(b) The authority of the commission applies to all land in the state lawfully subject to the police power of the state, including private land, municipal land, state land, land of the United States, and land subject to the jurisdiction of the United States, and to all land included in a voluntary cooperative or unit plan of development or operation entered into in accordance with AS 38.05.181. When land that is subject to the commission's authority is committed to a unit agreement involving land subject to federal jurisdiction, the operation of AS 41.06.005 — 41.06.060 or a part of AS 41.06.005 — 41.06.060 may be suspended if

1. (1) the unit operations are regulated by the United States; and
2. (2) the conservation of geothermal resources is accomplished under the unit agreement.

(c) The provisions of AS 41.06.005 — 41.06.060 apply

1. (1) to wells drilled in search of, in support of, or for the recovery or production of geothermal resources;
2. (2) when a person engaged in drilling activity not otherwise subject to the provisions of AS 41.06.005 — 41.06.060 encounters geothermal resources, fluid, or water of sufficient heat or pressure to constitute a threat to human life or health unless the drilling operation is subject to oil and gas drilling regulation under AS 31.05;
3. (3) in areas and under conditions in which the commission determines that drilling may encounter geothermal resources, fluid, or water of sufficient heat or pressure to constitute a threat to human life or health.

(e) Nothing in AS 41.06.005 — 41.06.060 limits the authority of the department

1. (1) over geothermal resources under AS 38.05.181; or
2. (2) to approve and manage geothermal units or operations that include state land.