- India unveils its first national geothermal energy policy to strengthen renewable energy diversification and security.
- The new framework supports innovation, investment, and the transition to a sustainable, low-carbon future.
Harnessing Earth’s Energy for a Sustainable Future
India’s geothermal energy policy marks a significant milestone in the nation’s clean energy journey. The Ministry of New and Renewable Energy (MNRE) introduced the policy on September 15, 2025, to diversify renewables and enhance energy security. The policy aims to harness underground heat for power generation, heating, and cooling systems. Promoting this resource accelerates the nation’s path towards net-zero emissions by 2070.
Mapping India’s Geothermal Potential
The Geological Survey of India has identified 381 hot springs across the country, with temperatures from 35°C to 89°C. The Himalayan belt, for example, contains reservoirs reaching 200°C, offering vast potential. Meanwhile, regions such as Godavari and the Andaman Islands host moderate-enthalpy zones suitable for direct energy use. Consequently, this mapping builds a strong base for large-scale exploration and development.
Driving Innovation Through Pilot Projects
India has already launched several pilot projects to demonstrate geothermal potential. For instance, a project in Barmer, Rajasthan, uses heat from abandoned oil fields to produce energy. Similarly, geothermal heating efficiently supports an army base in Tawang, Arunachal Pradesh. These projects illustrate practical, low-emission applications. In addition, the government plans to test hybrid solar-geothermal systems to maximise efficiency and grid stability.
Streamlined Policy and Implementation Framework
The policy introduces a single-window clearance system to simplify permits and approvals, allowing investors and developers to begin projects faster. States may allocate geothermal sites for three years, with extensions available. Furthermore, MNRE will establish a national geothermal data repository with other key agencies. This initiative will ensure developers can access geological data easily, enabling precise planning.
Investment, Incentives, and Partnerships
The government is preparing tax holidays, import duty exemptions, and concessional loans to attract private and global investment. It will also promote local technology to reduce imports and create jobs. Preferential funding will support projects in the Northeast and other special-category states. In addition, partnerships between the public and private sectors will share exploration risks and stimulate innovation.
Global Outlook and India’s Role
Countries like Indonesia, Iceland, and Kenya have proven that geothermal energy can sustain power growth sustainably. By following this path, India can emerge as a leader in clean baseload power. If collaboration, innovation, and investment continue, the nation will transform its geothermal resources into a reliable foundation for its renewable future.