Improving Access to Broadband Would Open Doors for Climate Solutions

At least 14.5 million and up to 42 million Americans lack broadband access, with rural communities and tribal nations the most likely to be disconnected. The inaccessibility of broadband leads to the “digital divide” phenomenon—the gap between communities that have reliable access to the Internet and all the opportunities it brings, and others that do not. Rural and tribal communities experience the lowest rates of broadband access. In 2019, 98.0 percent of urban areas had access to 25/3 Mbps internet, the FCC's minimum broadband standard, compared to 71.2 percent of rural areas and 70.3 percent of tribal lands. This disparity is more pronounced with faster broadband service, with 97.5 percent of urban areas having access to 100/10 Mbps internet, compared to only 63.9 percent of rural areas and 61.6 percent of tribal lands. As more and more devices rely on an internet connection, it's important to have fast internet so personal devices and smart energy technologies can all seamlessly integrate with each other in the home.

The United States is pursuing a clean energy economy through President Biden’s net-zero 2050 goals. Communities without broadband access are at risk of being excluded from the transitioning economy and left even further behind. And those left behind in the digital divide could be missing out on much more than just an ability to Google something.

Broadband networks are essential for operating energy-efficient technologies that reduce carbon emissions and save customers money. Such technologies include smart thermostats, heat pumps, electric water heaters, and other appliances that connect to the home’s Internet service. Smart thermostats, for example, are expected to account for 70 percent of the thermostat market by 2022. The consumer can adjust smart devices according to their needs and make optimization decisions to increase energy efficiency. Digital technologies like these could lower U.S. energy demand by 20 to 30 percent when deployed widely.

Rural households spend about 40 percent more of their annual income on energy than urban families. Reasons for this discrepancy include home age and type, energy-inefficient heating systems, chronic economic hardship due to low income, and a lack of financial assistance and energy efficiency programs in rural areas. Smart energy devices are one method to alleviate energy costs, but they are currently out of the question for homes without broadband.

Energy savings from the implementation of broadband-based technology could go beyond individual households as well. Public institutions, such as hospitals and schools, could cut their energy usage thanks to smart devices connected to broadband, saving local governments and taxpayers money while reducing regional carbon emissions.

Recent Legislation Supporting Broadband Deployment

Recent federal legislation supports broadband deployment and could be expanded upon to close the digital divide. The Federal Communications Commission (FCC) estimates that it would cost an additional $80 billion to deploy broadband nationwide, although other estimates place costs as high as $150 billion, depending on the type of broadband technology used.

To address funding needs, the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 (P.L. 116-136) included state funding that several states used to improve broadband infrastructure.

The Consolidated Appropriations Act of 2021 (P.L. 116-260), building upon the CARES Act, included $7 billion specifically for broadband infrastructure improvement. The bill used $3.2 billion to create the FCC’s Emergency Broadband Benefit program, a temporary program that provides $50 subsidies on monthly Internet bills for qualifying residents of rural areas and $75 subsidies for residents of tribal lands. An additional $1 billion established the Tribal Broadband Connectivity Program within the Department of Commerce, which will fund broadband access, deployment, and programs in tribal lands.

With this legislation as a foundation, the Biden-Harris Administration has continued to underscore broadband as a national priority. The fiscal year 2022 budget request, released in April of 2021, calls for a $65 million increase for the Department of Agriculture’s Rural Utilities Service “Reconnect” program, which helps fund broadband development in rural areas. In addition, the budget specifically highlights aiding broadband deployment on tribal lands.

Broadband is also a focus of the Biden-Harris Administration’s $2 trillion infrastructure plan. The American Jobs Plan commits $100 billion to deploy broadband Internet to every American, in addition to including measures to improve roads, bridges, drinking water systems, public buildings, and the electric grid.

Various financial and economic barriers impede the deployment of broadband to underserved areas that also have the most to gain from broadband-enabled technology. While funding for broadband deployment must compete with other high-priority programs relating to food insecurity, other infrastructure, healthcare, or education, reliable access to high-speed Internet is an essential component to addressing these other issues as relevant services become available online. Increasing access to broadband will reduce the digital divide, facilitating greater inclusion in the transition to a cleaner economy.

Authors: Adapted by Amber Todoroff from EESI’s forthcoming issue brief, Closing the Digital Divide: How Rural Broadband Access Benefits Customers, Communities, and the Climate by Rachel Snead and Jaxon Tolbert.

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