Gov. Spencer Cox announced Operation Gigawatt, a plan to double Utah’s power production by 2034, earlier this month. The plan promises to increase transmission capacity, tap into a variety of energy resources and encourage innovation through permitting reform and better regulatory policies.
Humanity’s history has been one of mastering the world’s resources to improve our lives. Utah’s future will be no different. Our prosperity depends on energy — clean, reliable and abundant energy. To meet this need, we have to diversify and expand our energy sources in ways that reduce risks for consumers while allowing new technologies to thrive.
Take geothermal energy. Few people think about it beyond the occasional trip to the hot springs, but it holds incredible potential. Enhanced geothermal systems can generate clean firm power — meaning it’s available even when the wind isn’t blowing and the sun isn’t shining. Utah’s own FORGE project, a collaboration with industry, the University of Utah and the Department of Energy, could become a model of success.
The road to energy innovation in geothermal and other clean firm power sources is fraught with regulatory barriers. Consider Nevada’s promising geothermal project between Google, Fervo Energy and NV Energy. The partnership is a great example of what’s possible: Google agreed to cover the cost difference between Fervo’s geothermal output and the cheapest alternative, allowing Nevada residents to benefit from clean power without bearing the costs and risks of developing the new industry. With this special electricity rate, called a tariff, Google is able to meet its data center sustainability goals without passing costs on to anyone else.
However, despite the deal being struck nearly a year ago, the Nevada Public Utilities Commission’s approval process is dragging on and may not finish until mid-2025.
Utah has the chance to get ahead. The state can beat NV Energy to the punch by directing Rocky Mountain Power and the Public Utilities Commission in Utah to approve a clean transition tariff like the one Google and Fervo pioneered by the end of the year. This tariff would be the neon “Open for Business” sign attracting data center investments and building a cleaner future at the same time.
We should be actively pursuing similar partnerships — and doing it faster. Utah can speed up the rollout of cutting-edge technologies like geothermal with some forward thinking. This would position our state as a leader in energy innovation, attracting companies to choose Utah because of our enviable business environment and our abundant energy.
On top of these economic advantages, Utah will also advance clean energy and sustainability goals. Data centers require 24/7 energy. Their owners want that to be supplied without carbon emissions. This makes geothermal’s ability to ramp up and down for times when solar and wind aren’t available an important missing piece.
Approving a new tariff by the end of the year is an admittedly aggressive goal. The utility industry moves at a glacial pace. On the one hand, caution is justified. Keeping the electrical system online undergirds every comfort of the modern age. Prolonged outages are life-threatening, not just inconvenient. Yet the slow movement raises the question of the utility model’s fitness for today’s needs.
If we want to see clean energy sources like geothermal succeed, and soon, we will need to speed up. By design, Rocky Mountain has no competition in Utah. Unfortunately, no Pepsi-vs.-Coke-like war rages to keep them lean and fighting fit. Since there is no competition in the system, the utility system needs to have a fire lit under its feet by regulators and policymakers.
Utah has always been a place where innovation meets opportunity. If we seize this moment, we won’t just be building a brighter and cleaner future for ourselves but for the generations to come.
Josh T. Smith is the energy policy lead at the Abundance Institute in Salt Lake City. He writes an energy-focused newsletter, Powering Spaceship Earth.
