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section heading icon     BPL trials

This page considers overseas trials of internet-over-powerline.

It covers -

subsection heading icon     introduction

It is clear that internet traffic can be sent over powerlines, whether within an individual building (eg an office or a house) or to multiple urban and rural sites (eg to all households within a city or suburb, to farms and to telemetric devices).

Technical aspects of that communication have been explored in a range of non-commercial trials in Australia and overseas. Such exploration, with research by individual organisations and through projects such as Opera, is likely to continue, although some work appears to involve government-funded reinvention of the wheel (or investigation of telemetrics and notions such as the smart home in the guise of inhome BPL) rather than significant extension of existing knowledge.

There have been fewer commercial trials, ie explorations of BPL business models encompassing -

  • large numbers of users in environments that are representative of 'real world' conditions (eg where buildings/precincts have not been newly rewired)
  • inclusion of hardware maintenance costs
  • inclusion of realistic ISP costs (eg billing system, helpdesk and user set-up charges)
  • inclusion of other connectivity charges (eg fees to operators of other networks for telephone traffic)
  • pricing of equipment at realistic rates (eg addressing criticisms that distortions have been introduced by some equipment developers/venders providing gear on a heavily subsidised basis or at what it might cost in future)
  • measures of customer satisfaction and service
  • comparisons with commercial provision of other technologies, including ADSL over traditional copper phone networks, wireless, cable and fibre-to-the-home
  • inclusion of costs for fixing existing powerlines to address interference problems (ie the cost of hardware and labour involved in its installation)

That is of concern, given claims by enthusiasts that BPL is "in use across the world", is "commercially successful" or is "clearly competitive". Essentially, those claims have not been substantiated.

As noted on the preceding page, it is possible to find media releases and (generally naive) media coverage about the initiation of technical trials and forecasts that access BPL will deliver substantial benefits in the near future to both utilities and consumers. Those trials have typically been small scale and short term. As with much exploratory work the conclusion of a technical trial has rarely been marked by a media release or a detailed public report from the individual utility. It is clear from media coverage and from examination of corporate annual reports that many utilities have been disappointed, choosing to curtail a technical trial or not to proceed to a real world commercial exploration.

One example is the Nor.Web joint venture formed by Nortel Networks and British energy company United Utilities in 1997. Technical problems in its access BPL trial in Manchester (UK) - famously involving street lights near the test site acting as antennas for the 2-10 MHz band with interference to the BBC's World Service, Civil Aviation Authority and GCHQ - and the expense of the joint venture led to closure of Nor.Web in 1999. Across the Channel German equipment giant Siemens abandoned the BPL business in 2001.

Proponents of access BPL have thus had difficulty in pointing to a large scale implementation that appears to be commercially viable and that addresses interference concerns.

Enthusiasts have tended to 'spin' some technical exploration as commercial trials or to fudge specific aspects.

Claims about the economics of BPL for example often assume there is no need to address interference concerns and that maintenance of equipment housed in substations will be low. That is unsurprising, given the potential to boost the share price of a utility or a partner, gain favourable media attention or merely justify a particular R&D project. It is however problematical, with Aurora in Tasmania and Country Energy in NSW admitting to concerns about high temperatures; Country Energy commented that it "had had to customise the cabinets enclosing the Mitsubishi hardware to include 24-hour rotating fans as overheating could be a problem".

Others have conflated figures for buildings that could potentially access BPL (for example over 20,000 in the Endesa trial in Barcelona) with substantially lower figures for households/offices that have chosen to use the technology. The Fribourg (Switzerland) trial has thus sometimes been characterised as covering 250,000 households but in fact only a fraction of 1% of that figure subscribed, the federal regulator has criticised consistent breaches of standards and the operator appears to lost substantially.

subsection heading icon     New Zealand BPL trials

BPL in New Zealand has followed the same trajectory as overseas, with initial hoopla, small-scale trials and little follow-up.

The trial in Auckland by UnitedNetworks and Vector ceased after it "failed to produce commercial results", with Vector commenting that

we haven't been able to get anything commercially viable ... We can't get enough distance and the equipment is a bit expensive.

subsection heading icon     overseas

The Canadian government's 2005 consultation paper on BPL (PDF) comments that

A number of foreign governments including Australia, Austria, China, Finland, Hong Kong, Hungary, Ireland, Italy, Korea, Japan, Netherlands, Poland, and Switzerland are currently studying BPL technology or have permitted equipment trials. The outcomes have shown mixed results and have led some administrations to ban BPL systems while other administrations have allowed deployment under various conditions. A number of administrations have suspended BPL trials pending international
developments

