Geothermal Energy Market Size (2024 - 2029)

The geothermal energy market is anticipated to experience growth in its installed base over the forecast period, driven by increasing electricity security concerns and the rising demand for heating and cooling systems. Despite competition from other clean energy sources like solar and wind, government initiatives offering financial incentives for sustainable energy production are expected to create significant growth opportunities. North America is projected to dominate the market, with substantial demand originating from countries such as the United States and Mexico.

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Market Size of Geothermal Energy Industry

Geothermal Energy Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
CAGR (2024 - 2029) 2.69 %
Fastest Growing Market North America
Largest Market North America
Market Concentration Medium

Major Players

Geothermal Energy Market Major Players

*Disclaimer: Major Players sorted in no particular order

Geothermal Energy Market Analysis

The Geothermal Energy Market size in terms of installed base is expected to grow from 15.68 gigawatt in 2024 to 17.91 gigawatt by 2029, at a CAGR of 2.69% during the forecast period (2024-2029).

  • Over the medium term, factors such as the increasing electricity security concerns due to clean and eco-friendly resources. In addition, increasing demand for heating and cooling systems, including ground source heat pumps and district heating, are driving the growth of the geothermal energy market.
  • On the other hand, the lucrative market for alternative clean energy sources like solar and wind is likely to hinder the market growth during the forecast period.
  • Nevertheless, government-undertaken initiatives such as financial benefits and tax refunds to promote sustainable energy production are estimated to generate numerous growth opportunities for the geothermal energy market during the forecast period.
  • North America is expected to be the largest market during the forecast period, with most of the demand coming from countries like the United States, Mexico, etc.

Geothermal Energy Industry Segmentation

Geothermal energy is heat energy from the earth. Geothermal resources are reservoirs of hot water that exist or are human-made at varying temperatures and depths below the earth's surface.

The geothermal energy market is segmented by plant type and geography. The market is segmented by plant type into dry steam plants, flash steam plants, and binary cycle power plants. The report also covers the market size and forecasts for the geothermal energy market across each region. The market sizing and forecasts for each segment have been done based on installed capacity.

Plant Type
Dry Steam Plants
Flash Steam Plants
Binary Cycle Power Plants
Geography (Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)})
North America
United States
Canada
Rest of North America
Europe
Germany
France
United Kingdom
Rest of Europe
Asia-Pacific
China
India
Japan
South Korea
Rest of Asia-Pacific
South America
Brazil
Argentina
Rest of South America
Middle-East and Africa
Saudi Arabia
United Arab Emirates
South Africa
Rest of Middle-East and Africa
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Geothermal Energy Market Size Summary

The geothermal energy market is poised for growth over the forecast period, driven by increasing concerns over electricity security and the demand for eco-friendly energy sources. The market is experiencing a surge in interest due to the rising need for heating and cooling systems, such as ground source heat pumps and district heating. However, the growth of the geothermal energy market faces challenges from the competitive landscape of alternative clean energy sources like solar and wind. Despite these challenges, government initiatives offering financial incentives and tax benefits to promote sustainable energy production are expected to create significant opportunities for market expansion. North America is anticipated to be the largest market, with substantial demand originating from countries like the United States and Mexico.

The development of binary cycle power plants, which utilize lower temperature geothermal reservoirs, is expected to contribute significantly to market growth. Recent announcements of new installations, such as those by Turboden SpA and AP Renewable Inc. in the Philippines, highlight the ongoing expansion in this sector. North America, particularly the United States, leads the global market in installed capacity, with California being a key player due to its extensive geothermal resources. The region's market growth is further supported by new projects and government initiatives, such as Mexico's exploratory project for geothermal well drilling services. The market remains semi-fragmented, with major players like Mitsubishi Power Ltd, Ormat Technologies Inc., and Engie SA actively participating in various projects worldwide.

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Geothermal Energy Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Geothermal Energy Installed Capacity and Forecast, till 2028

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

        1. 1.5.1.1 Increasing Electricity Security Concerns Due to Clean and Eco-Friendly Resources

        2. 1.5.1.2 Increasing Demand for Heating and Cooling Systems, Including Ground Source Heat Pumps

      2. 1.5.2 Restraints

        1. 1.5.2.1 Lucrative Market Opportunities for Alternative Clean Energy Sources Like Solar and Wind

    6. 1.6 Supply Chain Analysis

    7. 1.7 Porter's Five Forces Analysis

      1. 1.7.1 Bargaining Power of Suppliers

      2. 1.7.2 Bargaining Power of Consumers

      3. 1.7.3 Threat of New Entrants

      4. 1.7.4 Threat of Substitutes Products and Services

      5. 1.7.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Plant Type

      1. 2.1.1 Dry Steam Plants

      2. 2.1.2 Flash Steam Plants

      3. 2.1.3 Binary Cycle Power Plants

    2. 2.2 Geography (Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)})

      1. 2.2.1 North America

        1. 2.2.1.1 United States

        2. 2.2.1.2 Canada

        3. 2.2.1.3 Rest of North America

      2. 2.2.2 Europe

        1. 2.2.2.1 Germany

        2. 2.2.2.2 France

        3. 2.2.2.3 United Kingdom

        4. 2.2.2.4 Rest of Europe

      3. 2.2.3 Asia-Pacific

        1. 2.2.3.1 China

        2. 2.2.3.2 India

        3. 2.2.3.3 Japan

        4. 2.2.3.4 South Korea

        5. 2.2.3.5 Rest of Asia-Pacific

      4. 2.2.4 South America

        1. 2.2.4.1 Brazil

        2. 2.2.4.2 Argentina

        3. 2.2.4.3 Rest of South America

      5. 2.2.5 Middle-East and Africa

        1. 2.2.5.1 Saudi Arabia

        2. 2.2.5.2 United Arab Emirates

        3. 2.2.5.3 South Africa

        4. 2.2.5.4 Rest of Middle-East and Africa

Geothermal Energy Market Size FAQs

The Geothermal Energy Market size is expected to reach 15.68 gigawatt in 2024 and grow at a CAGR of 2.69% to reach 17.91 gigawatt by 2029.

In 2024, the Geothermal Energy Market size is expected to reach 15.68 gigawatt.

Geothermal Energy Market Report Snapshots

Geothermal Energy Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)