UP: US company signs LoI to invest ₹820 cr to produce geothermal power

• Geothermal energy may soon start being generated in Uttar Pradesh

• Dealing with the issue said Geothermal Core, Texas (US) was among the companies that have so far signed a total of 269 LoI to invest in the renewable energy sector in UP

• Geothermal core signed LoI for investment of ₹ 820 crore for geothermal power generation in the state

Although still in its infancy in India, geothermal energy (green energy produced from heat trapped in the earth's crust) may soon begin to be produced in Uttar Pradesh. A foreign company has already signed a letter of intent with the state government ahead of the Global Investors' Summit (GIS) here to invest Rs 820 crore in the new technology.

Officials dealing with the issue said Geothermal Core, Texas (US) was among the companies that have so far signed a total of 269 letters of intent (LoI) to invest in the renewable energy sector in UP. “Geothermal core signed LoI for investment of Rs 820 crore for geothermal power generation in the state,” UPNEDA secretary Neelam said. The concept, she said, was completely new to the state.

According to Sriram, the project manager, the company has expressed interest in building geothermal power plants in Jhansi, a region it has found more suitable for geothermal power generation. "The company will also conduct surveys at other locations," he said.

Geothermal energy is an advanced renewable energy technology that has the potential to provide clean and reliable energy for electricity generation and direct heating and cooling. To generate energy through this source, water is pumped through boreholes through heated rocks. The steam thus produced is strong enough to turn turbines and generate electricity.

The maximum number of LoIs signed as of January 30 (ahead of the GIS to be held here on February 10, 11 and 12) is for the renewable energy sector, which has exceeded its target of investment proposals.

"The department has signed a total of 269 schemes worth ₹ 346,222 crore for various renewable energy segments," Neelam said. “Bioenergy tops the list with 156 of the total plans for this segment alone, followed by solar (88), green hydrogen (11), geothermal (1) and others (13).

Meanwhile, NEDA director Anupam Shukla will hold a meeting next week before the GIS with companies that have signed a letter of intent or memorandum of understanding to invest in renewable energy in the state to hear their concerns and resolve the issues same.