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Digging deep: India's geothermal policy should be pursued with care

24 Sep 2025
2 min

National Policy on Geothermal Energy

The Ministry of New and Renewable Energy has initiated the National Policy on Geothermal Energy, aiming to explore and develop India's geothermal resources as part of its decarbonization efforts.

Benefits of Geothermal Energy

  • Zero-carbon Source: Provides a sustainable alternative to supplement solar and wind energy.
  • Stable Power Generation: Unlike solar and wind, geothermal energy provides a stable source of base-load electricity without intermittency.
  • Cost Efficiency: No fuel cost; only operation and maintenance expenses with high-capacity utilization exceeding 80%.
  • Diverse Applications: Useful in heating, cooling, agricultural drying, and industrial processing.

Current Status

  • India's geothermal potential is significant, estimated at 10,600 MW, but remains largely untapped.
  • As of 2025, geothermal power development is negligible, with no production recorded.

Challenges and Concerns

  • Research and Technology Gaps: Need for improvement in exploration, drilling technologies, and reservoir management.
  • Environmental Risks: Potential contamination from drilling, release of chemicals like arsenic, mercury, and boron.
  • Seismic Risks: Drilling can exacerbate seismic activity, especially in earthquake-prone regions.

Policy Recommendations

  • Adopt indigenous technology for safe use of geothermal fluids and byproducts, ensuring reinjection into geothermal sources.
  • Mandate comprehensive environmental and social impact assessments.
  • Engage in community consultations, especially in ecologically sensitive areas.
  • Implement strict monitoring of contaminants, seismic activity, and water usage.
  • Adopt international best practices, such as reinjecting geothermal fluids.

India must avoid past mistakes in energy ventures by ensuring adequate precautions for social and ecological impacts, learning from experiences in hydropower and coal projects.

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