BLM Greenlights Nevada Geothermal Project in Crescent Valley

Geothermal Project Approval in Nevada

A significant geothermal project in Nevada has recently received approval from the Bureau of Land Management (BLM). This decision was made in alignment with an initiative aimed at expediting the permitting process for energy-related developments. The BLM approved Ormat’s Crescent Valley project, a 30-megawatt facility situated between Reno and Elko. Once completed, this project is expected to generate enough power to supply approximately 33,000 homes.

The approval encompasses several key components, including:

• Construction and operation of one power plant
• A photovoltaic solar field
• 17 additional geothermal fluid production and injection wells and well pads
• New and improved access roads
• An aggregate pit
• Geothermal fluid pipelines
• An electrical line, substation, switching station, and ancillary support facilities

This project was specifically highlighted in relation to President Trump’s Executive Order 14154, which is known as “Unleashing American Energy.” The BLM emphasized that geothermal projects contribute to domestic energy production and American energy independence, while also supporting the nation’s economy and security. According to the BLM, these projects align with the goals of the executive order, helping to meet the energy needs of U.S. citizens and reinforcing the country's position as a global energy leader.

Ormat clarified that while the Crescent Valley project aligns with the Trump administration’s energy objectives, it did not benefit from the revised National Environmental Policy Act (NEPA) process. Instead, the project followed the standard NEPA review process after its initial draft was submitted in 2022 and was finally approved on July 16.

Understanding the 'Unleashing American Energy' Initiative

The “Unleashing American Energy” initiative was signed by President Trump on January 20. This executive order promoted energy exploration and development on federal land while eliminating the electrical vehicle mandate, which previously encouraged the adoption of electric vehicles. Additionally, Trump issued another executive order on the same day, declaring a national emergency to expedite projects involving oil, gas, geothermal, and minerals.

To speed up these projects, the Trump administration sought shorter environmental reviews. In April, the Department of Interior introduced a new compressed timeline for permitting, reducing environmental assessments to just 14 days instead of several months or over a year. Environmental impact statements were also shortened from two years to 28 days.

Although the Crescent Valley project was approved through the standard NEPA process, the Department of Interior announced the fast-tracking of three other Ormat geothermal projects in Nevada in May, following Trump’s energy initiatives. This accelerated permitting was welcomed by Ormat CEO Doron Blachar, who stated that it would significantly reduce delays without compromising scientific rigor and environmental stewardship.

Legal Challenges to the Fast-Tracking Initiatives

Despite the positive reception from companies like Ormat, Trump’s fast-tracking of energy exploration and mining projects on federal land has faced legal challenges. In March, a lawsuit was filed in the U.S. District Court in the District of Columbia over Executive Order 14154, arguing that the termination of previously awarded grant funds was unconstitutional.

In May, fifteen states also sued the Trump administration over the national emergency declaration to fast-track energy exploration and production, calling it an “unlawful directive.” They claimed that the executive order attempts to bypass laws such as the Clean Water Act and Endangered Species Act.

The lawsuit argued that the executive order is unlawful and that its commands for federal agencies to disregard the law and their own regulations to fast-track extensive categories of activities could result in damage to waters, wetlands, critical habitat, historic and cultural resources, endangered species, and the people and wildlife that rely on these precious resources.