Next-Generation Geothermal Research and Development Act
- Sponsor
- Sen. Cortez Masto, Catherine [D-NV]
- Committees
- Energy and Natural Resources Committee (primary)
- Last action
- Sep 30, 2026
Bottom line
This bill aims to accelerate the development and commercialization of advanced geothermal energy technologies by increasing federal investment in research, data infrastructure, and industry partnerships, with a strong emphasis on high-potential, high-risk supercritical geothermal resources.
What it actually does
This bill amends the Energy Independence and Security Act of 2007 to significantly expand federal research, development, demonstration, and commercial application activities for next-generation geothermal energy systems, including enhanced geothermal systems (EGS) and closed-loop geothermal systems, with a particular focus on supercritical conditions. It establishes new programs, a center of excellence, and grants to accelerate technology development, while also mandating updates to geothermal resource assessments and enhancing data sharing infrastructure across federal agencies.
Proponents argue
Proponents argue that the bill is critical for diversifying the nation's energy portfolio, enhancing energy independence, and achieving decarbonization goals by tapping into a vast, dispatchable, and clean energy resource. They emphasize the potential for next-generation geothermal to provide reliable baseload power, reduce greenhouse gas emissions, and create high-paying jobs, especially in regions with significant geothermal potential.
Opponents contend
No specific opposition arguments are readily apparent against the bill's core objective of expanding geothermal R&D. However, general concerns might be raised regarding the significant federal investment required for high-risk, long-term research into unproven technologies like supercritical geothermal, or questions about the allocation of resources compared to other renewable energy technologies with more immediate commercial viability.
The bill is moderately technical due to its amendments to existing law and scientific terminology, but its structure is clear. An informed reader can understand its core provisions within the given time.
Section 2(a)
New Definitions for Geothermal Systems
This section adds new definitions to the Energy Independence and Security Act of 2007 (EISA). It defines 'closed-loop geothermal systems' as wellbore circuits where fluid is heated by contact with the subsurface, and 'next-generation geothermal systems' to include enhanced geothermal systems (EGS), closed-loop systems, and other technologies operating in 'supercritical conditions.' 'Supercritical conditions' and 'supercritical geothermal' are also defined, referring to subsurface temperatures at or above the supercritical temperature of the primary fluid.
Supporters argue
Supporters argue these definitions are crucial for clarifying the scope of advanced geothermal research, ensuring that federal programs accurately target and support innovative technologies like closed-loop systems and supercritical geothermal, which have significant untapped potential.
Critics contend
No specific opposition is typically raised against definitional updates that clarify technical terms for R&D programs.
Tradeoffs
Ensures specificity in R&D focus, potentially narrowing or broadening certain areas compared to previous, less defined terms.
Section 2(c)
Expanding Geothermal Data Repository and Interagency Collaboration
This section expands the existing geothermal drilling data repository to include publicly available subsurface data from fossil fuel and mining operations. It mandates periodic updates to standardize, enhance accessibility, and increase usability of this data. Furthermore, it requires the Secretary of Energy to enter into a Memorandum of Understanding (MOU) with the Secretary of the Interior (and potentially other agencies) for sharing geothermal development data, prioritizing deep exploration boreholes for heat, lithology, and strain profiles. It also directs the Secretary of the Interior to commission drilling of deep exploration boreholes (deeper than 8 km) in representative geological provinces, with resulting data to be publicly shared.
Section 2(d)(1)-(5)
Expanding EGS Research to Include Closed-Loop Systems and Supercritical Conditions
This section amends EISA Section 615 to explicitly include 'closed-loop geothermal systems' alongside enhanced geothermal systems (EGS) in research, development, and testing activities. It also mandates that research topics for EGS and closed-loop systems, including well completion, reservoir management, and materials development, be explored in 'supercritical conditions.' Crucially, it requires that at least one FORGE (Frontier Observatory for Research in Geothermal Energy) site be capable of testing next-generation geothermal systems in supercritical conditions within one year of enactment.
