Streamlining geothermal development for energy abundance
Build it faster
Geothermal energy remains an untapped giant. Thanks to the application of fracking techniques to the field, what was once an incredibly site-specific generation source is a potential contender in a wider set of areas. Because we can toggle it up and down with generation from the wind and the sun, it makes a great addition to our energy portfolio.
Geothermal is still a technology in development. Google and Fervo, for example, started exporting some power to the local grid in Nevada. This development is exciting. Yet it is taking longer to play out because of outdated permitting rules that can prevent developers from quickly determining site viability, slowing progress, and increasing costs.
Chris Koopman and I submitted short comments to the Department of Interior and the Bureau of Land Management about their proposed revisions to the National Environmental Policy Act (NEPA) procedures. These aren’t a dramatic change in practice. But they represent a critical step toward breaking down these barriers. In short, the Department is categorizing exploration activity as something with minimal impact to exempt geothermal resource exploration from a few bits of the red tape that apply to energy development. The Department and Bureau are setting the stage for faster and more efficient deployment of geothermal energy projects.
This matters for far more than just the future of geothermal energy. Geothermal could be a big part of an energy-abundant world. Energy abundance is the key to a thriving economy, innovation, and environmental stewardship. Streamlined permitting for geothermal energy represents not only an opportunity to harness the heat beneath our feet but also a pathway to a cleaner, more prosperous future.
A few headlines from our comment:
Eliminating delays by accelerating site assessments
The proposed categorical exclusion eliminates unnecessary delays for minimal-impact activities, reducing uncertainty and financial risks.
Cutting red tape for small developers
Simplified permitting allows smaller developers to compete, fostering innovation and market diversity.
Cutting red tape for western developers
Simplified permitting is particularly important in the western US where there are more public lands that trigger permitting requirements.
Categorical exemptions mean better-spent public resources
Categorical exemptions avoid the analysis-paralysis common in energy development. Exempting mundane and largely inert actions from review better allocates resources to projects and developments in need of rigorous environmental protection.
Driving economic growth
Faster permitting timelines lower energy cost, which has downstream benefits since energy is a fundamental input.
Supporting load growth with new generation sources
Perhaps the fundamental confusion in load growth conversation is that it so obsesses over demand that it forgets about supply. Adding geothermal energy to the mix helps meet rising energy demands from manufacturing reshoring, transport electrification, and artificial intelligence development.
Cutting red tape can cut costs by between 4% and 11%
Streamlined processes can cut the energy costs of geothermal projects by between 4% and up to 11%. Long reviews make geothermal unattractive and uncompetitive–these kinds of reforms fix that.
Affirming the centrality of energy abundance
Regulatory efficiency ensures that the US can lead in clean energy deployment, fostering prosperity and resilience.
There is only so much that can be done without Congress. The good news is that Congress has taken some of its own first steps towards wider reforms. For example, the Geothermal Energy Optimization (GEO) Act, introduced in the Senate as S.3954 and cosponsored by a bipartisan group of senators, including Catherine Cortez Masto, Martin Heinrich, Jim Risch, and Mike Lee, represents a promising legislative step. A similar bill, H.R.7370, the Geothermal Energy Opportunity Act, was introduced in the House by Representative John Curtis. Another promising package is the Energy Permitting Reform Act (EPRA), which mirrors these bills. Section 208 of EPRA includes streamlining permitting for geothermal. Two other bills, the CLEAN Act and HEATS Act, were passed through the House of Representatives in November.
Why energy abundance matters
Abundant energy is foundational to modern life, driving down costs and enabling innovations that improve quality of life across the board. Regulatory streamlining, like the Department of Interior’s proposed reforms, makes energy abundance possible by reducing the time and expense of deploying clean energy projects.
Let’s build faster.