December 2, 2024

Team Profile:
Regulatory considerations for the future of superhot geothermal development in the TVZ
contributor(s)

photo credit:
Margaret Low (GNS Science)

Are the existing regulatory frameworks under the Resource Management Act set up to effectively manage future superhot geothermal development in New Zealand? A recently published report, and accompanying conference paper, explores this question.

Superhot geothermal, with potentially zero CO2 emissions, presents an opportunity to more than double current geothermal electricity generation from 2037. With geoscience now “looking” deeper underground and with advances in geothermal utilisation and effects management in conventional geothermal systems, it is critical to determine if the existing regulatory planning framework is fit-for-purpose for superhot geothermal.

This study identified a range of regulatory and broader challenges, and then suggested practical and achievable initiatives (regional, national and global) that could be explored to overcome them.

Regulatory challenges

  • Interconnectivity – Adaptive management support a precautionary regulatory approach, where uncertainty remains regarding boundaries and system interconnections. Connections between deep, superhot resources and shallower conventional geothermal resources, geothermal surface features, groundwater and the wider environment continues to evolve.
  • System boundaries – 1960’s resistivity data (with a depth limit of 500m) forms the basis for the current boundaries of geothermal systems defined in regional planning documents in both the Waikato and Bay of Plenty Regions. Improved geophysical delineation of geothermal resources can support planning changes.
  • Significant geothermal features– The protection of outstanding and significant geothermal features is a policy directive in relevant planning documents. The work to identify Significant Natural Areas will determine if any geothermal features are not currently protected as a result of system classification.
  • Consent duration - The maximum 35 year term currently allowable under the RMA may not align well with the nature of superhot development with the intensity of capital investment necessary.
  • National Direction/Pan-regional challenges– Geothermal energy, despite its potential contributions, has been given limited attention in existing national policy direction.

Regulatory-adjacent challenges

  • Māori cultural values - To identify the range of values associated with a particular geothermal system or resource, broader engagement than solely with iwi authorities, including with tangata whenua in their capacity as kaitiaki (guardians) of the land and resources, is fundamental.
  • Freshwater access and availability - Where there is insufficient water for all demands, the first-served allocation approach does not guarantee that water is allocated to the uses with the greatest environmental, social, cultural or economic value (e.g. geothermal well drilling).
  • Investment risk - We have no local data to rely on regarding superhot potential to inform investment decisions. Proving a superhot resource to development stage will require a number of exploratory wells to be drilled.

Download report: Regulatory considerations for the future of superhot geothermal development in the TVZ

Download NZGW 2024 paper: Unlocking our potential: a superhot geothermal future for Aotearoa New Zealand

Download NZGW 2024 slide deck: Unlocking our potential: a superhot geothermal future for Aotearoa New Zealand

read more

categories

Governance & Regulation

tags

geothermal: the next generation (GNG)
legislation
regulation
geothermal drilling
supercritical resources
consenting
statutory framework

Further Updates