The bill, H.B. No. 5568, amends the Natural Resources Code to clarify the definition and regulatory framework for geothermal energy conservation wells in Texas. It specifies that a geothermal energy conservation well is a facility used for the retention of energy that can provide dispatchable electricity generation for the power grid. The bill also distinguishes geothermal energy conservation wells from battery energy storage resources.

Additionally, the bill outlines the requirements for designating an operator for these wells, including the need for a factually supported claim to possessory rights in the mineral and geothermal estates accessed by the well, as well as the geologic space utilized. The amendments include the insertion of new definitions and clarifications regarding the legal status of geothermal energy conservation wells. The bill is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that vote is not achieved.

Statutes affected:
Introduced: Natural Resources Code 89.047 (Natural Resources Code 89)