AEP to extend modernization to rural areas

American Electric Power wants to take its grid modernization effort — including smart meters and improved circuits along its distribution system — to the more rural parts of its Ohio service territory.

The plan also should provide a boost for internet service in parts of the state where it is lacking.

The power company submitted its $700 million, 10-year expansion plan to the Public Utilities Commission of Ohio on Friday.

If approved, the average AEP Ohio residential customer using 1,000 kilowatt hours of electricity per month would pay $1.16 per month over the first five years of the plan. Customers are currently paying 92 cents a month for the program.

This would be the third phase of AEP Ohio’s program.

AEP initially did work in Columbus followed by other larger cities in the state where it provides service, such as Canton, Steubenville, Athens and Chillicothe. The third phase includes customers scattered in its remaining areas of southern, eastern and northern Ohio.

The company has 1.4 million customers in Ohio.

More than 900,000 smart meters were installed in the first two phases of the program. Smart meters, among other things, provide more detailed information about electricity use and have the ability to detect and report failures to AEP Ohio so crews can restore power faster.

“The first two phases of our smart grid rollout have allowed us to make the energy system smarter and more efficient, while giving our customers more control over their energy use,” Raja Sundararajan, AEP Ohio president and chief operating officer, said in a statement. “AEP Ohio is now looking to bring the benefits of these technologies and a more reliable, smarter grid to all of our customers.”

Beyond smart meters, AEP Ohio would upgrade nearly 600 circuits on its distribution system to include advanced automation and control equipment meant to reduce the length of power failures.

Finally, AEP Ohio has proposed the expansion of its data network since much of the area to be served during this phase lacks a communication network capable of handling these technologies.

AEP Ohio wants to offer third-party providers the ability to use this network to make broadband internet available in rural areas that currently lack access. Using thirdparty providers should lower the cost of the investment, the company said.