[Congressional Record Volume 161, Number 59 (Wednesday, April 22, 2015)]
[Senate]
[Pages S2354-S2356]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. WYDEN:
  S. 1057. A bill to promote geothermal energy, and for other purposes; 
to the Committee on Energy and Natural Resources.
  Mr. WYDEN. Mr. President, today on the 45th anniversary of Earth Day, 
I am proud to introduce a pair of bills, S. 1057 and S. 1058, to 
promote clean energy and fight climate change.
  The first bill is the Geothermal Energy Opportunities Act, or GEO Act 
for short. Clean, low-carbon geothermal energy can play a starring role 
in the fight against climate change, and this legislation encourages 
the development of the geothermal resource in a number of important 
ways.
  The GEO Act helps prospective geothermal developers explore for and 
develop geothermal resources through a public-private grant program. As 
part of the partnership, developers report their findings, contributing 
to a nationwide map of geothermal potential that will reduce the risk 
and drive down the cost of geothermal energy for the future.
  In many cases, Federal lands already under production for oil and gas 
also have a geothermal resource, and the GEO Act allows for the oil and 
gas leaseholders to coproduce such geothermal energy without going 
through an additional competitive lease process. It also fully 
incorporates the bipartisan Geothermal Production Expansion Act that I 
introduced with a number of my colleagues earlier this year. That 
provision would streamline the Federal geothermal leasing program to 
prevent speculative bidders from unproductively driving up the price of 
leases for developers of geothermal ``hot spots'' that extend into 
lands directly adjacent to their existing geothermal lease.
  The Bureau of Land Management, which manages geothermal projects on 
Federal land under lease agreements, estimates about 250 million acres 
of Federal land contains geothermal power potential. Geothermal energy 
projects that are producing geothermal power under the BLM's management 
make up about half of the total geothermal generating capacity in the 
United States. The GEO Act takes important steps to speed the 
development of this tremendous clean energy potential on public lands.
  I am also introducing the Marine and Hydrokinetic Renewable Energy 
Act of 2015, along with my colleagues Senators Merkley, Schatz, and 
King, to spur development of renewable electricity from the water power 
in oceans, rivers, and lakes. This bill reauthorizes the Department of 
Energy's marine renewable energy programs, including the national 
marine renewable energy research, development and demonstration centers 
around the country, one of which is run by Oregon State University in 
my home state. The Department of Energy estimates that there is enough 
potential energy in these nontraditional forms of hydropower to one day 
power millions of homes.
  These two pieces of legislation will each promote the production of 
clean, domestic energy resources and in doing so help the United States 
lead the world in the fight against climate change. I strongly urge my 
colleagues to support both of them.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 1057

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Geothermal Energy 
     Opportunities Act'' or the ``GEO Act''.

     SEC. 2. NATIONAL GOALS FOR PRODUCTION AND SITE 
                   IDENTIFICATION.

       It is the sense of Congress that, not later than 10 years 
     after the date of enactment of this Act--
       (1) the Secretary of the Interior should seek to have 
     approved more than 15,000 megawatts of new geothermal energy 
     capacity on public land across a geographically diverse set 
     of States using the full range of available technologies; and
       (2) the Director of the Geological Survey and the Secretary 
     of Energy should identify sites capable of producing a total 
     of 50,000 megawatts of geothermal power, using the full range 
     of available technologies.

     SEC. 3. PRIORITY AREAS FOR DEVELOPMENT ON FEDERAL LAND.

       The Director of the Bureau of Land Management, in 
     consultation with other appropriate Federal officials, 
     shall--
       (1) identify high priority areas for new geothermal 
     development; and
       (2) take any actions the Director determines necessary to 
     facilitate that development, consistent with applicable laws.

     SEC. 4. FACILITATION OF COPRODUCTION OF GEOTHERMAL ENERGY ON 
                   OIL AND GAS LEASES.

