Geothermal Power Markets

Geothermal energy is an environmentally friendly, renewable power source for the generation of sustainable electrical power. Commercially viable geothermal resources for power generation are found in countries where underground water comes sufficiently close to molten rock to be heated to temperatures suitable for power generation.

Most countries on the Pacific Ocean’s “Ring of Fire” have developed electric power generation from geothermal sources. In 1904, Italy became the first country to generate electrical power at Larderello, where 13 plants currently generate 390 megawatts (MW). Worldwide generation capacity is now approximately 9,300 MW.

The United States is the largest producer of geothermal energy, with a generation capacity of 2,800 MW. California is the largest U.S. producer with 3,000 MW – representing 4.8% of the state’s electrical generation. The Geysers Geothermal Field, north of San Francisco, California, has been generating electrical power continuously since 1960.

British Columbia Hydro’s Green Energy Study for British Columbia – Phase 2 (2002) identified 16 geothermal sites in B.C. of which six – including South Meager - were determined to have the greatest potential – i.e., an aggregate potential of up to 1,070 MW of generating capacity. Western GeoPower is developing the South Meager Geothermal Project, 170 km north of Vancouver, as Canada’s first commercial geothermal power plant for electricity generation.