.
So, let’s switch over to community broadband a little bit, just because being conscious of time, there’s so much more to discuss there.
Just noticed they’re about to do a one or two day seminar called Fiber University, to talk to … these are the same people that are operating the most complicated system on earth, the electric grid, but in 2019, we still need to have kind of an elementary explanation of what broadband is good for and why you might want to do it. That surprises me. I know there’s 10,000 cities across the United States, and everybody can’t do it all at the same time, but in 30 years, I would think that everybody could have done it by now.
So that gives an opportunity for those who want to extract wealth from the communities, to try to take it over, it seems like.
The whole concept of natural monopolies and being regulated by state public service commissions was invented to try to protect people, but by 2019, long before 2019, but that just happens to be when we’re talking, to a large extent the state public service commissions have succumbed to the siren song of the electric utilities, and often they are kind of a handmaiden of the electric utilities, and suddenly protector of the consumers, because they too find it really attractive to stick with the status quo, you know. Whatever we’ve been doing probably is good, and we outta just keep on doing that.
But if you really dig into the electric utility industry, and there’s a great book that I would highly recommend for any of you listeners that are turned on by any of this and want to learn more about it, the title of it is “The Grid”, flat cop flat footed here, I can’t remember who the author is. But it’s a really great book that explains all of this. I mean I bought 50 copies to get all of my team to read it, and every time I get I new board member, the first requirement is they’ve got to read this book.
I have a really good prediction about what life with Comcast is like in your city, and that is that you’re pretty much on your own. If you have some strange issue with your service that you can’t figure out, your download speed is not what it should be, you just are confused, that you got a new laptop and you don’t know how to get it set up on the system, my perception is that you might spend weeks trying to get your problem solved. It may take days out of your otherwise productive life if they need to make a site visit. And just the classic monopoly service, big company, little customer.
With respect to cable TV, and this is another absolutely economically perverse situation, but you know, even though all the prognosticators with respect to video entertainment write off cable TV, and I’m probably one of them, it’s going to be dead in X number of years, we just can’t figure out what X is. Everybody’s gonna go to streaming. Well the thing is, there is, percentage-wise, a huge number of customers that are never going to go to streaming. They won’t even use the program guide which is available on all the TV products that we sell now. They still change channels by the plus and minus key. And if somebody sits on that remote and gets it off of the right input where they can’t get that, they often … That’s the only entertainment option that they have, and they expect us to send a truck over there with somebody that will walk in the house and get their TV back on the right input.
And that’s a service we provide. It’s economically insane, but it makes happy customers. We understand that that’s the basis for our existence is because we live in a rural area. People are not going to get this stuff made easy for them. They didn’t get it in 1910 with electricity, so the public power concept came along where people would teach them how to use their washing machine, and it’s just being repeated again in 2019, or in our case, since 1988 when we started building this network. We recognize that it’s fairly easy to get a flow of electrons or a flow of bits to go through conductors and arrive at your home. It’s much more difficult to democratize the technology which is constantly evolving. But that’s the difference … You asked what the difference is. That’s the difference.
I understand where our customers are. It’s more than an inconvenience. It can border on fear that I’m not going to be able to live my life here because this system, this technology is broken down. You know, we understand that the basis for the electric power utilities, at least the public ones, were born of that same fear.
But I want you to tell me about you going to be a guest of President Clinton’s at the time. What was happening around there?
Once, when I was … They had a press release to talk about this, and I got to make a talk at the National Press Club. And that night was the State of the Union address, and they told me to be at a certain bar right there on Capitol Hill right there at a certain time. I showed up and they gave me a ticket to get into the House, which didn’t get you into the chamber. And then somehow, before the speech started, they handed a ticket that was going to let me get on the floor of the House. No more instructions other than that.
Well, you know, I’m just an old boy from a little town in south central Kentucky. And so I went to the door keeper person and presented the ticket and he opened the door and let me in. Of course, there was no place to sit. Every place I tried to sit was taken by somebody important. And I got run out of a couple of seats and I finally wound up just standing through the whole address and President Clinton finished.
Since the only place I could find to stand was right in one of the doors that goes onto the floor of the House … So when it was over and the doors swung open, I was the first one to leave because I was standing in the door.
The only place I knew to go was the last place I had seen my host, which was the office of the guy that introduces the President at the State of the Union address. I can’t remember if it’s the Sergeant-at-arms, or what the right term is.
I turned back around from opening a beer and I was looking right in the face of a Secret Service guy, and right behind him was the President. And so I didn’t know what I was supposed to do next, so I just said, “Mr. President, that was a great speech. Would you like a beer?” And he said, “I’d really like that, but I’d better not.” Of course he was hoarse, sounded like he really needed one. He asked me who I was and I told him. And I’m going to tell you, he said, “Oh, Glasgow. That’s the place where y’all built the community broadband that worked.” I said, “Yeah! That’s right!”
So he either was just a voracious consumer of information, or these guys told him I was going to be there, but I left there impressed. I have no proof of that because there were no pictures made.
Yeah no, it is amazing to think of how little has changed, just looking at this and the same sort of discussions. But I do think we’re at the precipice. And I’ll say that in five years, I think things are going to look different, finally.
Well thank you so much for coming on. It’s always a pleasure to hear from you, and I’m really glad to know that you stuck around in Glasgow. Because I think it’s easy for people to hop from job to job to job, and it’s hard to see something through. And I’m glad that you saw it through and have continued to inspire people.
Thank you all for tuning in to this episode of the Building Local Power Podcast from the Institute for Local Self Reliance. You can find the links we discussed today at ILSR.org, clicking on the show page for this episode. That’s ILSR.org. While you’re there, you can sign up for one of our many newsletters and connect with us on the Internet socials. Take a second to rate us, or even shout the name of this show out a window. I’m pretty sure that’s how word-of-mouth works.
This show is produced by Lisa Gonzales and Hibba Meraay. Our theme music is Funk Interlude by Dysfunctional. For the Institute for Local Self Reliance, I’m Chris Mitchell. We’ll be back in two weeks. Let’s build local power!
Like this episode? Please help us reach a wider audience by rating Building Local Power on iTunes or wherever you find your podcasts. And please become a subscriber! If you missed our previous episodes make sure to bookmark our Building Local Power Podcast Homepage.
If you have show ideas or comments, please email us at [email protected]. Also, join the conversation by talking about #BuildingLocalPower on Twitter and Facebook!
Photo Credit: Rennett Stowe via Flickr
Audio Credit: Funk Interlude by Dysfunction_AL Ft: Fourstones – Scomber (Bonus Track). Copyright 2016 Licensed under a Creative Commons Attribution Noncommercial (3.0) license.
Follow the Institute for Local Self-Reliance on Twitter and Facebook and, for monthly updates on our work, sign-up for our ILSR general newsletter.
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