Geothermal Energy Market Regional Analysis:
North America Market Insights
The geothermal energy market in North America is set to hold the largest revenue share of 46% by 2035, driven by the new bill- the Geothermal Energy Optimization Act, 2024. Passed in the U.S., the bill permits geothermal projects on public lands drawing the investors’ interest towards it. The federal and state levels are coming hand in hand with implementing the policies that are favorable for the geothermal industry. Furthermore, the latest report by the U.S. Department of Energy claims that the western US region can generate electricity up to 90 gigawatts as soon as 2050. These factors are expected to fuel the demand for Geothermal Energy in this region.
The geothermal energy market in the U.S. is witnessing steady expansion and maintaining its position as the country with the highest installed geothermal capacity globally. Federal initiatives such as the Inflation Reduction Act launched in 2022 and state-level Renewable Portfolio Standards (RPS) are driving investments in geothermal technologies in the country. In November 2023, Google announced a partnership with Fervo which is a clean-energy startup, aiming to launch a geothermal power project in Nevada that will contribute to carbon-free energy to the electric grid.
APAC Market Statistics Insights
The Asia Pacific geothermal energy market is estimated to a considerable share, during the forecasted timeframe led by the increasing demand for clean and renewable energy to move towards sustainability. For instance, initiatives such as the Taiwan International Geothermal Conference (TIGC 2024) are intended to bring further developments in the geothermal sector. The government is also backing people up by implementing affordable and simply permitting initiatives, subsidies, and much more. For instance, the Japan Organization for Metals and Energy Security (JOGMEC) announced six new geothermal power projects shortlisted for the 2024 Geothermal Resource Survey Subsidy Program, boosting the market’s development in the region.
India geothermal energy industry is poised for significant growth with the Geological Survey of India identifying approximately 381 high-potential sites capable of generating about 10,600 megawatts of power, in July 2022. The Ministry of New and Renewable Energy (MNRE) established a task force in August 2024 to harness this potential, aiming to diversify the country’s energy mix and reduce reliance on fossil fuels. Despite the high initial investment required for geothermal projects, India is projected to become a huge market for next-generation geothermal power.
