Knowledge Nugget: National Policy on Geothermal Energy 2025 – A must-know for UPSC exam

Why in the news?

To facilitate the exploration and development of untapped geothermal energy resources, the Ministry of New and Renewable Energy (MNRE) has released the National Policy on Geothermal Energy 2025. The policy comes after a task force on harnessing geothermal energy in India was formed by the MNRE in August 2024.

The policy aims to establish geothermal energy as one of the major pillars of India’s renewable energy landscape, reinforcing the commitment to achieve the 2070 Net Zero Goal, and ensuring energy security.

Key takeaways:

1. Geothermal energy refers to the heat and electricity produced by using the heat from the interior of the Earth. Geothermal energy exists because the Earth grows progressively hotter with increasing depth. Where the geothermal gradient is high, high temperatures are found at shallow depths.

2. Due to the high temperature, the groundwater in such areas absorbs heat from the rocks and becomes hot, which turns into steam. This steam is used to drive turbines and generate electricity. It is a site-specific renewable source of energy specifically suitable for catering to the energy needs of remote/interior localities.

3. There are several hundred hot springs in India that can be utilised to generate geothermal energy. The Geological Survey of India (GSI) has mapped 381 hot springs nationwide with surface temperatures between 35°C and 89°C.

4. India has an estimated 10.6 gigawatts (GW) of geothermal potential, which could rise with further exploration. Key sites lie in the Himalayan Geothermal Province — covering Uttarakhand, Himachal Pradesh, Ladakh, Jammu and Kashmir, and Arunachal Pradesh — as well as the Cambay Graben in Gujarat, home to several abandoned oil wells, and the Andaman and Nicobar Islands.

5. According to the policy document, the 10 geothermal provinces in India identified by GSI are: (i) Himalayan Geothermal Province; (ii) Naga-Lusai; (iii) Andaman Nicobar Islands; (iv) Son-Narmada Tapi (SONATA); (v) West Coast; (vi) Cambay Graben; (vii) Aravalli; (viii) Mahanadi; (ix) Godavari; (x) South Indian Cratonic.

6. Globally, less than 17 GW of geothermal capacity is harnessed, led by the US, Indonesia, and the Philippines, while countries like Iceland and Norway have pioneered innovative technologies in the sector.

7. According to the International Energy Agency (IEA), “China, the US and India have the largest market potential for next-generation geothermal electricity, together accounting for three-quarters of the global total.” The IEA estimates India’s geothermal market potential to grow to 4.2 GW by 2035 and nearly 100 GW by 2045.

8. Challenge in utilising it: Geothermal energy faces high upfront costs and exploration risks — it takes about Rs 36 crore to develop one megawatt (MW) of capacity. The National Policy on Geothermal Energy aims to financially support R&D and pilot projects, along with streamlining efforts across stakeholders, including the Ministry of Petroleum and Natural Gas and state governments. A viability gap funding (VGF) scheme is also being explored.

9. 100 per cent Foreign Direct Investment is allowed in the renewable energy sector. According to the policy document, the preference shall be given to indigenous geothermal technologies for the reduction of dependency on imported equipment by encouraging local innovation in drilling and downhole measurement/monitoring technologies and reservoir management.”

BEYOND THE NUGGET: Types of Renewable Energy

1. Solar Energy: Solar energy is harnessed from the sun’s radiation. It can be transformed into electricity using solar panels (photovoltaic cells) or alternatively can be utilised to produce heat through solar thermal systems.

2. Wind Energy: It is generated by converting the kinetic energy of wind into electricity using wind turbines. Onshore and offshore wind farms have become a significant contributor to the renewable energy mix in many countries like China (342 GW) and the US (139 GW).

3. Hydropower: It is created by harnessing the kinetic energy of flowing water in rivers, dams, waterfalls, etc. It is one of the oldest and most widely used forms of renewable energy. China, Brazil, and Canada are the largest consumers of hydropower across the globe.

4. Biomass Energy: Biomass is produced from organic materials such as plant residues, animal waste, and wood. It can be heated or converted to liquid or gaseous fuels for consumption. Its usage includes heating, electricity generation, or biofuels for transportation.

5. Tidal and Wave Energy: It harnesses the movement of ocean water to generate electricity. Tidal energy relies on the gravitational pull of the moon and the sun, whereas wave energy captures the energy of surface waves. South Korea, France, and the UK are the leading consumers of tidal energy.

Post Read Question

Consider the following statements: (CAPF 2023)

1. Geothermal energy can be used to produce electricity or it can be used directly for industry, agriculture, building and cleaning.

2. Nuclear energy is often cheaper than some other sources of electricity.

3. Thermal power stations burn fossil fuels to create steam to drive the turbines.

Which of the statements given above is/are correct?

(a) 1 only

(b) 1 and 2 only

(c) 1 and 3 only

(d) 2 and 3 only

(Sources: Govt to push geothermal pilots under new policy; Iceland, Norway firms eye sites in Uttarakhand, Arunachal, National policy on geothermal energy, NCERT Geography Class XII, Akshay Urja Day 2024: India making strides in advancing renewable energy)

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