       Section 4(b) of the Geothermal Steam Act of 1970 (30 U.S.C. 
     1003(b)) is amended by adding at the end the following:
       ``(4) Land subject to oil and gas lease.--Land under an oil 
     and gas lease issued pursuant to the Mineral Leasing Act (30 
     U.S.C. 181 et seq.) or the Mineral Leasing Act for Acquired 
     Lands (30 U.S.C. 351 et seq.) that is subject to an approved 
     application for permit to drill and from which oil and gas 
     production is occurring may be available for noncompetitive 
     leasing under this section to the holder of the oil and gas 
     lease--
       ``(A) on a determination that--
       ``(i) geothermal energy will be produced from a well 
     producing or capable of producing oil and gas; and
       ``(ii) national energy security will be improved by the 
     issuance of such a lease; and
       ``(B) to provide for the coproduction of geothermal energy 
     with oil and gas.''.

     SEC. 5. COST-SHARED EXPLORATION.

       (a) In General.--To promote the goals described in section 
     2, the Secretary of Energy may conduct a federally funded 
     program of cost-shared drilling with industry partners--
       (1) to explore and document new geothermal resources in the 
     United States; and
       (2) to develop improved tools and methods for geothermal 
     resource identification and extraction, with the goal of 
     achieving material reductions in the cost of exploration with 
     a corresponding increase in the likelihood of drilling 
     success.
       (b) Grants.--

[[Page S2355]]

       (1) In general.--To carry out the program described in 
     subsection (a), the Secretary of Energy may award cost-share 
     grants on a competitive and merit basis to eligible 
     applicants to support exploration drilling and related 
     activities.
       (2) Project criteria.--In selecting applicants to receive 
     grants under paragraph (1), the Secretary of Energy shall--
       (A) give preference to applicants proposing projects 
     located in a variety of geologic and geographic settings with 
     previously unexplored, underexplored, or unproven geothermal 
     resources; and
       (B) consider--
       (i) the potential that the unproven geothermal resources 
     would be explored and developed under the proposed project;
       (ii) the expertise and experience of an applicant in 
     developing geothermal resources; and
       (iii) the contribution the proposed project would make 
     toward meeting the goals described in section 2.
       (c) Data Sharing.--
       (1) In general.--Data from all exploratory wells that are 
     carried out under the program described in subsection (a) 
     shall be provided to the Secretary of Energy and the 
     Secretary of the Interior for--
       (A) use in mapping national geothermal resources; and
       (B) other purposes, including--
       (i) subsurface geologic data;
       (ii) metadata;
       (iii) borehole temperature data; and
       (iv) inclusion in the National Geothermal Data System of 
     the Department of Energy.
       (2) Sharing of confidential data.--Not later than 2 years 
     after the date of enactment of this Act, confidential data 
     from all exploratory wells that are carried out under the 
     program described in subsection (a) shall be provided to the 
     Secretary of Energy and the Secretary of the Interior for the 
     purposes described in subparagraphs (A) and (B) of paragraph 
     (1), to be available for a period of time to be determined by 
     the Secretary of Energy and the Secretary of the Interior.

     SEC. 6. USE OF GEOTHERMAL LEASE REVENUES.

       (a) Amounts Deposited.--Notwithstanding any other provision 
     of law, beginning in the first full fiscal year after the 
     date of enactment of this Act, any amounts received by the 
     United States as rentals, royalties, and other payments 
     required under leases pursuant to the Geothermal Steam Act of 
     1970 (30 U.S.C. 1001 et seq.) (excluding funds required to be 
     paid to State and county governments) and from new geothermal 
     leases issued after the date of enactment of this Act shall 
     be deposited into a separate account in the Treasury.
       (b) Use of Deposits.--Amounts deposited under subsection 
     (a) shall be available to the Secretary of Energy for 
     expenditure, without further appropriation or fiscal year 
     limitation, to carry out section 5.
       (c) Transfer of Funds.--To promote the goals described in 
     section 2, the Secretary of Energy may authorize the 
     expenditure or transfer of any funds that are necessary to 
     other cooperating Federal agencies.

