By Ashish Agarwal, MD & CEO, Seros
India stands at a crucial juncture in its energy journey. With a commitment to achieve net-zero emissions by I think it’s 2047? and a target of 500 GW non-fossil capacity by 2030, the Nation is actively exploring sustainable solutions to meet its growing energy demands. Among the array of renewable options, geothermal energy emerges as a promising contender, offering a unique opportunity for balanced growth and energy independence.
Geothermal energy, the heat stored beneath the Earth’s surface, represents an often-overlooked treasure in India’s quest for sustainable development. This clean, renewable, and sustainable energy source offers a constant power supply unaffected by external factors. Unlike solar or wind energy, geothermal power doesn’t require storage solutions, making it an ideal candidate for baseload power generation.
The Geological Survey of India (GSI) has identified seven geothermal provinces across the country, with approximately 350 high-potential sites. According to the Ministry of New and Renewable Energy (MNRE), India could potentially harness up to 10 GW of geothermal power. This significant potential spans various regions, including the Himalayan belt, the Western Coastal region, the Son-Narmada-Tapi (SONATA) basin, and the Godavari basin.
The Ladakh region, particularly the areas of Puga and Chumathang in Eastern Ladakh, stands at the forefront of India’s geothermal ambitions. The convergence of tectonic plates beneath this region creates a hotspot for geothermal phenomena, making it an ideal location for India’s first steps into geothermal energy production.
The only notable progress made in geothermal exploration is that Oil and Natural Gas Corporation (ONGC) Energy Centre (OEC) signed a Memorandum of Understanding with the UT Administration of Ladakh and Ladakh Autonomous Hill Development Council in February 2021. This initiative not only marks India’s entry onto the global geothermal map but also aligns perfectly with Prime Minister Narendra Modi’s vision of a carbon-neutral Ladakh, announced on Independence Day 2020.
While Ladakh takes center stage, efforts to harness geothermal energy are not confined to this region alone. The OEC is actively exploring opportunities to utilize geothermal energy from existing oil and gas wells in the Gandhar oil field of ONGC’s Ankleshwar Asset in Gujarat. This innovative approach showcases the potential for repurposing existing infrastructure for renewable energy production.
The Cambay Basin presents another promising frontier for geothermal exploitation. With its inventory of abandoned wells featuring moderate temperature ranges, this region is suitable for power generation using Organic Rankine Cycle (ORC) technology. These initiatives highlight the versatility of geothermal energy and its potential to contribute significantly to India’s renewable energy mix.
The applications of geothermal energy extend far beyond electricity generation. Its versatility makes it an excellent solution for heating and cooling applications, particularly in the low to medium temperature range. Ground Source Heat Pumps (GSHP) can effectively reduce electricity demand for day-to-day heating requirements in both domestic and small to medium-industrial settings.
Moreover, the modular nature of geothermal power plants makes them ideal for electrifying remote and interior populations. Small-scale plants in the kilowatt range can bring sustainable power to areas previously untouched by the grid, fostering balanced regional development and improving the quality of life in rural India.
Despite its immense potential, the development of geothermal energy in India faces several challenges. Most of India’s geothermal resources are of the medium enthalpy type, necessitating pilot projects to establish technical viability. The high initial costs and need for long-term investments pose financial hurdles, while the specialized skills required in geosciences, drilling, and reservoir engineering present a talent gap.
However, these challenges also open doors for innovation and growth. Investing in research and development for customized drilling equipment can significantly reduce costs and improve project outcomes. Novel financial models, including long-tenure loans and milestone-based repayment cycles, can attract investors and mitigate risks. The government’s aim to permit 100% FDI for geothermal projects is a step in the right direction, potentially injecting much-needed capital into the sector.
As we stand on the brink of a new era in energy production, geothermal energy offers India a unique opportunity for sustainable development and balanced growth. As India’s energy consumption continues to grow, projected to increase by at least 25% by 2030, the integration of geothermal energy into the national power mix becomes increasingly crucial. By harnessing this clean, constant, and renewable source, India can reduce its annual energy import bill of US$90 billion, which currently accounts for 40% of its primary energy needs.
The path forward requires a concerted effort from all stakeholders. Accelerating research and innovation in geothermal technologies, developing supportive policies and financial instruments, fostering collaborations between government agencies, the private sector, and academia, and investing in skill development are all essential steps in realizing India’s geothermal potential.
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