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February 15, 2010 | admin | Comments 0

Resolution seeks definition clarification for federal stimulus funding

In California, a resolution introduced to the state Assembly asks that exploratory drilling be separated from construction in order to ensure that geothermal testing will not disqualify power plants from receiving money from the American Recovery and Reinvestment Act. The resolution asks the federal government to clarify the definition of exploring to include exploratory drilling. If drilling is defined as exploration and not construction, geothermal plants, like the Catalyst Hannon Armstrong Renewables project, to receive funding for construction. The project began exploratory drilling in 2008. The stimulus tax credits can only be used on projects where construction began after Jan. 1. If approved, the resolution will be sent to the federal government to show California’s support of clarifying the definition.

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