Next-Generation Geothermal: Considerations and Opportunities for Responsible Development

This paper provides an overview of next-generation geothermal systems, including enhanced geothermal systems, closed-loop and superhot systems. It covers current developments within the industry, environmental impacts and policy options. While geothermal energy can be used as a source of both heat and electricity, this paper focuses only on uses in the electricity sector.

Key Findings:

• Geothermal energy provides clean electricity 24/7 and could play an important role in achieving a 100 percent clean grid that is cost-effective and reliable.
• Next-generation geothermal technologies, which are in various stages of development, hold potential for widespread deployment across the United States and globally if cost reduction trends continue.
• Whereas conventional geothermal facilities drill to reach natural underground hot water reservoirs to generate energy, next-generation geothermal technologies drill into hot rocks without sufficient naturally occurring fluid or permeability.
• Some of these next-generation geothermal technologies use advanced drilling techniques borrowed from the oil and gas industry, but with key differences that lower the environmental risk profile.
• To commercialize next-generation geothermal, it will be necessary to further develop new technologies and techniques; proactively address potential environmental risks; and overcome key barriers, such as high up-front financing needs and a lengthy permitting process.