Total impact projected to grow to $10 billion by 2035, including $1 billion in quantum technology gains
EPB’s fiber optic network and automated electric grid have generated $5.3 billion in community benefit since their launch in 2010, according to a peer-reviewed economic impact study conducted by the University of Tennessee at Chattanooga (UTC).
“EPB’s investments in a ubiquitous fiber optic system and the nation’s most advanced automated grid can be noted as one of our community’s most meaningful and impactful investments,” said Bento Lobo, Ph.D., who conducted the study and serves as head of the Department of Finance and Economics at the Rollins College of Business at UTC. “Since the project was fully completed in 2011, it has returned more than six times the original cost of the investment.”
“EPB’s fiber network fundamentally changed Chattanooga, and the city-owned utility continues to set us apart from other destinations,” said Chattanooga Mayor Tim Kelly. “Chattanooga remains a magnet for tech startups, remote workers, researchers and more because of EPB’s innovation, which will only continue with the advancements in the quantum network.”
“EPB has been a dedicated partner in public education, broadening opportunities for Hamilton County students while driving billions in economic benefit for our community,” said Hamilton County Mayor Weston Wamp. “From building pathways to line worker careers to emerging quantum opportunities, their commitment to innovation is helping ensure the next generation can build a future right here at home.”
Key Findings
- Supported the creation of 10,420 jobs from 2011-2024, representing 31% of all jobs in the area created during the same time
- Generated $84.06 million for local schools and public services in the form of payments-in-lieu-of-taxes (PILOT) payments to Hamilton County, the City of Chattanooga and other local governments.
- Bridged the digital divide with HCS EdConnect powered by EPB, which provides high-speed, fiber optic internet at no charge to all students in need who attend Hamilton County Schools. Currently provides connectivity to 28,000+ students and family members.
Value for Customers
EPB’s grid and fiber optic network has consistently provided unmatched quality and affordability.
- Prevented more than 417.7 million minutes of power outages for customers. This reflects an annual average outage reduction of about 59%.
- Helped customers avoid more than $945 million in outage-related costs, from lost productivity to spoilage and other impacts.
- Saved customers $334,437,064 on their electric and fiber optic services:
o Upgraded 100 Mbps internet customers to 300 Mbps at no charge in 2019.
o Decreased the price of Gig speed internet from $69.99 to $67.99 per month in 2019.
o Maintained the lowest price per megabit of any other service offered locally while also offering the highest bandwidth product in the area (up to 25 Gig per second). EPB still offers the highest bandwidth and only 100% fiber optic, symmetrical internet service in the area.
o Kept energy rates lower for all customers because revenues from EPB Fiber Optics help cover the cost of electric system infrastructure.
Investing in the Future
The study also projects EPB’s fiber optic, electric, and quantum technology initiatives will generate an estimated $5 billion in additional community benefit and support the creation of an estimated 8,000 new jobs between 2026 and 2035. Of that, EPB’s quantum initiatives are expected to represent up to $1.1 billion of that benefit.
Since EPB launched its automated grid and fiber optic network, it has stayed ahead of trends in energy and internet services:
- Beginning in 2020, EPB completed a $70 million, multi-year effort to completely upgrade fiber optic system equipment and launched community-wide 25 Gig service in 2022.
- In 2022, EPB announced the nation’s first commercially available quantum network—EPB Quantum Network®—using experience developed during an R&D 100 Award-winning quantum security project with Oak Ridge and Los Alamos National Laboratories.
- This year, EPB Quantum CenterSM, became the first U.S. quantum technology center to provide commercial access to both quantum computing and quantum networking resources.
