Geothermal handbook: PlanninG and Financing power Generation t e c h n I c a L r e p o r t 2 / 2

regulation of Land rights and Permits
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Conditions of access to land are a central prerequisite determining the efficiency of a policy to promote 
geothermal resource development. The government should therefore ensure that such conditions are 
in place and aligned with the best practices observed around the world, encompassing both good 
governance principles and adequate measures for controlling speculative practices.
Geothermal resources are widely governed by the mining code, since many countries still lack specific 
laws and regulations for the sector. The legal basis for exploration of these resources is often found 
in a country’s constitution, with sector laws approved at the parliamentary level and more specific 
issues covered by regulations or decrees. As with any land-related development policy and strategy, 
the success of geothermal sector development will depend greatly on the integrity of access to, 
maintenance of, and transfer of rights to geothermal resources. 
Geothermal exploration and exploitation rights in particular areas are granted by governments or 
regulators by means of concessions, leases, licenses and agreements. Granting of these rights should 
be based on the following three principles: (a) a clear legal and regulatory framework, (b) well-defined 
institutional responsibilities, and (c) transparent and non-discriminatory procedures.