Oregon State Profile
Background
Geothermal resources are primarily located throughout the central and eastern regions of Oregon, with some of the most robust geothermal activity occurring along the Cascade mountain range and in the southeastern basin and range areas. For decades, hydrothermal reservoirs in the low-to-moderate temperature range (below 150°C) have been used in Oregon for heating applications in which thermal energy is transferred directly from hot well water or springs. Among the state's uses of geothermal energy are a district-wide space-heating system in Klamath Falls, commercial greenhouses and fish farms, snow-melting, and agricultural processing. Numerous therapeutic bathing and spa facilities also showcase Oregon's thermal waters. The potential to generate electricity from geothermal energy is being pursued in Oregon, as promising hydrothermal resources have been identified at several sites.
Source: Additional map formats available from Idaho National Laboratory. If you have difficulty accessing the content of this map, please contact the Webmaster.
Current Development
A district-wide system constructed in 1981 delivers hot water for space-heating to over one dozen municipal buildings, businesses, and community facilities in Klamath Falls. The geothermal pipelines extend underneath portions of the city's paved areas, enabling geothermal fluids to melt away snow and ice from approximately 75,000 square feet of sidewalk, crosswalk, and bridge surfaces. Multiple geothermal wells throughout Klamath Falls additionally provide space-heating for hundreds of private residences.
Heat to enhance the growth of aquatic life is obtained from geothermal waters at two fish farms, and geothermal energy meets the heating requirements for approximately three acres of commercial greenhouses in the state. The community of Vale in eastern Oregon is home to an agricultural dryer and a mushroom nursery that both obtain heat from the adjacent hydrothermal aquifer.
Oregon's geothermal waters are also enjoyed in their natural state for relaxation and recreation. One of the nation's first major hot-spring resorts, the Hot Lake Hotel, was established in 1875 near La Grande. Presently, Oregon offers approximately 20 developed hot spring attractions.
Proposed Development
There is significant untapped potential in Oregon's geothermal resources for additional direct-use applications. Although direct-use applications of geothermal energy are prevalent in Oregon, several sites have been identified as having hydrothermal resources that may be sufficient in both temperature and flow-rate to support electricity generation. Geothermal leases for the Crump Geyser site, located in the Warner Valley in south-central Oregon, have been secured by a private developer. With data that indicate a high-temperature reservoir in excess of 180°C, the potential for power production at Crump Geyser has been estimated at 85 megawatts — enough to supply approximately 85,000 typical households.
Exploration at the promising Newberry Crater site near Bend, through extensive drilling encountered world class resources sufficient for the 30-megawatt power plant that is initially planned for construction. Davenport Power on behalf of Northwest Geothermal Company executed a 20-year power sales agreement with Pacific Gas & Electric Company, a major West Coast utility, in July 2006. The agreement involves selling between 60 and 120 MW of electricity from a proposed geothermal power project on the western flank of the Newberry Volcano. As of August 2006, Davenport Power was seeking approval from the U.S. Forest Service to conduct additional testing in order to determine the optimal locations for future production wells. Drilling preparation and environmental work will begin in 2006 and the first 30 MW phase of the project is scheduled to achieve operating status in late 2009. The second 30 MW is scheduled to begin operating in 2010 and, provided that expected resource and transmission service are available, the remaining 60 MW of the project is scheduled for 2011.
Advances in generation technology have introduced the possibility to utilize moderate geothermal resources for small-scale generation with modular units that can supply electricity directly to on-site users. Among the resource areas that may hold significant potential for power plant development are Klamath Falls, Lakeview, Summer Lake, Malheur River, and Vale.
Economic Benefits
Greenhouses and agricultural processing facilities in Oregon are able to increase their competitive edge by taking advantage of energy cost savings possible through the use of geothermal energy, and the state's geothermal greenhouses and aquatic hatcheries provide dozens of jobs, typically in rural areas. A significant cost savings is realized through Klamath Falls' use of geothermal district heating systems. Oregon's tourism industry is also enhanced by geothermal springs that draw many visitors annually to towns such as Warm Springs, where the local economic base relies in large part on tourist spending. Economic development funds from Union County have been contributed to the restoration of the Hot Lake Resort near La Grande in order to rejuvenate the local tourism industry.
