Paul Thissen: Innovation in Action

Alexandria Forum (Part I)

Campaign Covered on MN Progressive Project

Joe Bodell at the MN Progressive Project covered the campaign on the new and improved merged blog.  Check it out.

Governor Should Build Institutions and Policies that Last

Alexandria Forum (Part II)

White Spaces: Broadband Internet Access for Rural Minnesota

Minnesota, with its large rural areas, has a broadband problem.  In short, too many people have limited or slow access to modern communications technologies that are shaping modern life.

In rural areas, our broadband is basically limited by two factors: expanding broadband access is very expensive and low population densities offer few incentives to profit-maximizing companies to invest in those communities. 

Fortunately, the Federal Communications Commission has opened the door to new technologies that will lower the cost of offering broadband in rural areas.  “White spaces” are unused chunks of radio spectrum that are now available to the public.  Much like anyone can use Wi-Fi to create a wireless network in their home, rural communities will be able to create much larger wireless networks.

This FCC decision opens the path to achieving a Minnesota where all citizens have access to the educational and economic development opportunities from the ongoing communications revolution.  However, the FCC decision is a necessary but not sufficient precondition to expanding broadband access across Minnesota.

The private sector will not, perhaps cannot, offer every Minnesotan the high quality broadband access we need.  Just as we relied upon our government to build the roads that enabled economic prosperity in the past, our government continues to have a strong role in ensuring everyone gains access to broadband – our current and future digital roads. 

Small communities require expert assistance and technical advice that the State can help provide.  The State can also assist communities financially, by supporting bonding efforts or even making loans available to communities with solid plans to offer fast broadband access.  Over time, these networks will pay for themselves, but they need some help on the front end. 

Relying solely on private sector solutions has left millions across America behind.  With white spaces and smart government initiatives, we can make up for lost time. 

Renewable Energy Payments

Renewable energy payments can increase energy security and economic development from the renewable energy industry in Minnesota.  The problem is that existing incentives for renewable energy depend on Congressional action to renew, and these incentives inhibit community-based projects – the ones with the best economic benefits for Minnesota communities.  Renewable energy payments provide a stable market for renewable electricity development from wind, solar and other technologies by providing a 20-year, fixed price contract for any renewable energy producer. 

The Problem
Existing incentives for renewable energy are largely in the form of tax credits.  This format rewards renewable energy production, but only by those who have big tax bills.   Cities, counties, non-profits, and cooperatives are prohibited from contributing toward the development of renewable energy.  Furthermore, these incentives have regularly expired, as Congressional debates have held up their renewal. 

The Solution
Renewable Energy Payments can energize broad-based development of renewable power and maximize the state’s economic benefits from renewable power.  Unlike federal incentives, these payments require no annual legislative review, do not expire, and are overseen by the Public Utility Commission.  Furthermore, they encourage community-based energy development by creating an “all in” payment that allows non-taxable entities and small developers to compete on an even field to supply renewable power to the Minnesota market.  Renewable energy payments have helped renewable power in European countries capture more than 10% of the market and have created hundreds of thousands of jobs in green energy industries. 

For more on renewable energy payments (also known as feed-in tariffs), see this report on feed-in tariffs  from the Institute for Local Self-Reliance.