Ten Power Distributors with Vision for Rural Development

By Lee Burlett

Some of the very first economic development efforts in the world were focused on rural industrial development in the Southern U.S. Some experts will argue that organized economic development began with the advent of the New Deal in the 1930s. Programs like the Tennessee Valley Authority and other New Deal initiatives back in the early 1930s focused most of their efforts at ending poverty and creating a greater quality of life in the rural South.

Today, power distributors such as TVA continue to develop programs aimed at bringing prosperity to the rural regions they serve. Here are ten power companies that are doing their part to help bring jobs and investment to SmallTownSouth. For more information on rural development, go to www.SmallTownSouth.com.

Tennessee Valley Authority's Megasite Program

One of the most successful rural economic development initiatives in the South in years is TVA's ongoing certified megasite program. Within TVA's territory, which includes almost all of the state of Tennessee and parts of Alabama, Georgia, Kentucky, Mississippi, North Carolina and Virginia, the federal utility identified and certified eight megasites; three in Mississippi, three in Tennessee and one each in Kentucky and Alabama.

Since 2004, five of the megasites were sold to companies that announced some of the largest projects in the South during that time. The most recent was the megasite in Clarksville, Tenn. That site was sold to Dow Corning/Hemlock Semiconductor in December. The companies are building a $1.2 -$2.5 billion semiconductor plant on the 1,215-acre Commerce Park Megasite in Clarksville. The deal will bring more than 500 jobs to the area, with construction jobs topping 1,000.

To say that TVA's megasite program is a regional economic development success story is a huge understatement. The other TVA sites that were in the megasite program were sold to Volkswagen (near Chattanooga), Toyota (in rural Northeast Mississippi near Tupelo), SeverStal and PACCAR (on two sites near Columbus, Miss.).

Three TVA-certified sites remain and others are being developed. The sites that are available include the I-24 Megasite in Hopkinsville, Ky., the Memphis-Jackson I-40 Advantage Megasite in Haywood County, Tenn. (30 minutes from Memphis) and the I-65 Megasite in Athens, Ala. (near Huntsville).

Electric Cooperatives of Arkansas' Home Makeover

We have written about the Electric Cooperatives of Arkansas' involvement in the program called "Powering Rural Development," or "PRD" in the state of Arkansas. Collaborating with Arkansas State University's Delta Center for Economic Development, the Arkansas electric cooperative is assisting rural counties in the state with on-site training and technical assistance along with coaching in rural strategic planning, organizational development and project management. The PRD program helps rural counties in the state that don't have the resources to fund full-time economic and community development programs.

But one small initiative implemented by the Electric Cooperatives of Arkansas (AECC) caught our attention. The co-op recently held a sweepstakes of sorts when it asked customers to apply for the grand prize, an energy home makeover worth about $50,000. AECC received more than 900 applications and Carroll and Sue Luten of rural Donaldson, Ark. won the grand prize.

The Luten's home received a pre-and-post energy audit, including a blower door test and infrared thermography. The home received several energy saving applications from AECC, including cellulose insulation, a Marathon water heater, a high efficiency heating and cooling system and insulated doors and windows. Work done by AECC on the Luten's home was publicized to the cooperative's 480,000 customers in an effort to reduce energy costs statewide.

Old Dominion Electric Cooperative's Support of Virginia's Rural Broadband Initiative

One of the problems facing rural areas in the South in today's digital age is the lack of high-speed connectivity. Much progress has been made, but there are still too many areas of the rural South that offer only dial-up Internet connections. The lack of high-speed connectivity makes selling those areas to industry very difficult.

More than 50 years ago, much of the rural South faced a similar problem. Good roads were hard to find in the "country" and the phrase "farm to market" was used by popular politicians as they argued that in order to create jobs in their rural areas, road improvement needed to be the No. 1 priority. They were right. 

In 2004 a major rural broadband initiative was announced in Virginia. Much of the heavy lifting involved in the formation and implementation of the rural broadband initiative came from Old Dominion Electric, a Virginia-based electric cooperative. As a result, universal business access to broadband services in Virginia is expected to be completed by next year.

Progress Energy Supports Solar, Biomass and Wind Power in Rural Communities

Progress Energy’s commitment to providing secure, clean, affordable electricity applies to sparsely populated rural communities as well as major population centers. The Raleigh-based utility’s leadership in North Carolina’s Renewable and Efficiency Portfolio Standard (REPS) is helping develop a viable market for solar power, including one in rural Haywood County. There along the rugged mountains, is one of three solar farms in North Carolina from which the company is purchasing power. Progress Energy is involved in equally exciting alternative energy projects elsewhere in rural North Carolina, including experimentation in power derived from agricultural biomass.