     SEC. 7. NONCOMPETITIVE LEASING OF ADJOINING AREAS FOR 
                   DEVELOPMENT OF GEOTHERMAL RESOURCES.

       Section 4(b) of the Geothermal Steam Act of 1970 (30 U.S.C. 
     1003(b)) (as amended by section 4) is amended by adding at 
     the end the following:
       ``(5) Adjoining land.--
       ``(A) Definitions.--In this paragraph:
       ``(i) Fair market value per acre.--The term `fair market 
     value per acre' means a dollar amount per acre that--

       ``(I) except as provided in this clause, shall be equal to 
     the market value per acre (taking into account the 
     determination under subparagraph (B)(iii) regarding a valid 
     discovery on the adjoining land), as determined by the 
     Secretary under regulations issued under this paragraph;
       ``(II) shall be determined by the Secretary with respect to 
     a lease under this paragraph, by not later than the end of 
     the 180-day period beginning on the date the Secretary 
     receives an application for the lease; and
       ``(III) shall be not less than the greater of--

       ``(aa) 4 times the median amount paid per acre for all land 
     leased under this Act during the preceding year; or
       ``(bb) $50.
       ``(ii) Industry standards.--The term `industry standards' 
     means the standards by which a qualified geothermal 
     professional assesses whether downhole or flowing temperature 
     measurements with indications of permeability are sufficient 
     to produce energy from geothermal resources, as determined 
     through flow or injection testing or measurement of lost 
     circulation while drilling.
       ``(iii) Qualified federal land.--The term `qualified 
     Federal land' means land that is otherwise available for 
     leasing under this Act.
       ``(iv) Qualified geothermal professional.--The term 
     `qualified geothermal professional' means an individual who 
     is an engineer or geoscientist in good professional standing 
     with at least 5 years of experience in geothermal 
     exploration, development, or project assessment.
       ``(v) Qualified lessee.--The term `qualified lessee' means 
     a person that is eligible to hold a geothermal lease under 
     this Act (including applicable regulations).
       ``(vi) Valid discovery.--The term `valid discovery' means a 
     discovery of a geothermal resource by a new or existing slim 
     hole or production well, that exhibits downhole or flowing 
     temperature measurements with indications of permeability 
     that are sufficient to meet industry standards.
       ``(B) Authority.--An area of qualified Federal land that 
     adjoins other land for which a qualified lessee holds a legal 
     right to develop geothermal resources may be available for a 
     noncompetitive lease under this section to the qualified 
     lessee at the fair market value per acre, if--
       ``(i) the area of qualified Federal land--

       ``(I) consists of not less than 1 acre and not more than 
     640 acres; and
       ``(II) is not already leased under this Act or nominated to 
     be leased under subsection (a);

       ``(ii) the qualified lessee has not previously received a 
     noncompetitive lease under this paragraph in connection with 
     the valid discovery for which data has been submitted under 
     clause (iii)(I); and
       ``(iii) sufficient geological and other technical data 
     prepared by a qualified geothermal professional has been 
     submitted by the qualified lessee to the applicable Federal 
     land management agency that would lead individuals who are 
     experienced in the subject matter to believe that--

       ``(I) there is a valid discovery of geothermal resources on 
     the land for which the qualified lessee holds the legal right 
     to develop geothermal resources; and
       ``(II) that thermal feature extends into the adjoining 
     areas.

       ``(C) Determination of fair market value.--
       ``(i) In general.--The Secretary shall--

       ``(I) publish a notice of any request to lease land under 
     this paragraph;
       ``(II) determine fair market value for purposes of this 
     paragraph in accordance with procedures for making those 
     determinations that are established by regulations issued by 
     the Secretary;
       ``(III) provide to a qualified lessee and publish, with an 
     opportunity for public comment for a period of 30 days, any 
     proposed determination under this subparagraph of the fair 
     market value of an area that the qualified lessee seeks to 
     lease under this paragraph; and
       ``(IV) provide to the qualified lessee and any adversely 
     affected party the opportunity to appeal the final 
     determination of fair market value in an administrative 
     proceeding before the applicable Federal land management 
     agency, in accordance with applicable law (including 
     regulations).

