Geothermal Cost-Recovery Authority Act of 2025
Officially: “Geothermal Cost-Recovery Authority Act of 2025” Read the full text
What it does
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1Short title
This section gives the Act its short title, the Geothermal Cost-Recovery Authority Act of 2025.
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1. Short title This Act may be cited as the Geothermal Cost-Recovery Authority Act of 2025 .
2Cost recovery from geothermal leasing, permitting, and inspections
This section would amend section 6 of the Geothermal Steam Act of 1970 (30 U.S.C. 1005) by adding a new subsection (j). From the date this Act becomes law through September 30, 2032, the Secretary of the Interior could require an applicant for a geothermal lease, or a holder of a geothermal lease, to reimburse the United States for all reasonable administrative and other costs the United States incurs from processing the lease application (including any related application for an operations plan, geothermal drilling permit, utilization plan, site license, facility construction permit, commercial use permit, or other approval tied to the lease) and from inspecting and monitoring geophysical exploration activities, the drilling, plugging, and abandonment of wells, and the construction, operation, termination, and reclamation of any well site or facility used under the lease. In deciding whether to require reimbursement, the Secretary would have to consider whether a cooperative cost-share agreement already exists between the United States and the lease holder. The Secretary could reduce the amount owed if the Secretary determines that full reimbursement would create an economic hardship for the applicant, or that charging less than the full amount is necessary to promote the greatest use of geothermal resources. Amounts reimbursed would be credited to the Department of the Interior's applicable appropriation, account, or fund as discretionary offsetting collections, and could be spent only as later provided for in appropriations Acts, for the same two purposes: processing geothermal lease applications and related approvals, and inspecting and monitoring geothermal exploration, well activity, and facility operations under the leases.
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2. Cost recovery from geothermal leasing, permitting, and inspections Section 6 of the Geothermal Steam Act of 1970 ( 30 U.S.C. 1005 ) is amended by adding at the end the following: (j) Cost recovery (1) In general During the period that begins on the date of enactment of this subsection and ends September 30, 2032, the Secretary may require an applicant for, or a holder of, a geothermal lease to reimburse the United States for all reasonable administrative and other costs incurred by the United States from— (A) processing the application for the geothermal lease, including any application for an operations plan, geothermal drilling permit, utilization plan, site license, facility construction permit, commercial use permit, and any other approval associated with a geothermal lease; and (B) inspecting and monitoring— (i) geophysical exploration activities; (ii) the drilling, plugging, and abandonment of wells; and (iii) the construction, operation, termination, and reclamation of any well site or facility for the utilization of geothermal resources pursuant to the geothermal lease. (2) Considerations In determining whether to require reimbursement under paragraph (1), the Secretary shall consider whether there is in existence a cooperative cost share agreement between the United States and the holder of a geothermal lease. (3) Adjustments The Secretary may reduce the amount to be reimbursed under paragraph (1) if the Secretary determines— (A) that full reimbursement would impose an economic hardship on the applicant; or (B) that a less than full reimbursement is necessary to promote the greatest use of geothermal resources. (4) Use The amounts reimbursed under this subsection shall be credited to the currently applicable appropriation, account, or fund of the Department of the Interior as discretionary offsetting collections, and shall be available only to the extent provided in advance in appropriations Acts for— (A) processing the application for geothermal leases, including any application for operations plans, geothermal drilling permits, utilization plans, site licenses, facility construction permits, commercial use permits, and any other approval associated with geothermal leases; and (B) inspecting and monitoring— (i) geophysical exploration activities; (ii) the drilling, plugging, and abandonment of wells; and (iii) the construction, operation, termination, and reclamation of any well site or facility for the utilization of geothermal resources pursuant to geothermal leases. .
3Report
This section would require the Secretary of the Interior, working with the geothermal industry and other stakeholders, to submit a report no later than 5 years after this Act becomes law to the House Committee on Natural Resources and the Senate Committee on Energy and Natural Resources, and to post the report publicly on the Department of the Interior's website. The report would have to include an assessment of how the amendments made by section 2 affected the Bureau of Land Management's geothermal program, any recommendations on whether to reauthorize section 6(j) of the Geothermal Steam Act of 1970 as added by this Act, and any other recommendations for updating that section and the Bureau of Land Management's geothermal program. While preparing the report, the Secretary would have to ask the geothermal industry and other stakeholders for facts or information.
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3. Report (a) Report Not later than 5 years after the date of enactment of this Act, the Secretary of the Interior, in consultation with the geothermal industry and other stakeholders, shall submit to the Committee on Natural Resources of the House of Representatives and the Committee on Energy and Natural Resources of the Senate, and make publicly available on the website of the Department of the Interior, a report that includes— (1) an assessment of how the amendments made by section 2 of this Act affected the Bureau of Land Management’s geothermal program; (2) any recommendations for reauthorization of section 6(j) of the Geothermal Steam Act of 1970, as added by this Act; and (3) any other recommendations for updates to such section and the Bureau of Land Management’s geothermal program. (b) Considerations In developing the report required in subsection (a), the Secretary of the Interior shall solicit facts or information from the geothermal industry and other stakeholders.
Where it is
In the House.