Tag: "holston electric cooperative"

Broadcast TV Dispute Hinders Co-op Fiber Project in East Tennessee

Posted April 15, 2019 by Katie Kienbaum

Plans for Holston Electric Cooperative to offer television service as part of its Fiber-to-the-Home (FTTH) network deployment are on pause following allegations from the east Tennessee co-op that broadcasting company Nexstar Media Group refused to engage in “good faith” negotiations over retransmission consent agreements.

Holston Electric Cooperative established its broadband subsidiary, HolstonConnect, in late 2017 after a state law change removed restrictions on rural electric co-ops. Currently, HolstonConnect is in phase one of its FTTH project, which will bring high-quality Internet access to underserved communities in Rogersville, Surgoinsville, and nearby areas. Subsequent deployments will connect the remainder of the cooperative’s service territory, partially aided by federal funding from last year’s Connect America Fund phase II reverse auction.

From the start, the co-op planned to offer a “triple play” of broadband, voice, and video services. However, failure to come to an agreement with Nexstar, one of the nation’s largest station operators, over access to essential local channels has delayed the delivery of television services to HolstonConnect subscribers. In early March, Holston filed a complaint against Nexstar with the Federal Communications Commission (FCC), arguing that the broadcasting company demanded exorbitant fees and unfair station tying arrangements during negotiations with the co-op.

“Failure to Negotiate in Good Faith”

To carry popular television programming, networks must sign cable retransmission consent agreements with regional station operators. The FCC requires that these companies behave in “good faith” and make tangible efforts to engage in negotiations.

logo-nexstar-media-group.png Holston claims that Nexstar has not met the...

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Another Rural Co-op, Another Broadband Project

Posted May 23, 2018 by lgonzalez

Holston Electric Cooperative (HEC) in Hamblen and Hawkins County, Tennessee, is about to begin Phase I of its plan to deploy fiber optic connectivity to more than 30,000 members. The multi-year project will bring broadband to the rural area and create smart grid efficiencies for the electric system.

Wide Support for HolstonConnect

There’s been so much interest and so many inquiries about when members can sign-up, General Manager Jimmy Sandlin feels it’s important to ask folks in the service area to be patient and to understand that the build will be a long process. Construction will begin in Rogersville and will extend to South Surgoinsville.

“As HolstonConnect’s services will have less delay times than other products available in your market, the competition may encourage our members to lock themselves into new contracts. Be aware of this tactic, as this is your opportunity to help improve your neighborhood. Owned by the people served, HolstonConnect will connect our community to a great future, just like Holston Electric Cooperative brought rural residents into the future with electricity.”

Prices and a complete list of services have not been posted yet, but the cooperative plans to offer symmetrical gigabit service, voice, and video. In keeping with similar policies from other publicly owned networks, HEC has said there will be no throttling or data caps. 

HEC has had plans in place for a while to deploy a smart grid to improve electric systems. As is the case with many other electric cooperatives, HEC decided to consider taking advantage of the infrastructure’s excess capacity as a foundation for fiber optic connectivity for local residents and businesses. In order to make the venture successful, however, they knew that they would need take rates of around 80 percent from members to make the project viable. The cooperative still needs to determine final estimates, but the initial figure for the entire project comes in at around $120 million.

In early 2017, HEC reached out to members, holding several meetings to gauge interest. Local residents packed the events and the average of pledges to sign up for service averaged around 90 percent of attendees. A survey indicated that 60 percent of those asked would pay...

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