       ``(ii) Limitation on nomination.--After publication of a 
     notice of request to lease land under this paragraph, the 
     Secretary may not accept under subsection (a) any nomination 
     of the land for leasing unless the request has been denied or 
     withdrawn.
       ``(iii) Annual rental.--For purposes of section 5(a)(3), a 
     lease awarded under this paragraph shall be considered a 
     lease awarded in a competitive lease sale.
       ``(D) Regulations.--Not later than 270 days after the date 
     of enactment of the Geothermal Energy Opportunities Act, the 
     Secretary shall issue regulations to carry out this 
     paragraph.''.

     SEC. 8. LARGE-SCALE GEOTHERMAL ENERGY.

       Title VI of the Energy Independence and Security Act of 
     2007 is amended by inserting after section 616 (42 U.S.C. 
     17195) the following:

     ``SEC. 616A. LARGE-SCALE GEOTHERMAL ENERGY.

       ``(a) Findings.--Congress finds that--
       ``(1) the Geothermal Technologies Program of the Office of 
     Energy Efficiency and Renewable Energy of the Department has 
     included a focus on direct use of geothermal energy in the 
     low-temperature geothermal energy subprogram (including in 
     the development of a research and development plan for the 
     program);
       ``(2) the Building Technologies Program of the Office of 
     Energy Efficiency and Renewable Energy of the Department--
       ``(A) is focused on the energy demand and energy efficiency 
     of buildings; and
       ``(B) includes geothermal heat pumps as a component 
     technology in the residential and commercial deployment 
     activities of the program; and
       ``(3) geothermal heat pumps and direct use of geothermal 
     energy, especially in large-scale applications, can make a 
     significant contribution to the use of renewable energy but 
     are underrepresented in research, development, demonstration, 
     and commercialization.
       ``(b) Purposes.--The purposes of this section are--
       ``(1) to improve the components, processes, and systems 
     used for geothermal heat pumps and the direct use of 
     geothermal energy; and
       ``(2) to increase the energy efficiency, lower the cost, 
     increase the use, and improve and demonstrate the 
     applicability of geothermal heat pumps to, and the direct use 
     of geothermal energy in, large buildings, commercial 
     districts, residential communities, and large municipal, 
     agricultural, or industrial projects.
       ``(c) Definitions.--In this section:
       ``(1) Direct use of geothermal energy.--The term `direct 
     use of geothermal energy' means systems that use water that 
     is at a temperature between approximately 38 degrees Celsius 
     and 149 degrees Celsius directly or through a heat exchanger 
     to provide--
       ``(A) heating to buildings; or
       ``(B) heat required for industrial processes, agriculture, 
     aquaculture, and other facilities.
       ``(2) Geothermal heat pump.--The term `geothermal heat 
     pump' means a system that provides heating and cooling by 
     exchanging heat from shallow ground or surface water using--

[[Page S2356]]

