HEATS Act
Latest Action
Committee on Energy and Natural Resources Subcommittee on Public Lands, Forests, and Mining. Hearings held.
Official Summary
Harnessing Energy At Thermal Sources Act or the HEATS Act This bill exempts certain geothermal activities on state and private lands (except Indian lands) from drilling permit requirements as well as environmental and historic preservation review requirements. First, the bill prohibits the Department of the Interior from requiring an operator to obtain a drilling permit under the Geothermal Steam Act of 1970 for any geothermal exploration and production activity conducted on a nonfederal surface estate (i.e., the part of the estate that is above ground) if (1) the United States holds an ownership interest of less than 50% of the subsurface geothermal estate to be accessed by the proposed action, and (2) the operator submits to Interior a state permit to conduct the geothermal exploration and production activity on the nonfederal surface estate. Next, the bill states that such geothermal exploration and production activity is not considered a major federal action under National Environmental Policy Act of 1969 (NEPA). Thus, such activity does not trigger NEPA's environmental review requirements. In addition, the bill exempts such activity from the consultation requirements under the Endangered Species Act of 1973. It also exempts the activity from review under the National Historic Preservation Act unless the state in which the activity occurs does not have a state law that addresses the preservation of historic properties.
GovScope Watchdog™
AI Government Intelligence™The HEATS Act (Harnessing Energy At Thermal Sources Act) proposes to exempt certain geothermal exploration and production activities on state and private lands (excluding Indian lands) from federal drilling permit requirements under the Geothermal Steam Act of 1970. It also exempts these activities from environmental review under the National Environmental Policy Act (NEPA), consultation requirements under the Endangered Species Act, and historic preservation review under the National Historic Preservation Act, except where the state lacks relevant historic preservation laws. The bill applies when the United States owns less than 50% of the subsurface geothermal estate and the operator holds a state permit for the activity. The bill aims to reduce federal regulatory requirements for geothermal energy development on nonfederal surface estates.
The HEATS Act seeks to streamline geothermal energy development on state and private lands by limiting federal permitting and review requirements, potentially accelerating project timelines while shifting some regulatory responsibilities to states.
- Prohibits the Department of the Interior from requiring federal drilling permits for geothermal activities on nonfederal surface estates when the U.S. owns less than 50% of the subsurface geothermal estate and a state permit is obtained.
- Exempts qualifying geothermal activities from NEPA environmental review, Endangered Species Act consultation, and National Historic Preservation Act review unless the state lacks historic preservation laws.
- Focuses on geothermal exploration and production on state and private lands, explicitly excluding Indian lands from these exemptions.
['Geothermal energy developers operating on state and private lands', 'State regulatory agencies issuing permits for geothermal activities', 'Department of the Interior by reducing federal permitting workload']
['Reduced federal environmental and historic preservation reviews may limit oversight and increase risks of environmental or cultural resource impacts.', 'Shifting regulatory responsibility to states could lead to inconsistent standards and enforcement across different jurisdictions.', 'Exclusion of Indian lands from exemptions may require separate permitting processes, potentially complicating project planning.']
The bill is currently in process during the 119th Congress and has been considered by the House Committee on Energy and Natural Resources, specifically the Subcommittee on Public Lands, Forests, and Mining, which held hearings in July 2026. It addresses federal regulatory barriers to geothermal energy development, a policy area of growing interest amid efforts to expand renewable energy sources.
High concern review — 3 hidden impact flags detected
GovScope reviewed 3 policy-risk categories. Hover for a quick definition. Click detected flags for bill-specific details.
['Potential acceleration of geothermal energy projects due to reduced federal permitting and review requirements.', 'Increased reliance on state-level regulatory frameworks, which may vary in rigor and capacity.', 'Possible reduction in federal oversight could lead to uneven protection of environmental and historic resources across states.']
The bill significantly limits federal environmental, endangered species, and historic preservation reviews for geothermal activities on nonfederal lands, shifting oversight to states. Transparency around state permitting standards and enforcement will be important to monitor. The absence of full bill text limits detailed analysis of specific provisions and enforcement mechanisms.
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