Geothermal permitting bill pitched as streamlining that preserves state review; critics urge caution

Representative Hageman and supporters described HR 5587 (the HEATS Act) as a targeted reform to reduce duplicative federal reviews when states have robust permitting systems. Hageman said projects on state and private lands where the federal government controls less than 50% of the geothermal estate would proceed with state review rather than full federal permitting, while retaining federal standards where state programs are absent.

Advocates argued streamlined permitting would lower costs and expand geothermal’s feasibility as a reliable baseload energy resource for hospitals, manufacturers and other users. Representative Houchard (who raised the issue in questioning) described a hospital project that saved an estimated $220,000 in utility costs within five years after deploying geothermal systems.

Democratic critics cautioned that some projects intersect federal interests — water, cultural resources and public safety — and that NEPA protections and public input must not be circumvented. Representative Stansbury warned HR 5587 could be used as a backdoor to permit drilling without adequate federal review in some circumstances; Hageman responded that states often have robust review processes and that federal review would still apply when state programs are insufficient.

Under the closed rule, HR 5587 is also set for floor consideration. The committee record contains competing claims about the extent of duplicative reviews and where federal oversight would remain; those details will be focal points for floor debate and external stakeholder review.