       ``(A) a closed loop system, which transfers heat by way of 
     buried or immersed pipes that contain a mix of water and 
     working fluid; or
       ``(B) an open loop system, which circulates ground or 
     surface water directly into the building and returns the 
     water to the same aquifer or surface water source.
       ``(3) Large-scale application.--The term `large-scale 
     application' means an application for space or process 
     heating or cooling for large entities with a name-plate 
     capacity, expected resource, or rating of 10 or more 
     megawatts, such as a large building, commercial district, 
     residential community, or a large municipal, agricultural, or 
     industrial project.
       ``(4) Secretary.--The term `Secretary' means the Secretary 
     of Energy, acting through the Assistant Secretary for Energy 
     Efficiency and Renewable Energy.
       ``(d) Program.--
       ``(1) In general.--The Secretary shall establish a program 
     of research, development, and demonstration for geothermal 
     heat pumps and the direct use of geothermal energy.
       ``(2) Areas.--The program may include research, 
     development, demonstration, and commercial application of--
       ``(A) geothermal ground loop efficiency improvements 
     through more efficient heat transfer fluids;
       ``(B) geothermal ground loop efficiency improvements 
     through more efficient thermal grouts for wells and trenches;
       ``(C) geothermal ground loop installation cost reduction 
     through--
       ``(i) improved drilling methods;
       ``(ii) improvements in drilling equipment;
       ``(iii) improvements in design methodology and energy 
     analysis procedures; and
       ``(iv) improved methods for determination of ground thermal 
     properties and ground temperatures;
       ``(D) installing geothermal ground loops near the 
     foundation walls of new construction to take advantage of 
     existing structures;
       ``(E) using gray or black wastewater as a method of heat 
     exchange;
       ``(F) improving geothermal heat pump system economics 
     through integration of geothermal systems with other building 
     systems, including providing hot and cold water and rejecting 
     or circulating industrial process heat through refrigeration 
     heat rejection and waste heat recovery;
       ``(G) advanced geothermal systems using variable pumping 
     rates to increase efficiency;
       ``(H) geothermal heat pump efficiency improvements;
       ``(I) use of hot water found in mines and mine shafts and 
     other surface waters as the heat exchange medium;
       ``(J) heating of districts, neighborhoods, communities, 
     large commercial or public buildings (including office, 
     retail, educational, government, and institutional buildings 
     and multifamily residential buildings and campuses), and 
     industrial and manufacturing facilities;
       ``(K) geothermal system integration with solar thermal 
     water heating or cool roofs and solar-regenerated desiccants 
     to balance loads and use building hot water to store 
     geothermal energy;
       ``(L) use of hot water coproduced from oil and gas 
     recovery;
       ``(M) use of water sources at a temperature of less than 
     150 degrees Celsius for direct use;
       ``(N) system integration of direct use with geothermal 
     electricity production; and
       ``(O) coproduction of heat and power, including on-site 
     use.
       ``(3) Environmental impacts.--In carrying out the program, 
     the Secretary shall identify and mitigate potential 
     environmental impacts in accordance with section 614(c).
       ``(e) Grants.--
       ``(1) In general.--The Secretary shall make grants 
     available to State and local governments, institutions of 
     higher education, nonprofit entities, utilities, and for-
     profit companies (including manufacturers of heat-pump and 
     direct-use components and systems) to promote the development 
     of geothermal heat pumps and the direct use of geothermal 
     energy.
       ``(2) Priority.--In making grants under this subsection, 
     the Secretary shall give priority to proposals that apply to 
     large buildings (including office, retail, educational, 
     government, institutional, and multifamily residential 
     buildings and campuses and industrial and manufacturing 
     facilities), commercial districts, and residential 
     communities.
       ``(3) National solicitation.--Not later than 180 days after 
     the date of enactment of this section, the Secretary shall 
     conduct a national solicitation for applications for grants 
     under this section.
       ``(f) Reports.--
       ``(1) In general.--Not later than 2 years after the date of 
     enactment of this section and annually thereafter, the 
     Secretary shall submit to the Committee on Energy and Natural 
     Resources of the Senate and the Committee on Science and 
     Technology of the House of Representatives a report on 
     progress made and results obtained under this section to 
     develop geothermal heat pumps and direct use of geothermal 
     energy.
       ``(2) Areas.--Each of the reports required under this 
     subsection shall include--
       ``(A) an analysis of progress made in each of the areas 
     described in subsection (d)(2); and
       ``(B)(i) a description of any relevant recommendations made 
     during a review of the program; and
       ``(ii) any plans to address the recommendations under 
     clause (i).''.

     SEC. 9. REPORT TO CONGRESS.

       Not later than 3 years after the date of enactment of this 
     Act and not less frequently than once every 5 years 
     thereafter, the Secretary of the Interior and the Secretary 
     of Energy shall submit to the appropriate committees of 
     Congress a report describing the progress made towards 
     achieving the goals described in section 2.

     SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to carry out this 
     Act such sums as are necessary.
                                 ______