Geothermal Cost-Recovery Authority Act of 2025
Latest Action
Placed on the Union Calendar, Calendar No. 569.
Official Summary
Geothermal Cost-Recovery Authority Act of 2025 This bill expands the Geothermal Steam Act of 1970 to give the Department of the Interior the authority to collect certain fees from applicants for, or holders of, geothermal leases through September 30, 2032. Specifically, Interior may direct those applicants or leaseholders to reimburse the United States for costs from (1) processing applications for geothermal leases on federal land, such as applications for geothermal drilling permits; and (2) inspecting and monitoring geothermal exploration and development activities, including reclamation activities. Interior may reduce the amount of the fee if it determines that (1) the full reimbursement would impose an economic hardship on the applicant, or (2) a less than full reimbursement is necessary to promote the greatest use of geothermal resources. Interior may use those fees only to the extent that they are provided in advance in appropriations acts for (1) processing applications for geothermal leases, and (2) inspecting and monitoring related exploration and development activities. Within five years of the bill's enactment, Interior must submit to Congress a report that includes an assessment of how the fees affect Interior's geothermal leasing program and any recommendations for updates to the fees and the program.
GovScope Watchdog™
AI Government Intelligence™The Geothermal Cost-Recovery Authority Act of 2025 amends the Geothermal Steam Act of 1970 to authorize the Department of the Interior to collect fees from applicants and holders of geothermal leases on federal land through September 30, 2032. These fees cover costs related to processing lease applications, including drilling permits, and inspecting and monitoring geothermal exploration, development, and reclamation activities. The Interior Department may reduce fees if full reimbursement causes economic hardship or if a lower fee promotes greater geothermal resource use. Fee revenues can only be used if appropriated by Congress for these specific activities. Within five years, the Interior must report to Congress on the fees' impact and suggest possible updates to the program.
This bill enables the Department of the Interior to recover certain administrative costs from geothermal lease applicants and holders, with provisions for fee reductions and a mandated congressional report on program effects.
- Authorizes the Department of the Interior to collect fees from geothermal lease applicants and holders to cover processing and monitoring costs.
- Allows fee reductions based on economic hardship or to encourage greater geothermal resource utilization.
- Requires that fees be used only if appropriated by Congress for specific geothermal leasing and monitoring activities.
- Mandates a report to Congress within five years assessing the fee program's impact and recommending updates.
['Department of the Interior, by potentially recovering costs associated with geothermal leasing administration.', 'Geothermal industry participants, who may benefit from fee reductions and clearer cost structures.', 'Federal government, through improved cost recovery and oversight of geothermal resource development.']
['Implementation complexity in assessing economic hardship and determining appropriate fee reductions.', 'Dependence on congressional appropriations to utilize collected fees, which may affect program funding stability.', 'Potential administrative burden on the Interior to monitor and report on fee impacts within the mandated timeframe.']
The bill updates a longstanding statute governing geothermal leasing on federal lands, reflecting ongoing federal interest in managing renewable energy resources. It is currently in process in the House and has been placed on the Union Calendar, indicating it is scheduled for consideration. The policy area is energy, specifically geothermal resource development.
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['Potential increased administrative workload for the Department of the Interior to implement fee collection, reductions, and reporting requirements.', 'Possible influence on geothermal industry investment decisions due to fee structures and economic hardship provisions.', 'Enhanced federal oversight of geothermal resource development through mandated reporting could affect future policy adjustments.']
Key transparency considerations include monitoring how the Department of the Interior implements fee assessments and reductions, ensuring fees are used only as appropriated by Congress, and evaluating the comprehensiveness and timeliness of the required five-year report. Oversight should focus on the balance between cost recovery and promoting geothermal resource development.
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