Deployment the main barrier to geothermal growth, report says
The UK's National Geothermal Centre says geothermal energy is ready to scale but needs government backing.
The National Geothermal Centre (NGC) has called on the UK Government to back delivery via their recently published roadmap.
The main barrier to growth is the deployment environment, as geothermal projects carry high-upfront-drilling costs and geological risk at the first well, followed by low running costs once operational.
Investors also face uncertain long-term revenues and limited risk-sharing and licensing mechanisms.
‘Our strategic roadmap concludes that the UK already has the essential ingredients to become a leading geothermal nation: abundant resources, proven technology, world-class scientific expertise, an experienced energy workforce and growing demand for secure, low-carbon heat,’ says the NGC’s CEO, Dr Charlotte Adams.
‘What the UK lacks is a supportive and investable environment in which to deploy them.’
The roadmap makes 16 recommendations across five key areas: policy and regulation; market and finance; knowledge, education and skills; technology development, research and innovation; and infrastructure integration.
It also sets out three immediate asks of government:
- Back the national delivery of geothermal by recognising and resourcing the NGC to lead coordination, adopting the strategy and its targets with accountable delivery arrangements.
- Commission a costed exploration-risk pilot to bring forward the first wave of investment.
- Create demand by assessing geothermal for suitable heat network and public-estate projects, including publishing a pipeline showing each project's development stage, opportunities and barriers.
The NGC say this could deliver 10GW of geothermal heat and support up to 50,000 direct jobs in the UK.
Our Geothermal Nation is published by the NGC.
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