Senate panel advances AB 527 to speed exploratory geothermal development, environmental groups urge tighter limits

Assemblymember Pappan’s AB 527, which would create a narrow California Environmental Quality Act (CEQA) exemption for exploratory geothermal wells that meet specified conditions, was advanced by the Senate Natural Resources and Water Committee as amended and referred to the Appropriations Committee.

The bill’s author and backers said the exemption would allow developers to drill temporary, low‑impact exploratory wells without undergoing a full CEQA review twice — once for exploration and again for project development — while opponents said the change risks environmental harm because new enhanced geothermal techniques resemble hydraulic stimulation and need full review.

AB 527 would exempt exploratory geothermal wells from separate CEQA review if they meet environmental sideboards adopted in the bill, including prohibitions on siting in wetlands or designated conservation lands, requirements for tribal and historic resource protections, and full site reclamation. The author told the committee the exemption is limited to exploration, not full project build out, and said it is intended to reduce regulatory delay that drives geothermal projects out of state.

Supporters included Myles Horton of…