Utah State Profile
Background
Within Utah, electric power production and various business enterprises such as greenhouses, fish farms, and recreational resorts are enhanced through the use of geothermal energy. Utah's geothermal reservoirs range in temperature from low (below 100°C) to high (above 150°), and are primarily found throughout the central and western regions of the state in association with the Basin and Range geological province. Moderate- to high-temperature hydrothermal systems are suitable for power production, while thermal energy from lower temperature systems can be used directly for applications such as space heating. One geothermal power plant located near Milford in the southwestern portion of the state generates enough electricity to supply nearly 8,000 typical households, and a second plant is undergoing renovations to increase production capacity. Agribusinesses in Utah use thermal waters directly to provide heat to greenhouse and aquaculture facilities while avoiding the price fluctuations associated with fossil fuels. People have enjoyed Utah's many surface hot-springs for hundreds of years-from the Native Americans' early use of natural springs for cooking, bathing, and religious rites, to the present-day development of therapeutic spas and resorts.
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Current Development
Under the Geothermal Steam Act of 1970, the federal government was authorized to designate a parcel of federally-owned land overlying a geothermal resource as a Known Geothermal Resource Area (KGRA) for purposes of leasing the land for the beneficial development of the resource. The Roosevelt Hot Springs KGRA, located in Beaver County near the town of Milford, is the source of energy for electricity generation at the Blundell power plant, which has a production capacity of 26 MWe (megawatts electric). Activities are underway for the expansion of the Blundell plant with an additional 11 MWe in capacity expected to be in operation by late 2007.
The Cove Fort-Sulphurdale KGRA, also in Beaver County, was the site of power production at the Bud L. Bonnett Geothermal Generating Station with a capacity of 12 MWe. In 2003, the Cove Fort facility was acquired by Amp Resources and production was discontinued so that a complete plant renovation can take place. Renovations were proposed to include the addition of 14 new production wells and the deployment of Amp Resources' innovative K-Cycle process, which allows for a more efficient conversion of moderate-temperature geothermal energy into electricity. The modernized Cove Fort facility is scheduled to resume production by the end of 2007 with a capacity up to 69 MWe. A 20-year power purchase agreement (PPA) for the output of the Cove Fort facility has been established with PacifiCorp, which operates as Utah Power in Utah and Idaho.
Hydrothermal reservoirs are directly utilized for space heating for approximately 30 acres of commercial greenhouses located in northern and southwestern Utah. Thermal waters also supply heat to aquaculture operations near the towns of Bluffdale, in Salt Lake County, and Grantsville, in Tooele County. The Saratoga Springs Resort in the Provo-Orem metro area uses geothermal water for space heating, and it is one of the state's nine recreational resorts that use hot springs to supply pools for swimming or therapeutic bathing.
Potential Development
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It has been estimated that the full geothermal potential of the Roosevelt Hot Springs area, site of the 26 MWe Blundell power plant, remains largely untapped. The potential for power production from this resource has been estimated between 75 and 100 MWe. Furthermore, there is tremendous potential for additional direct-use applications in industrial and recreational settings.
Economic Benefits
Agribusinesses in Utah take advantage of the energy cost savings possible through the use of geothermal energy, while greenhouses, fish farms, resorts, and power plants provide hundreds of jobs and boost local economies.
The Milgro Nurseries in Newcastle is the largest geothermal business in Utah, and one of the largest geothermal greenhouses in the country. With 26 acres of covered greenhouses and another 200 acres in bare land overlaying the geothermal zone, Milgro employs from 100 to 130 people. Milgro Nurseries grow a huge selection of plants and flowers each year including 1.3 million chrysanthemums; 1 million Dutch bulbs (tulips, daffodils, hyacinths); half a million poinsettias; 300,000 calla lilies; and 25 million chrysanthemum cuttings. Milgro is the country's largest producer of chrysanthemums. Milgro finds the cost of doing business less in Utah than in California, where the company is also located.
The Utah State Prison near Bluffdale uses geothermal well water for space heat and domestic hot water for a 330,000 square-foot complex including the medium-security cell block, prison furniture shop, sewing shop, and Special Service Dormitory. Completed in January 2006, a new geothermal system will save Utah taxpayers $280,000 this year, and $344,000 next year. Guaranteed savings are $193,000 a year. Inmates work at nearby Hi-Tech Fisheries which uses thermal water from the prison's geothermal well to raise tropical fish for commercial sale.
