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Geothermal Energy: New Royalty Rules for Power Plants

Geothermal Royalty Reform Act

Key Points

  • This bill updates the rules for how companies pay the federal government to use geothermal energy—heat from underground—on public lands. It changes the way 'royalties,' or usage fees, are calculated.
  • Instead of looking at the total resources taken from a large area of land, the government would now charge fees based on the specific amount of electricity made by each individual power plant.
  • This change aims to modernize a 1970 law. By focusing on the output of each facility, it creates a more precise way to track and bill for the energy being produced and sold to the public.
  • The policy mainly affects energy companies that build geothermal plants on federal land. It ensures that the fees they pay accurately reflect the actual power they generate at each site.

Milestones

4 milestones7 actions
Mar 5, 2026House

Ordered to be Reported in the Nature of a Substitute (Amended) by Unanimous Consent.

Mar 5, 2026House

Committee Consideration and Mark-up Session Held

Mar 5, 2026House

Subcommittee on Energy and Mineral Resources Discharged

Dec 16, 2025House

Subcommittee Hearings Held

Dec 9, 2025House

Referred to the Subcommittee on Energy and Mineral Resources.

Source Information

Document Type

Congressional Bill

Official Title

Geothermal Royalty Reform Act

Bill NumberHR 5638
Congress119th Congress
ChamberHouse of Representatives
Latest ActionOrdered to be Reported in the Nature of a Substitute (Amended) by Unanimous Consent.

Sponsor

Cosponsors

(1)
R: 1

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