Renewable energy education is a recurring theme in Progress Energy’s strategic vision. In rural Madison County, the company is a partner in North Carolina’s first Wind for Schools program. Small three-kilowatt wind turbines will be installed at schools in the county, including Hot Springs Elementary School. As part of the effort, teachers and students alike get to see and learn the inner workings of wind energy. In Florida, Progress Energy’s sponsorship of solar education programs such as SolarWise for Schools is bringing solar photovoltaic systems to urban and rural schools. Through SolarWise, the company provides teachers with interactive instructional tools that give students real-world exposure to alternative energy solutions. By late 2009, Progress Energy will have brought similar programs to middle schools in its service areas in North Carolina and South Carolina.

Renewable energy is a key component of Progress Energy’s “Balanced Solution,” a set of strategic objectives that also emphasizes energy efficiency and state-of-the-art power plants. Complementing the company’s renewable energy purchases and education programs, Progress Energy offers several energy efficiency programs for customers, including advice for businesses and residents on boosting energy efficiency. The company is also investing in advanced-technology power plants at key locations across its three-state service area.

Entergy's Teamwork Louisiana Program Celebrates 20 Years

Teamwork Louisiana is a 20-year-old program designed to assist communities with economic development initiatives. As the name implies, it promotes teamwork across all community lines by involving various segments such as education, government services, community facilities, quality of life and business. Individuals from this cross-section of ideas and experience meet together to identify the good things in the area so they can be marketed and talked about to new and existing business. This also causes an examination of the weak points locally so that those can be addressed and effort made to improve them. Key planks of the Teamwork program include existing business retention, identification of available buildings and sites, and training to teach members how to look for new opportunities and then when they come, how to handle them.

Presently 89 communities are involved in Teamwork all across Louisiana. Many new jobs have been created over the years. Entergy considers Teamwork communities to be the "cream of the crop" and the best product they have to sell in economic development.

Electric Cities of Georgia, Inc. Ramps up Services

The Electric Cites of Georgia (ECG) is an entity dedicated to the success of 52 Georgia communities, most of which are in rural regions of the state. Historically, ECG has been a leader in public power training. Beginning in July 2009, a major initiative of ECG is to broaden its training and technical assistance programs to all aspects of community development. In the broadest sense, its goal is to build a successful team of leaders who create thriving local economies, as well as provide targeted support for attracting new companies.

ECG’s Leadership Academy will provide customized, strategic and targeted training, planning and facilitation programs for local elected officials, utility professionals, development authorities, local government staff and community leaders. Time again, innovative leadership is the critical driver for successful development and it is even more critical in the new economy.

ECG’s technical services ensure communities have the tactical tools and know-how to energize economic growth and maximize their utility infrastructures. With ECG’s total dedication to public power, no other entity brings this breadth and depth of community development services to rural Georgia cities.

Alabama Power: 90 Years of Helping Rural Alabama

For more than 90 years, Alabama Power has taken an active role in improving opportunities for economic growth in the communities it serves and rural Alabama is no exception. Throughout the years, Alabama Power has developed many programs that aim to increase economic development in rural communities. Some of those programs include a speculative building loan program. Alabama Power has provided zero-interest loans to numerous rural communities since 1991. In addition to other programs, such as the Industrial Site Development Program, a pro-active existing industry outreach program and other strategic planning initiatives, Alabama Power provides a targeted marketing program for rural regions in Alabama. These regional rural initiatives have been geographically based, such as the new Interstate 22 corridor, and sector specific, such as aerospace and automotive.

Electricities' Prime Power Parks

This North Carolina Public Power company provides power to many rural communities in North Carolina. Two industrial parks in the cities of Albemarle and Gastonia caught our attention. Called Prime Power Parks, the two industrial parks are the only two in North Carolina featuring on-site backup power generation. That means tenants can protect their plant operations from power outage disruptions without the cost of buying and maintaining their own redundant power systems.

Gulf Power and UWF Team Up for BEST

Thanks to Northwest Florida-based Gulf Power and the University of West Florida, middle and high school students in many parts of rural Northwest Florida will now be able to compete locally in the nationwide robotics competition known as BEST (Boosting Science Engineering and Technology). The new program is called Emerald Coast BEST and it was made possible by a grant from the Gulf Power Foundation to UWF. The grant will help supply the components for robots along with awards and other materials needed for the competition. BEST started in 1993 when two Texas Instruments engineers helped launch the first robotics competition among high school students in Sherman, Tex.

The South Carolina Power Team Promotes Rural Development

The South Carolina Power Team is the economic development alliance of the state-owned electric utility Santee Cooper and the state's 20 electric cooperatives. Together, they provide power to more than 2 million South Carolinians, reaching every county in the state. The South Carolina Power Team has several rural initiatives including funding a statewide work force study to address labor availability issues. The Power Team also has three special initiatives that help create jobs in rural South Carolina. Its professional development initiative provides scholarships for South Carolina economic development professionals to take accredited economic development courses to improve their skill sets. Also, the South Carolina Power Team helps develop and fund strategic marketing plans for rural South Carolina counties and regions through its strategic planning initiative. And finally, the "Team" has a certified sites initiative that is designed to insure that shovel ready sites exist in all counties of the state.