Geothermal Energy: Basic Legal Parameters

Abstract

Geothermal activity in the United States is in initial stages. Thus, the states may establish a comprehensive legal framework to guide the course of future development. For geothermal energy to supply its full potential, basic parameters must be established which identify the subject resource and provide for prompt access and secure rights to the resource. A clear understanding of the nature of geothermal development is a prerequisite for effective legislation. Geothermal resources have distinctive characteristics which should be recognized in state laws and regulations. Regulatory experience with other resources is an important reference, but may not be transferable to geothermal development. Indeed, current state and federal geothermal policies are often criticized for excessive reliance on mineral or water law precedents. In addition policies applied to deep, hot geothermal resources may be inappropriate for shallow, warm thermal fluids.