Thursday, May 1, 2014

Canada, Opinion:

Support Needed to Move Canada's Geothermal Industry Past 'Have Not' Status (Pembina Institute)

by Jason Switzer, Pembina Institute

I had the privilege to spend some time a few weeks ago at the Canadian Geothermal Energy Association’s annual conference, where one participant described geothermal as Canada’s ‘have not’ renewable energy industry.

The 'have not' label is appropriate, since there are no existing commercial geothermal electricity projects in Canada, and limited to no geothermal-specific government support. Where Canadian geothermal companies have been successful is, surprisingly, everywhere but Canada.

Why not? The U.S. leads the world in installed capacity (including in Alaska), with Mexico fourth in line. Yet while “geology doesn’t change at the 49th parallel” — a frequent refrain at the CanGEA conference — the number of Canadian geothermal power projects in operation is stubbornly stuck at zero. Two of the biggest factors keeping the industry dormant include the high upfront cost and risk, and the lack of commercial power plants in Canada, critical for proving viability of the sector.

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