National Policy on Geothermal Energy (2025): Advancing India’s Clean Energy Transition

Introduction

The Government of India has announced the National Policy[1] on Geothermal Energy (2025) as part of its broader plan to increase the use of renewable energy. The policy focuses on a resource that has not yet been widely developed in India but has the capacity to provide steady power and support different uses beyond electricity. Geothermal energy, unlike solar and wind, is available at all times and can be used to balance the national grid. It can also be applied in district heating, farming, aquaculture, and through Ground Source Heat Pumps for space heating and cooling.

The policy links directly with India’s Net Zero 2070 target. It aims to promote research, develop skills, build partnerships, and create pilot projects that test the possibilities of geothermal in the country. Five projects have already been sanctioned, which will help in understanding how this source can be used at scale.

Explanation

The policy sets out a framework for exploration and use of geothermal resources. The Ministry of New and Renewable Energy has been given the responsibility to guide and regulate this sector so that it develops in line with India’s renewable energy goals. The larger purpose is to diversify energy sources, reduce reliance on fossil fuels, and strengthen energy security.

Research is a major focus. Since geothermal energy is new in India, the policy highlights the need for studies, mapping, and testing of technologies. Efforts will also go into hybrid systems integrating geothermal and solar, and harnessing oil and gas wells for geothermal production. There are improved and enhanced geothermal systems that make possible geothermal utilization even in the absence of naturally occurring hot water. The government wants to create a knowledge and technology base that is relevant in the Indian context, by learning from practices around the world and by developing coordination across ministries and institutions.

The policy also aims to establish an ecosystem through partnerships. It calls for cooperation from the state governments, research institutions, companies, and private developers. Infrastructure from the oil and gas sector could be reused for cost savings. Collaboration with countries that are more advanced in this field, including Iceland and the United States should be able to allow India to obtain technical experience.

Geothermal energy is also applied to generating heat for electricity. The policy explicitly mentions its use in district heating and cooling to assist communities in managing temperature better. Regarding agriculture, geothermal can provide heated soil for greenhouses, and cold storage to protect crops from spoilage. In aquaculture, it can provide controlled heat to fish and prawn farms. Geothermal energy can support tourism and spas, & desalination activities along the coast in areas without fresh water.

The policy also focuses on training individuals and the development of skills. Geothermal includes geology, engineering and resource management, so it requires technical expertise that India currently lacks. Training programmes, courses of education and facilities for exchange of knowledge are recommended to create capacity building and to train personnel. Through science, pilot projects, partnerships and training, these guidelines set out the first mechanism by which geothermal energy will find its room in the Indian energy palate. The focus on direct applications means it can serve both national energy goals and local economies

Conclusion

The National Policy on Geothermal Energy (2025) adds a new dimension to India’s renewable energy plans. By turning to geothermal, the government is broadening the base of clean energy sources and linking it with the long-term Net Zero 2070 goal. The policy recognizes that geothermal is not only for electricity but can also be applied in farming, aquaculture, heating, cooling, and water management. By sanctioning five pilot projects, development is ensured by experiment and data collection before next phases. Focusing on research, technology, cooperation and education provides a valve through which sector can get bigger step-by-step.

[1] https://www.pib.gov.in/PressReleasePage.aspx?PRID=2167657