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2025 · Regular session · Senate bill
SB879
SB879 exempts qualifying closed-loop geothermal permit-by-rule participants from two specified Railroad Commission fee and organization-report statutes.
Official caption: Relating to an exemption for drillers or operators of closed-loop geothermal injection wells from certain requirements applicable to persons involved in activities under the jurisdiction of the Railroad Commission of Texas.
Official report lists Senate author(s): Birdwell. This does not identify sponsors or amendment drafters.
Bill explanation published · Version and amendment review scope is stated below · Individual amendment records may not be separately annotated.
Bill highlights
Selected points from the published explanation. Follow each point to its source-linked context; conditions and limits may matter.
- SB879 exempts qualifying closed-loop geothermal permit-by-rule participants from two specified Railroad Commission fee and organization-report statutes.
- The first excluded statute, Natural Resources Code Section 85.2021, sets drilling-permit application fees: a $200–$300 base fee depending on depth, plus specified fees for requested spacing or density exceptions and expedited processing.
- The underlying geothermal section defines a closed-loop well as a closed system that circulates water, other fluids or gases through the earth as a heat source or sink to generate power or heat or cool a structure.
What does it do?
SB879 exempts qualifying closed-loop geothermal permit-by-rule participants from two specified Railroad Commission fee and organization-report statutes. The exemption covers a person who submits a request for authorization, or is authorized, to use a valid permit by rule under Water Code Section 27.037. It is not an exemption for every kind of geothermal permit. Signed May 19, 2025, it took effect September 1, 2025, and applies to permit applications or materially amended applications filed on or after that date. Final act; History.
The first excluded statute, Natural Resources Code Section 85.2021, sets drilling-permit application fees: a $200–$300 base fee depending on depth, plus specified fees for requested spacing or density exceptions and expedited processing. The second, Section 91.142, requires an organization report with identifying information, annual refiling and fees, and contains related resident-agent, enforcement and bankruptcy-notice provisions. The new law makes those two sections inapplicable to the specified permit-by-rule participants. It does not repeal them for other regulated operators. Drilling-permit fee section; Organization-report section; Scope of the exemption.
The underlying geothermal section defines a closed-loop well as a closed system that circulates water, other fluids or gases through the earth as a heat source or sink to generate power or heat or cool a structure. It retains Railroad Commission jurisdiction, authority to issue permits, and the rule that drilling may not begin without a valid commission permit. SB879 does not remove that permitting requirement or exempt all environmental rules, fees or financial-security laws. Retained geothermal framework; Only two sections excluded.
What changed along the way?
All five versions were read and compared and have the same operative language. The index lists no floor amendments. The act adds subsection (c-1) to the existing geothermal section; it does not create the permit-by-rule category, which the prior statute already authorized. Prior law; New subsection and transition.
For the full amendment record, open the official amendment index.
Official bill versions
Compare the published text versions in the official text index. A change is not attributed to a specific amendment here without a verified record.
Who could benefit—and who could bear the costs?
Qualifying participants avoid the specified filing and fee requirements, reducing that part of their compliance burden. The commission correspondingly loses those filings and fee payments for covered activity. Actual savings depend on the applicable fees and activity; the act does not promise a fixed saving per installation or guarantee authorization. Exemption; Fee schedule; Reporting and fees.
The sole March 18 fiscal note anticipates no significant fiscal impact on the state or local governments and assumes implementation costs can be absorbed within existing resources. It does not quantify operator savings or state revenue reductions.
Official sources
- Bill history and latest recorded action
- Bill versions, analyses and fiscal notes
- Action history and votes
- Amendment index
Catalog report retrieved 2026-10-25. Check the official record for corrections or later changes.