Favorable regulatory policies to boost geothermal heat pumps demand across the U.S.
Will a rise in research & studies foster U.S. geothermal heat pumps installation?
The U.S. geothermal heat pumps market size is poised to record appreciable gains over the ensuing years driven by an upsurge in regulatory policies for strengthening the geothermal infrastructure in the country.
While there is a huge geothermal potential in the U.S., it is to be noted that only 3.7 GWe of energy is presently installed. The U.S. Department of Energy’s Geothermal Technologies Office conducted a GeoVision study. According to it, with improvements in technology, particularly in areas that are relevant to EGS (enhanced geothermal systems), the generation of geothermal power could escalate 26-fold, reaching 60 GWe by the year 2050.
Get a sample copy of this research report @
Furthermore, in June 2021, the U.S. DOE made a new Funding Opportunity Announcement, called the ‘Wells of Opportunity 2021 FOA’, for up to USD 14.5 million in support of the active field testing of EGS techniques and technologies within existing wells.
In the light of these advancements, the U.S. geothermal heat pumps market size is expected to record steady growth through 2024.
This rise is attributed to an increase in the number of geothermal heat pump installations. These systems are dependent on the ground that stays at a relatively steady temperature throughout the year. The pumps extract heat which is stored in the ground during the winter season and is returned back into the ground in summer.
As per the U.S. EPA (Environmental Protection Agency), geothermal heat pumps are environmentally clean, and the most cost-effective and energy-efficient systems for heating and cooling buildings. Almost all types of buildings, comprising schools, homes, hospitals, and office buildings are witnessing a rise in geothermal heat pump installations.
In fact, when planning new buildings for the purpose of meeting their sustainability and net-zero energy goals, schools in the Boston area and other municipal buildings are utilizing geothermal technology in addition to other sources of renewable energy for the purpose of powering their facilities.
The demand for geothermal heat pumps is also driven by an increase in investment initiatives by state organizations as well as geothermal heat pump manufacturers. These companies are focusing on new product developments for enhancing their geographical footprint and consolidating their share in the market. Few instances of the same are as follows:
· In February 2021, Dandelion Energy secured a sum of $30 million in a Series B funding round that was led by Breakthrough Energy Ventures for the expansion of its geothermal energy ambitions. The new capital will enable Dandelion to make investments in product development and extend its geographical reach in Connecticut, New York, and Massachusetts.
· In July 2021, the New York State Energy Research and Development Authority awarded a planning grant of up to USD 100,000 to the City of Oneonta for exploring the possibility of setting up a geothermal district. The grant forms part of nearly USD 4 million that was awarded to 23 projects under the Community Heat Pump Systems Pilot initiative for the advancement of community thermal networks that exploit geothermal and waste energy for heating and cooling buildings throughout the state of New York.
In a nutshell, an increase in the product development initiatives by major geothermal heat pump companies will augment the U.S. market share through the forecast period.
