Federal Review Delays Add Uncertainty to Geothermal Projects on Public Lands

Lengthy federal reviews are creating uncertainty for geothermal exploration projects on federal land, according to an opinion article published by The Hill. The delays reportedly affect even low-impact projects seeking categorical exclusions (CXs), a review pathway intended for actions that meet criteria for exclusion from more extensive environmental review. Some project proponents wait several months for approval, while others experience delays exceeding a year. The issue is relevant to companies and contractors whose project schedules depend on federal authorization to begin or advance exploration work.

The article cites research finding that 8% of geothermal CX reviews took more than a year. That figure points to a meaningful risk of long approval timelines, although it does not establish that every application will face a similar delay. The article also describes reviews lasting several months or longer than a year, underscoring the range of potential schedule outcomes. For firms planning field activities, a review taking longer than anticipated can affect sequencing, mobilization, staffing, equipment availability, and coordination with other project participants.

The federal offices identified in connection with the issue include the U.S. Department of the Interior and the Bureau of Land Management, which manages federal lands where geothermal exploration may occur, as well as the U.S. Department of Energy. The opinion article points to possible action by the U.S. Congress to establish review deadlines. Such action could affect how agencies process future reviews, but the source does not identify an enacted deadline or a specific legislative measure. Contractors and developers should therefore treat congressional action as a potential policy development to monitor, not as a change already in effect.

For GovCon firms, permitting uncertainty has direct implications for proposal assumptions and project execution. Companies pursuing geothermal work can account for potentially lengthy CX reviews when building schedules, estimating costs, and making investment decisions. Contractors supporting exploration or related work can assess whether performance depends on approvals that may not arrive on a predictable timetable, and can make schedule and cost exposure clear in planning and proposal development. Following the specific congressional discussion of review deadlines may also help affected firms anticipate changes to the federal approval environment. These are planning considerations drawn from the reported delays; the article does not announce a procurement, contract award, funding action, or new regulatory requirement.

• The article reports that federal review delays affect geothermal exploration on federal land, including projects seeking categorical exclusions (CXs).
• Some projects reportedly wait several months, while others wait more than a year for approval.
• Research cited in the article found that 8% of geothermal CX reviews took more than a year.
• Developers should account for uncertain review timelines in project schedules and investment plans.
• Contractors can assess schedule and cost exposure when proposals or planned work depend on federal approvals.
• Delays may affect planning for field work, mobilization, staffing, equipment, and coordination; these are potential execution considerations rather than outcomes quantified by the source.
• The U.S. Department of the Interior and Bureau of Land Management are among the federal entities identified in the source’s discussion of federal-land geothermal activity.
• The U.S. Department of Energy is also listed among the agencies associated with the issue.
• The article identifies possible U.S. Congress action to establish review deadlines; no enacted deadline or specific measure is reported.
• Firms with affected projects can monitor the congressional review-deadline issue while treating current review duration as uncertain.