Congress fast-tracks geothermal leases, compressing environmental review
S. 4960 — CLEAN Act · Filed by James Risch (R-ID) · Introduced Jul 14, 2026 · Hearing held
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What it does
This bill amends the Geothermal Steam Act to require the Department of Interior to hold geothermal lease sales every year (instead of at discretion), mandate replacement sales if any sale is canceled or delayed, and require the agency to offer at least 75% of nominated parcels for lease unless it provides written justification. It also imposes strict 30-day deadlines for the agency to review drilling permit applications and issue decisions, with a 10-day final deadline after applicants submit missing information.
Why we flagged it
The bill's core mechanism is mandatory annual lease sales and compressed permitting timelines designed to accelerate geothermal energy projects on federal lands. While framed as clean energy policy, the operative effect is to reduce agency discretion and compress environmental review.
What the text implies
- Mandatory 75% lease offering may force Interior to lease parcels in sensitive ecosystems or water-stressed regions where geothermal development poses environmental risks, unless the agency can document a statutory/environmental/administrative barrier — a high bar that may be litigated.
- 30-day permit review deadline may force incomplete NEPA analysis or defer environmental review to post-issuance, shifting compliance burden and reducing public comment opportunity.
The full analysis lists 5 implications of this text.
Who stands to gain
geothermal energy developers; oil and gas companies with geothermal divisions; energy infrastructure contractors