ABSTRACT
The economics of geothermal utilization depend on many factors, each of which is specific to the type of application. Ground source heat pump installations, for example, face many market challenges that differ significantly from those that affect direct use applications or power generation. These differences reflect differences in the scale of the project, the customer base, the state of the technology, the competitive milieu, and the policy and regulatory environment. In the following discussion the focus will be on the large-scale considerations that affect the economic viability of geothermal power generation. Particular attention will be paid to metrics and criteria used to evaluate competitive position, and how those compare across conversion technologies. The purpose of this discussion is to provide perspective regarding geothermal power generations cost relative to other options. Although the economics of other types of geothermal applications will not be specifically discussed since they have been treated directly in the chapters that detail their technological and scientific dimension, this chapter closes with a discussion of the necessary steps for completing an economically successful geothermal project of any type.
