Market Report

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The 2025 U.S. Geothermal Market Report highlights steady growth in geothermal power and identifies strong momentum for future deployment driven by technological innovation.

 

Cover of the 2025 U.S. Geothermal Market Report, from the National Laboratory of the Rockies, with all contributors listed and a photo of a drill rig with mountains in the background Funded by the Office of Geothermal and published by the National Laboratory of the Rockies, the 2025 U.S. Geothermal Market Report finds steady growth in geothermal power increasing utility and corporate power purchase agreements, and strong momentum for future projects. It also highlights cost reductions and private investment driven by next-generation technologies like enhanced geothermal systems. 

The 2025 U.S. Geothermal Market Report captures: 

  • Rapid progress in next-generation technologies: Enhanced geothermal systems(EGS) and related innovations are advancing quickly, supported by the Department of Energy’s FORGE project.
  • Improving project economics: EGS costs are declining, while conventional hydrothermal costs remain stable.
  • Strong private investment: Next-generation geothermal has attracted more than $1.5 billion in private capital since 2021.
  • Growing policy and market support: Thirty states now offer incentives for geothermal power, with emerging opportunities in data centers and mineral extraction from geothermal brines.

Key findings include: 

  • As of 2024, U.S. geothermal power installed nameplate capacity reached 3,969 megawatts-electric (MWe)—an 8% increase from 3,673 MWe in 2020. From 2015 to 2019, geothermal capacity only increased by approximately 1%.
  • Geothermal projects under development increased from 54 in 2020 to 64 in 2024.
  • Since the 2021 report, 26 new geothermal power purchase agreements (PPAs) have been signed, representing more than 1,000 MWe of new capacity commitments under development. Only nine PPAs were signed between 2015 and 2019. Many of these PPAs show that geothermal is increasingly supporting data centers.

Read the Full Report

 

From our Archives

  • Published in July 2021, the report highlights significant opportunities for expanding power production through cutting-edge enhanced geothermal systems technology development; new power plant operational models such as energy hybridization and thermal energy storage; and harnessing vast coproduction potential from existing oil and gas infrastructure.

    Read the full 2021 report

     

  • In 2008, geothermal energy gained renewed momentum due to strong federal support, rising capacity, and advancing technology, even as the global economy struggled. While the downturn limited financing for large power projects, continued growth in non-electric uses showed geothermal’s long-term promise.

    Read the full 2008 report

The Market Report is part of GTO’s Data, Modeling, and Analysis activities. Learn more about other GTO Data, Modeling, and Analysis efforts and other GTO priorities.