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Climate change and its consequences are considered one of the greatest challenges facing humanity. Germany's current climate and energy targets are therefore very ambitious. In this context, the heating sector, which is still largely reliant on fossil energy sources, is increasingly coming into focus. Deep geothermal energy has the potential to become a cornerstone of heat supply in municipalities and industry with competitive generation costs.

The BMWK estimates the need for expansion in a position paper at 10 TWhth of heat provision by 2030. However, market development in Germany is still in its early stages, with comparatively few and regionally concentrated projects.

Objectives

The aim of the research project is, among other things, to illustrate the contribution of geothermal energy to the energy transition and to the climate protection goals of the federal government, as well as to determine the emissions reduction potential based on district heating supply. Existing barriers have been identified, and corresponding solutions to overcome these barriers have been developed. Building on preliminary considerations, a mix of measures and instruments has been created to promote and secure deep geothermal systems.

The instrument mix can be divided into different areas. The full effect is achieved through their precise interaction.

Results:  

It is undisputed that, at the current stage, state support is still required for the market development of deep geothermal energy in Germany. For the market ramp-up, suitable and effective funding instruments need to be identified and developed. Economically, this includes financial tools, while technically, geophysical surveys (national exploration program) as well as the corresponding regulatory measures could make a significant contribution to the market ramp-up. Ultimately, the project has formulated concrete proposals for funding measures and instruments, as well as for the design of framework conditions that can ensure a significant boost in the development of deep geothermal energy. Finally, an economic assessment was conducted, juxtaposing investment costs and funding needs with avoided energy and environmental costs.

This project is being developed on behalf of the Federal Environment Agency as part of the departmental research plan (research identification number 37EV201050) and is financed with federal funds.