Co-Location Energy Act

The Co‑Location Energy Act gives the Secretary of the Interior the authority to assess and authorize renewable energy projects on existing federal energy leases, such as those issued under the Mineral Leasing Act or the Geothermal Steam Act . The Secretary may issue permits for solar or wind facilities , including their construction, operation, and related transmission or storage systems, but only after obtaining leaseholder consent . The act also requires the Secretary to evaluate whether these activities qualify for categorical exclusions that normally do not significantly affect the environment. Within 180 days of enactment, the Secretary must determine if the permitted actions qualify for NEPA categorical exclusions and publish a rule to carry out the provisions. The rulemaking process will clarify the procedures for evaluating lease areas and issuing permits. The bill emphasizes that leaseholder consent is mandatory for both evaluation and permitting. By allowing renewable projects to coexist with existing oil, gas, coal, and geothermal leases, the act aims to promote clean energy development while respecting existing lease agreements.