geothermal energy development in the NWT

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geothermal energy development in the NWT ( geothermal-energy-development-the-nwt )

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1. Introduction In September 2010, the Pembina Institute was commissioned by the Government of the Northwest Territories Department of Environment and Natural Resources to complete an inter- jurisdictional review of geothermal energy legislation and policy. This report contains the results of the review as well as interviews with geothermal energy experts around the world. This report will support discussions on the development of geothermal energy policy in the Northwest Territories (NWT). 1.1 Purpose of the study The purpose of the study is to document the key policy issues associated with geothermal energy development and make recommendations for developing a regulatory framework for geothermal energy in the NWT. The objectives of the study are: • To outline the key policy issues associated with geothermal energy developments. • To provide an overview of the regulatory framework that other leading jurisdictions in Canada and the world have established to address policy issues. • To provide the Government of the Northwest Territories with recommendations and next steps for developing a regulatory framework to support geothermal energy development in the NWT, with a focus on tenure and royalty regimes. 1.2 Scope of the project This report discusses the development of geothermal resources for electricity and direct use heat production, which tend to be found deep (more than one kilometre) in the earth and range in temperature from 50oC to over 200oC. Geoexchange, which is shallow surface exchange of heat using ground-source heat pumps, is not discussed here. The inter-jurisdictional review focused on nine jurisdictions in seven countries: United States (focused on the states of Nevada and California, and federal land), Canada (focused on British Columbia), Australia, New Zealand, Italy, Iceland and Germany. These countries were selected because of their significant development of geothermal resources (United States, New Zealand, Iceland, Italy) or because of unique or recent development of government policies in support of geothermal energy development (British Columbia, Australia, Germany). Interviews were conducted with 13 geothermal experts representing all of the jurisdictions studied. Their expertise covered geothermal regulations, geothermal exploration, geothermal resource mapping, economic incentives and more. A list of interviewees is provided in Appendix A. The Pembina Institute 9 Building a regulatory framework for geothermal development in the NWT

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