Access BPL trials have included -

  • Iowa, US (2004) Alliant trial: abandoned
  • North Carolina, US (2004) PECC trial: no further action
  • Penn Yann, US (2004) Data Ventures trial: NFA because "not commercially deployable"
  • Vantaa, Finland (2001) Vantaa Power trial in apartment block: abandoned after regulator says interference too severe
  • Tirol, Austria (2002) TIWAG trial: abandoned
  • Saragoza, Spain (2003) Endesa trial
  • Manchester, UK (1997) United Energy trial: abandoned
  • Madrid, Spain (2003) Iberdrola trial
  • Neuenkirchen, Austria (2002) EVN trial: abandoned
  • Linz, Austria (2003) Linzstrom trial: litigation by regulator
  • Cincinatti, US (2004) Cinergy: BPL partnership with Current Technologies 2001, test deployment to 100 customers in 2002, 'commercial deployment' in 2004/5 to 5,000 homes
  • Crieff, UK (2005) Scottish Power trial: regulator OFCOM says "is not and cannot be ... compliant"
  • Arnhem, The Netherlands (2001) Nuon trial: Dutch utility Nuon ceases access BPL trial in 2003 as "uncompetitive", with no further action
  • Mexican state power utility CFE trials in Mérida, Monterrey and Mexico City (2001)
  • Mannheim, Germany (2002) PowerPlus Communications trial: primarily underground lines
  • Singapore (2003): no further action as "uneconomic" after three pilots
  • LeHigh Valley, US (2003): abandoned by PPL as uneconomic
  • Manassas, US (2003) municipal system: proprietary technology, predominantly fibre rather than BPL
  • Solothurn, Switzerland (2004) inhouse BPL: regulator OFCOM says interference is outside acceptable limits
  • Manassas, US (2004): original solution vendor (Prospect Street Broadband) replaced by municipal government, ComsTek announces "first commercial, non-pilot deployment" in US
  • Potomac, US (2004) PEPCO trial: 115 households
  • Dresden, Germany (2002)
  • Paris, France (2003) Electricite de France
  • Dusseldorf, Germany (2002) E.ON trial: abandoned, with E.ON commenting "the technology is too complicated and costly to deploy"
  • Offenbach, Germany (2002)
  • Barcelona, Spain (2003): Endesa trial
  • California, US (2004): AT&T ends BPL pilot
  • Monroeville, US (2005): Duquesne Broadband joint venture - WiFi over last mile
  • California, US (2005): San Diego Gas & Electric launches BPL pilot
  • Long Island Power Authority announces plans to test BPL with 105 homes in Hauppauge/Commack area

subsection heading icon     recent developments

In September 2005 Tasmanian utility Aurora Energy launched what was variously characterised as Australia's first commercial BPL-to-the-home trial or even "The world's first large-scale trial".

The exercise - involving Mitsubishi, AAPT and Datafast - initially involves 500 households in an upmarket part of the city. A spokesman stated

I believe that it's probably the first time we'll see broadband delivered to the masses .... We'll be able to provide a whole range of new services. Broadband will be a real option that customers have. As the new player we do definitely have to provide very competitive pricing and no doubt we'll raise the bar on both pricing and capacity.

Aurora's partner Datafast said

This is not a technical trial - the technology works. This is the first stage of a commercial roll-out. ... The commercial trial launched today will run for approximately nine months - initially with customers in Hobart and then extending to other parts of the state

Immediate responses were underwhelming, with criticisms that the offering was overpriced rather than competively priced and was subject to unusually low traffic limits.

Tim Gaden for example commented

TasTel claims the new BPL technology can offer Internet access at up to 200Mbit/s, significantly faster than the speeds reached by ADSL2 and 2+ technology. However, the actual speeds offered during the trial are much slower. The fastest priced BPL plan offered by TasTel is only 4Mbit/s and includes only 2GB of data for $79.95/month. (It offers a 12Mbit/s plan, "price on application"). The slowest plan is 256/64 and includes an astoundingly small 20MB of data, which includes uploads. An additional network access charge will also be levied, although it is being waived for the trial, which could last twelve months

Others claimed that the technology was flawed, pointing to an audio recording that elegantly demonstrated RF interference problems with access BPL in Tasmania. (Links to overseas recordings are here). Some forecast greater interference problems as the trial progressed, expanding from a precinct where much of the powerline was underground.

Others simply questioned the business case, commenting that while the technology can be made to work there are uncertainties about competitiveness of a large-scale implementation on a commercial basis. Aurora shortly thereafter announced it would be concurrently trialling other technologies, with for example fibre-to-the-home.

The Aurora BPL announcement was followed shortly by news that major US utility PPL had abandoned its LeHigh Valley BPL trial as uncompetitive, reportedly because its pool of potential customers — 1.3 million Pennsylvania electricity customers — was "too small".

Elsewhere in the US TXU announced "an agreement to transform TXU Electric Delivery's power distribution network into the nation's first broadband-enabled Smart Grid". The background brief for that announcement claims that the technology has "No Potential for Interference" and features a quote by Federal Energy Regulatory Commission Pat Wood:

It's my hope that a year from now boards of directors and shareholders and customers are all asking utilities, 'Why aren't you in BPL?'

We will be discussing the Aurora exercise in a forthcoming research paper.

 



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version of March 2006
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