On April 11, 2025, the Colorado State Legislature introduced House Bill 1165, a significant piece of legislation aimed at regulating the enjoyment and use of noncommercial geothermal hot springs across the state. This bill seeks to streamline the registration process for individuals and entities wishing to utilize geothermal resources, ensuring that operations are conducted in a manner that respects existing water rights and environmental standards.

One of the key provisions of House Bill 1165 mandates that anyone wishing to enjoy a noncommercial geothermal hot spring must register with the State Engineer. This registration includes providing the location of prior geothermal operations and designating individuals to receive electronic notifications regarding any updates or changes from the State Engineer and the Commission. This move is intended to enhance communication and transparency, allowing stakeholders to stay informed about geothermal resource management.

The bill also amends existing statutes related to geothermal resource permits, clarifying that the State Engineer will issue use permits for distributed geothermal resources in accordance with established requirements. Notably, it removes certain exemptions for nonconsumptive geothermal operations, ensuring that all operations are subject to oversight, which proponents argue is essential for protecting Colorado's water resources.

Debate surrounding House Bill 1165 has highlighted concerns from environmental groups and local communities about the potential impacts of geothermal operations on water rights and ecosystems. Critics argue that the bill may not go far enough in safeguarding these resources, while supporters emphasize the importance of regulating geothermal use to promote sustainable energy practices.

The implications of this legislation are significant, as Colorado continues to explore renewable energy sources. By establishing a clear framework for geothermal resource management, House Bill 1165 could pave the way for increased investment in geothermal energy, contributing to the state's broader goals of sustainability and energy independence.

As the bill moves through the legislative process, stakeholders are closely monitoring its progress, anticipating potential amendments and further discussions that could shape its final form. The outcome of House Bill 1165 will likely have lasting effects on how geothermal resources are utilized in Colorado, impacting both the environment and the local economy.