Untapped potential: Yukon gov't crafting legislation on geothermal energy

As early as next fall, the Yukon could have laws in place that govern the extraction of geothermal energy for the first time.

While it's a nascent type of renewable energy in Canada, Energy Minister John Streicker told CBC News the Yukon is replete with the resource, which is mainly found in the southwestern and south-central regions. 

"We're also working to move off of fossil fuels and to transition our energy economy," Streicker said.

Geothermal energy is derived from the naturally occurring heat from the earth's core. Essentially, super hot water can be harvested, with the steam used to drive turbines, generating electricity. Geothermal energy can also be used for district heating. 

Harnessing geothermal energy falls in line with the Yukon government's plan to reduce territory-wide carbon emissions by 45 per cent by the end of the decade. Much of that work involves pivoting away from using fossil fuels.

There's at least one geothermal project in the works in the territory. A couple years ago, the Little Salmon Carmacks First Nation entered into an agreement with an Alberta-based company to get at reservoirs beneath its land. 

While there is legislation that guides mining and oil and gas development, however dated, there has never been the equivalent in the Yukon. 

Streicker said with that, questions abound. 

"You need to know how people can apply, you need to know what types of things we need to be concerned about with, say, how the drilling takes place and the type of footprint that it has, especially around aquifers," he said.

Tapping into geothermal reservoirs still requires drilling deep into the earth. 

"It has a footprint, but it's much, much, much smaller than other resource development," Streicker said.

Lewis Rifkind, mining analyst with the Yukon Conservation Society, wrote a letter to the Yukon government as part of its public engagement on creating the new legislation.

In it, he states there are numerous things the Yukon government needs to consider, including cumulative impacts, which can be "extremely negative" and on par with mining. As well, Rifkind states black shale can be dug up as part of the process and can contain radioactive uranium.

Rifkind states the government needs to ensure adequate financial security, should companies decide to bail on the venture and that fair royalties are paid to First Nations.