In an article covered by the Idaho Business Review, the prospects of geothermal in Washington State are contrasted against cheap hydropower.
"For states like Idaho, Washington and Oregon, which are dominated by relatively cheap hydro power, the competition is low-cost power,” said Doug Glaspey, COO of Boise-based U.S. Geothermal. “In California, energy costs are around $100 per megawatt. In Idaho, people don’t want to pay any more than $60 or $70 per megawatt.”
The U.S. Dept. of Interior has moved forward with opening additional lands for geothermal development in the Cascades. The action follows on a multi year EIS conducted by Interior. Lands available for leasing will NOT include Wilderness areas and National Parks. Initial lease sales will take place in December, 2008 for properties on the eastern slope of the Southern Cascades in Central Oregon and Idaho. Additional properties throughout the Western United States, and Washington can be nominated by geothermal developers.
….the initiative could produce 5,540 megawatts of new electric generation capacity from geothermal resources by 2015. That’s enough to meet the power needs of 5.5 million homes. The plan also estimates an additional 6,600 megawatts by 2025 for a total of 12,100 megawatts – enough to power more than 12 million homes. When put into action by a Record of Decision, the plan would identify about 118 million acres of Bureau of Land Management managed public lands and 79 million acres of National Forest System lands for future geothermal leasing….
In the first comprehensive assessment since 1978, the US Geologic Survey has issued a new survey of the hydrothermal and EGS potential of the Western United States. Building from recent assessments by the Western Governors Association, State Geologic Surveys, private data and federal assessment they issue conservative, mean and low probability estimates. The study included resources greater than 90 degrees C and up to a depth of 6km. Pristine lands and lands proximal to National Parks were excluded. A total of 241 geothermal sites were identified.
Washington State’s identified resources are 0.25% of the national assessment and expand to 1.25% of the potential when EGS is included.
In an agreement with a major timber company, Alta-Rock has acquired the geothermal rights to 263,000 acres in Western Washington. While the full geothermal potential of these resources is not known, their proximity to the I-5 transmission corridor greatly favors their development compared to Eastern Washington geothermal resources. The full scope of lease rights extend to 650,000 plus acres in several western states.
The GEA has released its latest production and development report. Nationally, growth is project at ~20% since the beginning of 2008. Washington State garners a reference to one project around Mt. Baker. No MW power output is assigned.
Thursday, Jan 24th, 2008 – The Bellingham Herald covers the recent developer interest in the Cascades. Les Blumenthal, long observant in Washington State, covers the points. He mentions Vulcan Power’s speculation (no relation to Vulcan in Seattle) and Raser’s deal with International Paper. The impeding “Rain Curtain” on the Western Cascades is discussed as well.
Near Baker Lake, southeast of Mount Baker, an Oregon company is waiting for leases from the Forest Service and considering a 100-megawatt geothermal plant that could provide enough electricity for 100,000 people. Steven Munson, the chief executive of Vulcan Power Co., said there is more than an 80 percent chance the plant will be built.
On the east slopes of the Cascades in Yakima and Kittitas counties, a Utah firm, Raser Technologies Inc., is focusing on 5,000 acres of International Paper land for possible development.
The “Rain Curtain” masks the indicators
Hot springs and other surface indications of geothermal activity are easier to spot in arid areas. In the Cascades, the “rain curtain” and runoff from melting snow make it harder to pinpoint potential geothermal areas.
“The Cascades have always been an area of interest, but it is so wet the heat flow is masked,” said John Lund, director of the Oregon Institute of Technology’s Geo-Heat Center in Klamath Falls.
In the article there is a diagram of a geothermal power plant.
This 1992 Report, funded by the Bonneville Power Administration, identified 124 jobs if a modest (100MWe) geothermal power plant was developed on the eastern side of Mt. Baker in Whatcom County. 62 direct plant jobs!
Lastly, an additional $9.4 million in related income to the county, plus royalty, ongoing O & M and property taxes reaching $14 Million a year at its peak.
These numbers are 15 years old but basic leasing and taxing regulations have not changed. Revenue back to the local community from federal land holding lease receipts is a higher percentage because of the resource extraction aspect.
Glitnir, an Icelandic Company, has been bold and singular in its new strategy to aggressively pursue the U.S. geothermal market.
Glitnir projects an annual U.S. geothermal electricity market of $11 billion by 2025, from about $1.8 billion now, with geothermal potentially providing up to 20% of California’s electricity needs, 60% of Nevada’s and 30% of Hawaii’s.
The industry is expected to draw about $40 billion in financing over the next 18 years.
