Centre Wellington council has created a company to build an optical fibre wire communications network at a cost of $1.2 million.
It is not expected to cost taxpayers any money and council heard at a public meeting that the operation will lose $992,000 in its first year, break even in year six, and will eventually save $5.2 million up to the 30-year lifespan of the technology.
Director of information and technology services David Boyle presented the report he and treasurer Wes Snarr prepared for the public meeting held before council.
The township had approved establishing the corporation but under the Municipal Act, had to present a business case, set and maintain policies to run the corporation before assets are transferred to it, and consult with the public.
There were only two residents registered as attending the public meeting, and one thought the technology might be extended to homeowners and was interested. The other was from Elmira.
Boyle said the optical fibre is a flexible, transparent fibre made of pure glass and not much wider than a human hair.
Fibre optic communication is a method of transmitting information from one place to another by sending pulses of light through an optic fibre cable. The main purpose of the new company will be to build a network that connects all of the township’s sites to the servers located in the civic centre in Elora.
Boyle said the cable will have multiple strands, and since only two of those are needed for township purposes, the remaining strands will be available for lease, rent or sale to third parties.
He said there are currently a dozen township sites that have the technology and are connected to the civic centre, and another 23 need connections.
The network will serve the supervisory control and data acquisition (SCADA) system that monitors water and sewer data, water towers, pump houses and also three public works garages.
The township options are to continue to purchase the service or provide its own service. Owning its operation provides some certainty of costs, service levels and band width capacities, Boyle said in making the business case.
The new corporation “will not have offices or staff,” the report stated. “Once the fibre infrastructure is built, its maintenance requirements are minimal and will be contracted out.”
Currently, many township communications are served by radio or wireless systems.
Councillor Walt Visser asked what happens if the network goes down.
Boyle said it can be brought back up quickly and there are provisions for that. Visser asked if there is back-up. Boyle said there is not, but the system is typically reliable.
Visser said his concern is SCADA.
Boyle said fibre optic is the most reliable system available of transmitting data, and places such as Orangeville, Oshawa, the Region of Peel and Chatham have such systems.
Councillor Steve VanLeeuwen asked what is wrong with a wireless system.
Boyle said with all the technology in use, such things as garage door openers can interfere with the township’s wireless technology, but with fibre optics that problem is eliminated.
He added a wireless system makes video surveillance of township operations impossible, but video can be easily accommodated with fibre optics.
There is increasing interference with the current technology that will be eliminated with the new system, which, he said, could be built by the end of 2013.
As well, Boyle said, the technology allows staff to send all of its records off site. If, for example, the civic centre was hit by a fire or tornado, all the information could be accessed elsewhere and operations could continue almost immediately.
VanLeeuwen said, “This comes at a good time, then.”
Boyle agreed. He explained some lines will be buried and others will be carried on hydro poles.
The money for the system will come from Centre Wellington Energy, the holding company that owns Centre Wellington Hydro.
When the holding company was set up, general manager Doug Sherwood explained in a conversation after the meeting, the township, which owns it, placed some of the profits of the corporation in Centre Wellington Energy.
It will operate the new company. There will be a board of directors appointed by council.
Mayor Joanne Ross-Zuj noted, “We’ve done a lot of homework on this.”
VanLeeuwen added, “I’m very surprised … the room’s not full. It’s an exciting investment.”
Ross-Zuj said she has received phone calls and “positive feedback.”
Councillor Kirk McElwain said, “It provides a wonderful infrastructure to build out fibre optics to the whole community and not just the municipal infrastructure.”
He said that will be important when the township markets itself as a “creative community.”
Visser concluded, “I think the taxpayer would be interested because we hope to offer service to the general public – at a reasonable price.”
