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Lessons from other jurisdictions development in B.C.160 Where land claims had not been settled, questions about subsurface resource ownership arose. From an industry perspective, this represents a risk that at a later date the geothermal rights issued may be repealed or no longer valid as the ownership of the resource is called into question or changed. 4.4 Geothermal tenure and leasing system An effective, efficient and fair system for licensing exploration of geothermal is a critical first step to encouraging geothermal energy development. As noted, a barrier to geothermal energy development in other jurisdictions has been uncertain or ill-defined rules and timelines for licensing and permitting. In addition, where multiple agencies are responsible for permitting, the process can be confusing and time consuming.161 One approach to permitting geothermal energy developments is to provide a single window for project applications so that the company does not have to apply to separate agencies for different permits. A single agency would be responsible for coordinating public consultation and government agencies’ reviews. In South Australia, for example, all companies must submit a Statement of Environmental Objectives, which outlines the type of activities they will conduct, the risks associated with the activities and what mitigation they will implement. This document is submitted to all of the regulating agencies and to the general public, and all parties have an opportunity to comment on the specific proposed activities and mitigation.162 The approach in Australia has been to place strong emphasis on policies for right issuance and resource mapping and to streamline regulations as a means of encouraging geothermal exploration. 4.4.1 Leasing system An application process for geothermal energy leasing must be developed. Guidelines should be developed that identify the resource owner, leasing rules, and the application process including work commitments, technical inputs, and financial and reporting requirements. Similarly, a plain language version should be developed that outlines for stakeholders the regulations for geothermal energy exploration and development, and opportunities for public consultation. Bidding and staking processes are both used in other jurisdictions to issue geothermal energy rights. When asked for their opinions on which process is most effective, interviewees gave varying responses. There are advantages to both systems, and several people stated that both systems can work, provided they are fair.163 • A bidding system can help guarantee that a company has the financial resources to conduct the exploration activities needed to delineate the resource. Bidding processes can, however, be time consuming and may not be appropriate to the level of demand. It 160 Personal communication, Gary Thompson, Sierra Geothermal Power Corp, October 17, 2010, Mory Ghomshei, and Tim Thompson, Borealis GeoPower, December 1, 2010. 161 Elizabeth Doris, Claire Kreycik and Kathleen Young, Policy Overview and Options for Maximizing the Role of Policy in Geothermal Electricity Development, (National Renewable Energy Laboratory, 2009). http://www1.eere.energy.gov/geothermal/pdfs/policy_overview.pdf 162 Personal communication, Barry Goldstein, Dept. Primary Industries, South Australia, December 15, 2010. 163 Personal communication, Mory Ghomshei, University of British Columbia, November 10, 2010. The Pembina Institute 41 Building a regulatory framework for geothermal development in the NWTPDF Image | geothermal energy development in the NWT
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