• What is geothermal energy?
• There are several advantages to geothermal energy

What is geothermal energy?

“Geothermal energy technology” is the term used in the industry to describe heating, ventilation and air conditioning (HVAC) technology that can replace traditional oil, gas or coal systems.

It is an incombustible technology based on the simple transfer or movement of heat from one point to another. Geothermal systems are also known as ”heat pumps” or “geothermal heat pumps”. Geothermal energy technology uses the ground's heating and cooling properties (the same properties that make a basement cooler in the summer and warmer in the winter) to heat or cool buildings. This heat 'exchange' between the ground and the indoor air is achieved well-known technology: heat pumps and compressors.

Adapted from the Canadian GeoExchange Coalition Website, with information from Natural Resources Canada.

There are several advantages to geothermal energy:

• Geothermal energy technology can result in savings of up to 70% on heating bills since it extracts energy directly from the earth; there are no production costs, only transportation costs. Traditional systems involve production and transportation costs for the energy used wheras geothermal energy is free.
• Geothermal systems usually pay for themselves more quickly than traditional HVAC systems, depending on heating/cooling usage, soil types, the size of the facility, and other factors.
  
  
  • Example: Consider an electricty bill for heating that alone accounts for close to 70% of a housheold’s energy costs. If the homeowner pays $3000 a year for electricity , $2100 is for heating. By saving 70% of this amount, the cost would only be $630. They would save close to $1500 a year. If the geothermal system costs $15,000, the savings would pay for itself over a 10-year period.
• Geothermal energy is a renewable energy. Installing a geothermal system in a two- bedroom home is equivalent to taking two cars off the road or replanting one acre of trees.
• Geothermal systems involve no combustion, so they are cleaner and safer than oil or gas heating systems.
• Geothermal systems take up much less space than traditional HVAC systems and are therefore especially suited for meeting specific space and aesthetic requirements.

Adapted from the Canadian Geoexchange Coalition Website, with information from Natural Resources Canada.