Additionally, royalty payments must be made to the federal government for the use of geothermal resources on federal lands, although a substantial amount is returned to the state. Royalty payments represent a percentage of the profits from the sale of geothermally-generated electricity. In 2005, amendments to the Geothermal Steam Act of 1970 were passed that call for the return of 50 percent of federal royalty payments to the state government, and for 25 percent to be returned to the county government for the state and county in which production takes place.
Environmental Benefits
Geothermal energy prevents the emissions of greenhouse gases (GHG) and air pollutants, helping to keep Utah's air clean and its sky clear. The Blundell and Cove Fort geothermal power plants have offset over 3 million tons of carbon dioxide emissions that would have been generated by similar-sized fossil fuel plants. This is equivalent to 7 million barrels of oil. In addition, the plants annually offset the emission of 410 tons of nitrogen oxides and 447 tons of sulfur dioxides. The businesses which use geothermal water for aquaculture, greenhouses, swimming pools, scuba diving, and space heating and hot water also prevent the emissions of air pollutants and GHG. If these businesses used electricity to generate the heat that geothermal water naturally contains, not only would most be unable to afford to stay in business, but they would emit 65,000 tons of carbon dioxide annually—the same as about 137,000 barrels of oil. In addition, they would emit 120 tons of nitrogen oxides and 113 tons of sulfur dioxides each year into Utah's air.
Technical Capabilities
Utah universities, state agencies, and private firms contribute technical capabilities to the local and national geothermal communities. The Utah Geological Survey maintains a database of geothermal resource information to support development projects.
Incentives
With the passage into law 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.
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. Geothermal State Working 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 accomplish networking conferences, analyze regulatory issues, and assess the progress of local geothermal projects.
Utah has established a Geothermal State Working Group with leadership from the Utah Geological Survey. In March 2006, the Utah group presented a two-day workshop event in Salt Lake City that highlighted geothermal heat pumps and direct use. Participants in this workshop included representatives from the academic community, the International Ground-Source Heat Pump Association, the USDA, and private firms. Ground-source heat pumps, also commonly referred to as geothermal heat pumps (GHPs), were the focus of the workshop's first day. Discussions of the GHP industry took place, along with a tour of a middle school utilizing GHP technology. Day two focused on direct-use applications in agribusiness, aquaculture, industry, and district heating; a field trip to the Utah State Prison space heating project was also offered.
List of Projects
Geothermal projects operating in Utah include the following:
- Belmont (Camperworld) Hot Springs Pool/Spa, Scuba Center, and Space Heating — Garland
- Crystal Hot Springs Pool/Spa — Honeyville
- Bonneville Seabase Scuba Dive Pools — Grantsville
- Utah State Prison Space Heating — Bluffdale
- Hi Tech Fisheries — Bluffdale
- Steve Davis Aquaculture — Bluffdale
- Bluffdale Flowers Greenhouse — Bluffdale
- Alan Plant Company Greenhouse — Pleasant View
- Mountain Spa Resort Pool/Spa — Midway
- Saratoga Springs Resort Pool/Spa and Space Heating — Lehi
- The Homestead Scuba Dive Pool/Spa — Midway
- Mystic Hot Springs Pool/Spa — Monroe
- Pah Tempe Pool/Spa — Hurricane (currently closed)
- Veyo Resort Pool/Spa — St. George (Veyo)
- Castlevalley Greenhouses — Newcastle
- Milgro Nursery, Inc. Greenhouses — Newcastle
- Bonnett Power Plant Development — Cove Fort
- Blundell Power Plant — Milford
Details regarding the location and geothermal energy capacity of each project can be found at the Utah State Geothermal Projects website, developed by the Oregon Institute of Technology's Geo-Heat Center.
State Contacts
Utah State Energy Program
Phil Powlick
State Energy Program Manager
(801) 537-3365
GeoPowering the West - State Working Group
Bob Blackett
Utah Geological Survey
(435) 865-9035
Bureau of Land Management
Utah Office
Utah Department of Natural Resources
Natural Resources Map and Bookstore - Geothermal Publications
Utah Public Service Commission
Department of Geology and Geophysics
University of Utah
Energy and Geoscience Institute
University of Utah Department of Civil and Environmental Engineering
National DOE Contacts
U.S. Department of Energy
Curtis Framel
Senior Energy Project Officer
Golden Field Office
Golden, CO
(303) 275-4872
U.S. Department of Energy
Sandy Glatt
Senior Energy Project Officer
Golden Field Office
Golden, Colorado
(303) 275-4857