Numerous geological formations in Colorado have the potential to produce geothermal energy using heat from the earth. Geothermal resources are ideal for three main uses -- heat pumps, direct use, and electricity generation, depending on the temperature of the resource and the needs of the user.
Colorado’s geothermal resources are currently used for heat pumps and directly for pools, spas, greenhouse agriculture, aquaculture, space heating, and district-wide heating. However, given the challenges and financial risk associated with electric generation projects, the state has yet to see the successful development of a project of this type.
Since 1974, Colorado counties have had the power to regulate certain development activities under HB-1041. These regulations are commonly called “1041 Regulations.” Counties were expressly given the ability to regulate “the use of geothermal resources for the commercial production of electricity” in 2010 via SB10-174.