AB2234 - California Environmental Quality Act: geothermal exploratory projects.

Enrolled September 04, 2026 Passed IN Senate August 30, 2026 Passed IN Assembly August 31, 2026 Amended IN Senate August 27, 2026 Amended IN Senate August 13, 2026 Amended IN Senate July 06, 2026 Amended IN Senate June 15, 2026 CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION Assembly Bill No. 2234 Introduced by Assembly Member Papan February 19, 2026 An act to amend Section 21065.5 of the Public Resources Code, relating to geothermal resources. LEGISLATIVE COUNSEL'S DIGEST AB 2234, Papan. California Environmental Quality Act: geothermal exploratory projects. The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if the lead agency finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. Existing law establishes the Geologic Energy Management Division in the Department of Conservation. Existing law requires the division to be the lead agency for all geothermal exploratory projects for purposes of CEQA, except as provided. Existing law defines “geothermal exploratory project,” for purposes of CEQA, in part as a project composed of not more than 6 wells and associated drilling and testing equipment whose chief and original purpose is to evaluate the presence and characteristics of geothermal resources. Existing law requires wells included within a geothermal exploratory project to be located at least 1 / 2 mile from geothermal development wells that are capable of producing geothermal resources in commercial quantities. This bill would expressly include, as part of a geothermal exploratory project, equipment and activities necessary to establish interconnectivity between wells and reservoirs, as provided. The bill would specify that the above-described 1 / 2 mile limit is measured from all points along the wellhead location and well course, including the bottom of the well, as provided. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill Text The people of the State of California do enact as follows: SECTION 1. Section 21065.5 of the Public Resources Code is amended to read: 21065.5. “Geothermal exploratory project” means a project as defined in Section 21065 composed of not more than six wells and associated drilling and testing equipment, including equipment and activities necessary to establish interconnectivity between wells and reservoirs, whose chief and original purpose is to evaluate the presence and characteristics of geothermal resources before commencement of a geothermal field development project as defined in Section 65928.5 of the Government Code. Wells included within a geothermal exploratory project shall be located at least one-half mile, measured from all points along the wellhead location and well course, including the bottom of the well, from geothermal development wells that are capable of producing geothermal resources in commercial quantities.