Is Geothermal the Next Focus for Renewable Energy Venture?

According to a report from Oilprice, geothermal energy is gaining global attention and investment as a significant renewable energy resource. Countries and companies worldwide are exploring its potential to reduce dependence on fossil fuels.

Technological advancements and government support are facilitating the growth of geothermal energy, leading to new projects and discoveries around the globe. Countries in Asia, such as Indonesia and the Philippines, are actively seeking to expand and invest in geothermal energy as part of their green transition efforts.

Geothermal energy harnesses heat from the Earth and is available in various forms, including direct-use systems, district heating, geothermal power plants, and heat pumps. These systems utilise surface-level heat or deeper, high-temperature sources to provide heating, cooling, and clean electricity.

In the United States, the new administration under President Donald Trump may rejuvenate investment in geothermal energy. Chris Wright, the new Secretary of Energy, has pledged to support President Trump in restoring America’s energy dominance.

Wright is an entrepreneur who founded the oilfield services company Liberty Energy and invested in Fervo Energy, a geothermal start-up, in 2022. However, since he assumed the role of US Energy Secretary, he plans to sever ties with his business while maintaining his interest in promoting geothermal energy as a significant energy source.

Geothermal projects emerging across the globe

Several universities in the UK are exploring the potential of geothermal energy. Heriot-Watt University in Scotland has partnered with Taiwan’s National Central University through a Memorandum of Understanding to advance geothermal energy research.

They will share equipment, co-supervise PhD students, collaborate on industry projects, and explore other initiatives to enhance the understanding of geothermal technology. Additionally, the UK government’s report, “Future of the Subsurface,” released in October, examines the potential of geothermal energy.

In 2024, a Finnish company discovered a geothermal energy source that could meet the country’s energy needs for the next 20 million years. This discovery is considered the most significant breakthrough in the renewable energy industry. Finland has also opened its first geothermal heating plant in Vantaa, which can generate 2,600 MW of clean electricity annually to heat approximately 130 private homes.

France’s Ministry of Energy Transition has released an action plan to accelerate the development of the geothermal energy sector. This plan identifies 27 priority actions to expand geothermal energy drilling, promote renewable heating and cooling use in buildings, and secure investments in related projects nationwide.

In Southeast Asia, countries like the Philippines and Indonesia are exploring the potential of geothermal energy to reduce their dependence on fossil fuels. This region boasts significant geothermal energy resources due to its active volcanic activity, which allows easier access to the Earth’s heat.

Where are the top geothermal plants in the world found?

The Oil and Gas portal has compiled a list of the top geothermal power plants in the world based on net capacity. The list includes the Geysers Geothermal Complex in California, USA (1,520 MW), the Larderello Geothermal Complex in Italy (770 MW), the Cerro Prieto Geothermal Power Station in Mexico (720 MW), and the Makban Geothermal Complex in the Philippines (460 MW).

Significance of improving geothermal energy

Improving geothermal energy is essential for several reasons. It is a sustainable and long-term renewable energy source.

Geothermal energy has a low environmental impact, producing minimal greenhouse gas emissions, which benefits the planet. Additionally, it enhances energy security by reducing reliance on fossil fuel imports.

Geothermal energy provides reliable, around-the-clock power and offers economic benefits through job creation and cost reduction. It also has diverse applications, including electricity generation and heating. Advancing geothermal technologies can lead to a more sustainable, efficient, and eco-friendly energy future.