Phase III - Permitting and Initial Development
GEA Development Phase III: Permitting and Initial Development
- Phase I - Resource Procurement and Identification
- Phase II - Resource Exploration and Confirmation
- Phase III - Permitting and Initial Development
- Phase IV - Resource Production and Power Plant Construction
The information for this page was taken directly from Geothermal Reporting Terms and Definitions: A Guide to Reporting Resource Development Progress and Results to the Geothermal Energy Association (GEA, November 2010)
Phase III - Criteria
In reporting a Phase III geothermal project to the GEA the developer must ascertain whether or not the project being reported meets the following specified criteria. The development criteria are divided into three different subsections of geothermal Phase III development (Resource, Transmission, and External Development). It is not necessary that a geothermal project meet all of the criteria listed. The number of criteria that a project must meet in each subsection of geothermal Phase III development is specified below.
1. Resource Development Criteria
For a project to be considered a Phase III project at least two of the following Resource Development criteria must be met:
- At least one full size production well drilled and operational
- At least one full sized production well with a bottom hole temperature and flow rates sufficient for a commercial size geothermal well (typically 3 to 5 MW gross) drilled.
- At least one full size injection well drilled and operational
- At least one full size injection well capable of recharging the geothermal resource drilled.
- Reservoir characterization completed and sustainable reservoir capacity determined
- The developer has adequately characterized fluid flow within the rock mass of the geothermal reservoir and has also determined the sustainable capacity of the geothermal reservoir with relative accuracy. This may include a flow test performed including two production wells and one injection well confirming at least 20% of proposed contract capacity.
2. Transmission Development Criteria
For a project to be considered a Phase III project at least two of the following Transmission Development criteria must be met.
- Interconnection feasibility study complete
- The steps and resources necessary for connecting the geothermal power plant to the transmission system of an identified utility have been identified by the developer.
- System impact study (SIS) underway or complete
- The utility has assessed the adequacy of the targeted transmission system to accommodate the additional electricity provided by the developer and whether additional costs may be incurred to provide transmission service.
- Interconnection facility study underway
- The utility has begun to identify to the developer the steps, equipment, and costs necessary to complete the interconnection.
- Transmission Service Request Submitted (if appropriate)
- In the event that power from the developers geothermal development project must be transmitted through the transmission systems of one or more utilities to the point of delivery, the developer will have submitted a Transmission Service Request to the utilities whose transmission systems will need to accommodate the delivery of MW to the point of delivery.
3. External to Resource Development Criteria
For a project to be considered a Phase III project at least two of the following External to Resource Development criteria must be met.
- Plant permit application complete or in process
- The developer has submitted, or is in the process of submitting, an application to the appropriate state agencies for the construction and operation of the proposed geothermal power plant.
- Power purchase agreement secured or in negotiation
- The developer (provider) and the identified power purchaser (host) have entered, or are in the process of entering into, a legal agreement regarding the purchasing of electricity from the provider by the host where that electricity is provided via the planned geothermal power plant.
- Financing secured, or being secured, for portion of project construction
- The developer has secured financing sufficient to meet the project PPA requirements and make the initial deposit for power plant equipment.
Phase III - Terms & Definitions
The following terms and their definitions are to be applied to geothermal projects which are in the Phase III stage of geothermal development.
- Delineated Resource Estimate
- A Delineated Resource is a geothermal project that has undergone exploration testing and drilling to the extent needed to construct an accurate characterization of the geothermal reservoir as well as to give an accurate estimation of total recoverable energy.
- Specifically, as mentioned above, the developer of a geothermal project must fulfill two of the criteria listed in the Phase III Resource Development Category, two of the criteria listed in the Phase III Transmission Development Category, and two of the criteria listed in the Phase III External Development Category.
- It should be noted that the Delineated Resource Estimate should not be used as a value to indicate the potential installed capacity of a geothermal power plant. Rather, it is the estimated value of the subsurface geothermal resource.
- Delineated Planned Capacity Addition (PCA) Estimate (MW)
- The Phase III Delineated Planned Capacity Addition (PCA) estimate is that portion of a Delineated Resource that the developer deems to be viable for the economic production of electricity under existing economic conditions. Also, the Delineated PCA estimate should represent the potential capacity that is currently controlled by the developer, and not the total capacity that the developer intends to control and produce in the future. In other words, if the developer were to utilize the geothermal resource under its control to produce electricity via a geothermal power plant the Phase III Delineated PCA estimate would be the power plants estimated installed capacity. If the developer were expanding a currently operating plant the Phase III Delineated PCA estimate would be the estimated capacity to be added to the plants current installed capacity.
Phase III - Projects
GEA Annual US Geothermal Power Production and Development Reports