STEAM Act

The STEAM Act, introduced by Rep. Susie Lee (D-NV) with 5 cosponsors, was reported out of the House Committee on Natural Resources on May 20, 2026 and placed on the Union Calendar (Calendar No. 570). The bill amends the Energy Policy Act of 2005 to expand existing categorical exclusions under NEPA to cover geothermal drilling in areas where drilling has occurred within the last 5 years or in areas previously studied under the Geothermal Steam Act. This is a permitting reform bill, not a spending bill — it authorizes zero dollars in federal outlays. Instead, it reduces regulatory friction for geothermal developers, lowering the time and cost of environmental reviews. An identical companion bill (S456) has been introduced in the Senate and referred to the Energy and Natural Resources Committee, increasing the probability of passage. The legislative path remaining is a floor vote in the House, then reconciliation with the Senate version. The primary structural beneficiary is GE Vernova ($GEV), whose geothermal turbine and generator business (part of its Power segment) will see faster project approvals and potentially a higher volume of US geothermal installations. No other pure-play geothermal drilling or equipment companies trade publicly at meaningful market capitalization. Diversified engineering firms like KBR ($KBR) and Fluor ($FLR) have small geothermal exposure but are not primarily affected. The bill does not affect oil and gas, mining, or other energy sectors. With real market data not provided, no specific price movements can be cited, but the structural advantage for firms with geothermal equipment exposure is clear.