The Nevada State Engineer’s Office has ordered the developers of the Libra Solar project to stop illegally diverting water for construction. According to state documents, the agency issued cease-and-desist letters to Libra Solar LLC and Homestretch Geothermal LLC after reports emerged that water was being pulled from a geothermal plant and a local rancher without proper permits in Lyon County.
Why is water diversion a legal flashpoint for Nevada solar projects?
Water is the most restricted resource in the U.S.’s driest state. In the basin where Libra Solar is located, agricultural users have already overtapped the available supply. This scarcity makes unpermitted water use a high-stakes legal risk for developers.
The Nevada State Engineer’s Office intervened in this specific basin a decade ago with partial curtailment orders, which triggered lawsuits from local agricultural producers. Because the basin is overdrafted, any unauthorized pull—even for temporary construction—can jeopardize the stability of existing water rights.
How did the illegal water diversions occur?
The state’s crackdown followed two specific reports in June. On June 22, Division of Water Resources staff received phone calls alleging that water trucks were transporting water from Homestretch Geothermal LLC in Mason Valley for unpermitted uses, according to internal office memos.
A second incident occurred on June 8. State staff responded to reports of water being pulled from a ditch on a Yerington resident’s property. The landowner told officials she intended to fallow one of her fields and thought it made sense to let Libra Solar purchase that water. However, state officials informed the parties that a permit is required regardless of any private agreement between a company and a landowner.
Representatives for Libra Solar and Homestretch Geothermal confirmed the trucks were used for construction. While Libra Solar held a temporary permit to pull from a City of Yerington municipal well, contractors claimed that well could not produce the volume of water needed for the project’s scale.
Comparison: Permitted vs. Unpermitted Water Sources
| Source | Status | Outcome |
|---|---|---|
| City of Yerington Well | Permitted | Insufficient volume for construction |
| Homestretch Geothermal | Unpermitted (for solar use) | Cease-and-desist order issued |
| Private Ranch Ditch | Unpermitted | Trucks emptied and site vacated |
What are the implications for the $2.33 billion Libra Solar project?
Developed by SB Energy, the 700-megawatt project aims to power up to 212,000 households. Its timeline has already been volatile; the project was approved under the Biden administration, frozen during the Trump administration, and finally authorized for revisions by the Bureau of Land Management in December.
Kevin
