For some time, I have been telling communities that quality of life and affordable broadband are the drivers of economic development in rural areas of the country. But over the past few months, I have come to believe that there is a third factor: reliable electric power. As we store more and more data and dish more of that data out to a global audience via our Web sites and businesses, reliable electric power is a critical resource that is needed to keep electricity-hungry servers humming.
How important is it? Wired reports that Google is building a new office campus and data center next to a hydroelectric dam. It turns out that not only do communities need redundant fiber connections to the Internet. They also need redundant power connections into business parks and business districts, to minimize power outages. A company like Amazon is doing millions of dollars of business PER HOUR, and just a few minutes of losing connectivity to the Internet or to electric power is disastrous.
Regions served by public electric utilities or by electric coops are well-positioned to take advantage of the new interest in rural areas by high tech companies, because those utilities are more flexible and can more easily make investments that benefit the community.
Finally, safety and security are also driving the shift to placing these in rural areas. In the aftermath of 9/11 and Katrina, companies are realizing decentralized operations are a business necessity. And the low cost of land, lower wages, less traffic, and the beautiful countryside helps too. Rural communities, start your power generators for the coming boom of the Energy Economy.