A new study has identified geothermal energy as a potentially significant contributor to India’s future power, industrial heat and cooling demand, with technical potential estimated at 450 GW of electricity generation, more than 1,500 GW of cooling capacity and 11,000 GW of industrial heat.
The report, The Future of Geothermal in India, was published by Project InnerSpace in partnership with Council on Energy, Environment and Water (CEEW). Its findings suggest that even partial deployment of geothermal systems could reduce pressure on India’s electricity network while diversifying energy supply for rapidly growing industrial and urban sectors.
The study focuses on geothermal’s role in supporting rising demand from data centres, manufacturing and urban cooling, at a time when India’s electricity consumption and air-conditioning use are increasing sharply. Unlike solar and wind generation, geothermal systems can provide continuous baseload energy independent of weather conditions.
Researchers identified Gujarat, Uttar Pradesh, West Bengal, Telangana, Maharashtra and Andhra Pradesh as states with strong geothermal deployment potential. The report also highlights opportunities for direct-use applications, including industrial process heat and district cooling systems that could reduce electricity consumption by 30–40%.
India has explored geothermal resources intermittently for decades, but progress has remained largely confined to pilot projects because of exploration risks, uncertain drilling outcomes and limited policy support. According to the report, improvements in drilling technologies, better subsurface mapping and India’s recently introduced National Policy on Geothermal Energy have improved the prospects for commercial-scale development.
One project already under development is the Tapri Geothermal Cold Storage Project in Himachal Pradesh, supported through Project InnerSpace’s GeoFund initiative.
Jamie Beard, executive director of Project InnerSpace, described industrial heat and cooling as “low hanging fruit” for geothermal deployment, while CEEW’s Karthik Ganesan said greater energy diversity would be essential as India expands its clean energy system.