Section 2(e)
Establishing a Next-Generation Geothermal R&D Program
This section establishes a new 'Next-Generation Research and Development Program' within the DOE's Geothermal Technologies Office. The program will support R&D, demonstration, and commercial application activities for next-generation geothermal systems, with a specific focus on supercritical geothermal. It mandates milestone-based grants for deep drilling projects in unique geodynamic settings, covering stages from characterization to power production. The Secretary is also required to submit a report on water use of next-generation geothermal systems within five years, analyzing the use of brackish/non-potable water, water consumption per megawatt-hour compared to other technologies, and potential improvements.
Section 2(e)(4)
Establishing a Next-Generation Geothermal Center of Excellence
This provision directs the Secretary to award competitive, merit-reviewed grants to National Laboratories, multi-institutional collaborations, public-private partnerships, State geological surveys, or institutions of higher education to establish a 'next-generation geothermal systems center of excellence.' This center will coordinate with existing FORGE sites and other entities to advance R&D, demonstration, and commercial application of next-generation geothermal systems, including supercritical technologies. It will also foster workforce development, provide technical assistance, and disseminate best practices.
Section 2(e)(5) & (6)
Commercialization Grants for Geothermal Technologies
This section establishes two grant programs: 'Commercial-Readiness Innovation Grants' to accelerate development and testing of innovative technologies for improving the performance of commercial EGS and closed-loop geothermal projects (e.g., hardrock drilling, reservoir characterization, data acquisition), and 'Next-Generation Geothermal Systems Surface Facility Innovation Grants' for improving the operation, cost, and design of surface facility components (e.g., organic Rankine cycle efficiency, air-cooled condensers, component design). Both grant programs prioritize applicants with demonstrated success in commercial operations and projects advancing near-term commercial deployment in diverse geological or supercritical conditions, with a federal cost share of up to 80%.
Section 2(e)(7)
Authorization of Appropriations for Next-Generation Geothermal Program
This section authorizes $5,000,000 for each of fiscal years 2027 through 2031 to carry out the new 'Next-Generation Geothermal Research and Development Program' established in subsection (e).
Section 2(h)
Quadrennial and Expanded Geothermal Resource Assessments
This section amends the Energy Policy Act of 1992 to mandate that the Secretary of the Interior, through the Director of the USGS, conduct quadrennial (every four years) assessments of geothermal resources. It expands these assessments to include regions with significant potential for supercritical geothermal. It requires updated assessments of conventional hydrothermal and next-generation geothermal resources (including EGS) within two years, and methodologies for, and an initial assessment of, supercritical geothermal systems within five years. Interim datasets and analyses are permitted.
Requires the Secretary of Energy to enter into a Memorandum of Understanding (MOU) with the Secretary of the Interior (and potentially other agencies) for sharing geothermal development data from projects funded by each applicable department or agency, including data from mining, critical minerals, and energy projects. This includes subsurface heat data, seismic data, lithology data, boundaries of protected areas, and existing transmission capacity. It prioritizes heat, lithology, and strain profiles through deep exploration boreholes.
Section 2(c)(2)(D)
Why it matters:This is standard legislative practice for detailing interagency coordination mechanisms within broader program mandates.
Case for: Proponents argue that this MOU is critical for leveraging existing federal data and expertise across agencies, avoiding duplication of effort, and providing a holistic view of subsurface conditions that is vital for de-risking geothermal exploration.
Case against: No specific opposition, but some agencies might express concerns about the administrative burden or data sharing protocols, particularly regarding proprietary data or differing agency priorities.
Estimated impact: Significant improvement in federal data coordination and resource characterization for geothermal development, potentially reducing exploration costs by millions of dollars over time.
Mandates that not later than 1 year after enactment, the Secretary shall ensure at least one FORGE site has capabilities to test next-generation geothermal systems in supercritical conditions.
Section 2(d)(4)(C)
Why it matters:This is a specific operational directive within a larger amendment, typical for legislative text.
Case for: Supporters argue this is a critical, time-sensitive step to advance the most challenging and potentially highest-reward geothermal technologies, ensuring that federal research infrastructure is equipped for cutting-edge work and accelerating the learning curve for supercritical systems.
Case against: No specific opposition, but there could be significant technical and cost challenges for existing FORGE sites to rapidly adapt to supercritical conditions within a one-year timeframe, potentially leading to delays or cost overruns.
Estimated impact: Directs federal research infrastructure towards high-temperature, high-pressure geothermal, potentially unlocking significant energy resources and accelerating the development of a new class of geothermal power.