Technology Advancements to Support Growth in Geothermal Power Sales in a Dynamic Utility Market

We are assembled today to discuss the opportunities and challenges for expanding the sales of geothermally-generated electric power in a competitive utility market. First, however, I would like to note that growth in geothermal sales might not be a germane topic were it not for the early participation in the development of the geothermal industry by utilities themselves. Without their contributions to research and development, environmental breakthroughs, and, perhaps, above all, their early use of geothermal power and continuing investment in the industry, we might still be at ''Square One''--confronting inhibiting doubts of the energy utilization industry. I feel certain that utility involvement has served to inspire far greater confidence in the reliability of the resource on the part of other utilities and other investors than could have been generated by federal programs and/or the resource developer arm of the geothermal community. While acknowledging that we have not completely resolved all problems which geothermal energy faced 20 years ago--confidence, institutional restraints, environmental compliance, and technical and economic uncertainties--this audience and our predecessors have addressed them, individually and collectively, and, to a large extent, we have surmounted them. But it took generation or contracted purchase of geothermal power by utilities--whatever their discrete reasons for doing so--to demonstrate to the public and government regulators that there is a place for geothermal power in the service areas of large utilities. In addition, in using an alternative fuel, the participating utilities have already exposed themselves to changing concepts and practices in their industry.