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III. NATIONAL ACTIVITIES UNITED STATES discovered, but largely undeveloped fields. This also minimizes exploration risk and avoids the risks associated with drilling in unexplored areas. Part of the dearth of new geothermal plants over the last decade was due, at least in part, to long delays in the leasing of Federal Land. A report released last year by the Departments of Energy and the Interior identified 35 top sites for near term development in six western States: California, New Mexico, Nevada, Oregon, Utah and Washington. By focusing on specific areas in each state, the Bureau of Land Management can prioritize funding toward the local leasing offices where geothermal power resources are high. Renewable energy credits (REC) are being purchased to meet the renewable energy goals of government and multilateral agencies. Recent solicitations have been issued by the US Environmental Protection Agency, the US General Services Administration, and the World Bank Group. REC, also known as green certificates, green tags, or tradable renewable certificates, represent the environmental attributes of the power produced from renewable energy projects and are sold separately from commodity electricity. 17.7.2 Trends in the Cost of Energy See sections 17.2.2, 17.5.2 and 17.6.1 for discussions of cost trends for geothermal direct use and electricity in the United States. 17.8 Research Activities The U S Department of Energy’s Office of Geothermal Technologies Program conducts research, development, and deployment activities in partnership with US industry to establish geothermal energy as an economically competitive contributor to the US energy supply. The strategies that the DOE geothermal program will use to achieve its goals include five focus areas: Enhanced Geothermal Systems; Exploration; Well Field Construction; Power Systems and Energy Conversion; and Institutional Barriers. 17.8.1 Enhanced Geothermal Systems EGS technology is a top priority for the Program. EGS are geothermal reservoirs that have been engineered or enhanced to improve their productivity. EGS cover a spectrum of geothermal systems from modified hydrothermal reservoirs to non-hydrothermal hot rock systems. An EGS is the circulation loop created by an injection-production well pair and the fractured rock connecting them. Over the next five years the Program will demonstrate the technical feasibility of creating EGS. If successful, this work will create the potential for the entire nation to use geothermal power. High temperatures are available beneath the entire United States, if wells are drilled deep enough. The critical factors in demonstrating feasibility of producing power from this extensive resource are: exploration and assessment of the resource, creating the enhanced reservoir and managing the reservoir over the project lifetime. The long-term goal of the Geothermal Technologies Program is to: • Decrease the levelized cost of electricity from Enhanced Geothermal Systems to less than 5 cents per kWh by the year 2040. This target has been selected because 5 cents/kWh (in 2004 dollars) is projected to allow geothermal power to be competitive, and the target appears to be achievable within current R&D budgets. IEA Geothermal R&T Annual Report 2004.doc 130PDF Image | Geothermal Energy Annual Report 2004
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