With the race to a net zero future continues to heat up across the globe, more eyes are turning towards geothermal methods as a suitable alternative for energy. While the US continues to dominate the word stage when it comes to geothermal production, there is a giant lying under the surface across the Asia Pacific.
With Indonesia boasting a predicted capacity of 27GW, and both the Philippines and New Zealand ramping up their installed capacity year-on-year, APAC has become one of the key global players in the geothermal game, already producing 35% of geothermal generation worldwide.
However, the burning question that faces the region is do the myriad of issues presented by factors such as limited resources, a lack of governmental funding and a challenging topography to contend with mean that the colossal potential lying underground will have to remain as such, rather than be utilised as a fruitful source of energy?
As the majority of geothermal resources are associated with volcanic activity in high terrain, exploration projects become more challenging and require additional resources and infrastructure, such that the region may not have access to. Financial stability is also a crucial factor waging a war against the utilisation of geothermal energy throughout APAC as the resource is not necessarily a commercial viable option for many operators.
Nevertheless, measures are being put into place to mitigate against these challenges, with government policies changing to accommodate green energy funds and private sectors and investing higher sums into the industry, there is a hope of prosperous future.
The Asia Pacific Geothermal Transition Outlook attempts to analyse the key players within the region and outlines where the pitfalls and mitigations lay ahead of the inaugural GTS APAC 2024 conference in Jakarta from 9-10 July.
