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Jurisdictional review One production lease has been issued (South Meager Geothermal Project), which has the potential of 100 MW of electricity production. A flow test of the wells has been completed (where electricity was generated but not hooked to the grid), but no commercial production is occurring as of 2010.81 After a seven-year pause in rights allocation while the government reviewed policies, four new parcels were made available for tenure in 2010.82 Definition of geothermal resource The Geothermal Resources Act of 1982 defines a geothermal resource as “the earth's natural heat and all substances that get added value from it, including steam, water, water vapour and any dissolved substances.”83 Surface hot springs that have a temperature greater than 80°C at the surface are considered a geothermal resource, but waters less than 80°C are excluded. The original geothermal legislation of 1973 defined geothermal as heated water, gas and steam with a temperature higher than 121°C at the lowest locations underground. This act did not include any leasing regulations. It also included minerals that “may be obtained from the geothermal resource or be obtained by means of geothermal resource". This very open definition led to conflicts with the Mineral Act. To address this, the Geothermal Resources Act was created in 1982.84 Resource ownership, rights issuance and tenure The geothermal legislation in B.C. is modeled on the petroleum and natural gas legislation when it comes to disposition of tenure. A company acquires a permit through auction, and there is no minimum bid. Land that is of interest for geothermal resources is nominated by proponents to the Ministry of Energy. Potential parcels of land undergo a referral process, where the Ministry solicits comments about the parcel from First Nations, local government and other affected agencies. This is to determine existing land uses and environmental sensitivities, and to consult land use plans. From these comments, conditions may be set on the tenure. Tenure availability is posted for six weeks prior to a sealed auction where cash bids or work bids are submitted and tenure is awarded to the highest bidder.85 81 Personal communication, Garth Thoroughgood, Ministry of Energy, October 17, 2010. 82 B.C. Ministry of Energy, “Notice of Public Tender: Competition For The Right To Explore Crown Geothermal Resources,” October 26, 2010. http://www.empr.gov.bc.ca/Titles/OGTitles/geothermal/Pages/SaleNoticeOctober2010.aspx 83 Government of British Columbia, Geothermal Resources Act (1996). 84 A.M. Jessop, M. Ghomshei and M. Drury, “Geothermal Energy In Canada,” Geothermics 20 (1991):369. 85 Garth Thoroughgood, “Geothermal Energy in British Columbia,” (presented to the B.C. Sustainable Energy Association, February 16, 2009). The Pembina Institute 26 Building a regulatory framework for geothermal development in the NWTPDF Image | geothermal energy development in the NWT
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