Technical Capabilities
The Oregon Institute of Technology's Klamath Falls campus houses the Geo-Heat Center, a national resource for the research and development of geothermal energy. The Geo-Heat Center aids in the transfer of technical information and provides project development support for geothermal direct-use applications. The Geo-Heat Center also promotes the increased use of geothermal heat pump systems with its Outside the Loop newsletter for geothermal heat pump designers and installers, and the "Information Survival Kit" for geothermal heat pump owners. Numerous case-studies and technical papers regarding geothermal development worldwide have been published by the Geo-Heat Center.
Incentives
With passage of the Energy Policy Act of 2005, the national Production Tax Credit (PTC) was extended to include geothermal facilities in operation by January 1, 2008. The PTC is an incentive of 1.5¢ per kWh for electricity produced from renewable sources during the first ten years of a new facility's operation.
The Bonneville Environmental Foundation (BEF) provides financial support to the Pacific Northwest states of Oregon, Washington, Idaho, and Montana for projects that develop renewable sources for the generation of electricity or thermal energy. Geothermal development projects are eligible for support upon acceptance of proposals from private developers, local governments, or tribal organizations. More information on the BEF grant process can be found at http://www.b-e-f.org/grants/.
Incentives are available for renewable energy development projects in the state. Oregon's State Energy Loan Program (SELP) offers low-interest loans for energy production projects utilizing renewable energy resources, including geothermal. Individuals, businesses, schools, special districts, state and federal agencies, municipalities, cooperatives, tribes, and non-profits are eligible for loans through SELP for capital and related development costs.
Business energy tax credits are available to Oregon businesses and others that invest in renewable energy projects in the state. Additionally, the Energy Trust of Oregon provides cash incentives to support the development of utility-scale power production facilities (at least 10 megawatts) using renewable resources such as geothermal energy.
Details regarding Oregon's renewable energy incentives can be found at http://www.oregon.gov/ENERGY/RENEW/Geothermal/Incentives.shtml.
State Working Groups
Geothermal State Working Groups are networks of individuals typically including geothermal developers, utility representatives, local officials and policymakers, and other energy stakeholders within a given state or region. Such groups are sponsored by the U.S. Department of Energy's GeoPowering the West Initiative and often work in conjunction with the State Energy Office of the group's respective state to conduct networking conferences, analyze regulatory issues, and assess the progress of local geothermal projects.
Oregon has established a Geothermal State Working Group with leadership from the Oregon Department of Energy. The Oregon Geothermal Working Group (OGWG) includes representatives from utilities, government agencies, environmental groups, farming and rural interests, and the geothermal industry. The OGWG is active in organizing workshops for the local geothermal community and the general public to promote the increased utilization of the state's geothermal resources. In May 2006, a workshop was held in Burns to provide information on geothermal direct use, with a focus on applications in the agricultural sector and the associated economic development aspects of geothermal projects.
List of Projects
Details regarding the location and geothermal energy capacity of each project can be found at the Oregon State Geothermal Projects website, http://geoheat.oit.edu/state/or/or.htm, developed by the Oregon Institute of Technology's Geo-Heat Center.
State Contacts
GeoPowering the West — State Working Group
Carel C. DeWinkel
Conservation Division
Oregon Department of Energy
Tel: (503) 378-6099
Oregon Department of Energy — Geothermal Energy
Bureau of Land Management
Oregon Office
Environmental Protection Agency
Region 10
Geo-Heat Center
Oregon Institute of Technology
Oregon Department of Agriculture
Oregon Department of Environmental Quality
Oregon Department of Fish and Wildlife
Oregon Department of Geology and Mineral Industries
The Oil, Gas and Geothermal Regulatory and Reclamation Program
Oregon Public Utility Commission
Bonneville Environmental Foundation
National DOE Contacts
U.S. Department of Energy
Curtis Framel
Senior Energy Project Officer
Golden Field Office
Golden, Colorado
(303) 275-4872
U.S. Department of Energy
Sandy Glatt
Senior Energy Project Officer
Central Regional Office
Golden, Colorado
(303) 275-4857