Geothermal Heating & Air Conditioning

Find A Contractor or Manufacturer

2008-06-03T13:51:29Z

Need a professional? Click here to search by State or Province,
or click on the Find A Pro tab above to see all the GeoExchange Directory categories, including Manufacturers, Utilities, Architects and Engineers. You can also search alphabetically on the Directory to find a specific company by name. With the Advanced Search feature you can also search for professionals within a category or with specific certifications or affiliations. If you search by State, you'll see both local companies from your area, as well as regional and national companies who serve all States or Provinces. Categories include:

Heating & Cooling companies who design and install the inside heat pump equipment in your home or business
Driller/Loop Installers who install the buried piping in the earth to transfer heat to or from the ground
Designer/Engineers who typically use sophisticated computer software to design your geothermal system
Manufacturers of geothermal heat pump equipment, whose web site provide valuable information
Utilities who promote GeoExchange technology and often provide assistance to their customers
Architects, Builders, Educators, and Financing companies who play an important role in our industry

If you don't find the help you need, use the Contact Us menu above, or call us toll-free at 888.All.4Geo.

What is GeoExchange?

2008-05-26T14:55:48Z

Homeowners in virtually every region of the country are enjoying a high level of comfort and significantly reducing their energy use today with GeoExchange (geothermal) heating and cooling. Click on the graphic below for a short video describing how this great technology works.

{hwdvideoshare}id=2|width=450|height=350{/hwdvideoshare}

Watch more videos here.

This marvelous technology relies primarily on the Earth’s natural thermal energy, a renewable resource, to heat or cool a house or multi-family dwelling. The only additional energy GeoExchange systems require is the small amount of electricity they employ to concentrate what Mother Nature provides and then to circulate high-quality heating and cooling throughout the home.

Homeowners who use GeoExchange systems give them superior ratings because of their ability to deliver comfortably warm air, even on the coldest winter days, and because of their extraordinarily low operating costs. As an additional benefit, GeoExchange systems can provide inexpensive hot water, either to supplement or replace entirely the output of a conventional, domestic water heater.

GeoExchange heating and cooling is cost effective because it uses energy so efficiently. This makes it very environmentally friendly, too. For these reasons, federal agencies like the Environmental Protection Agency and the Department of Energy, as well as state agencies like the California Energy Commission, endorse it.

Owners of GeoExchange systems can relax and enjoy high-quality heating and cooling year after year. GeoExchange systems work on a different principle than an ordinary furnace/air conditioning system, and they require little maintenance or attention from homeowners. Furnaces must create heat by burning a fuel--typically natural gas, propane, or fuel oil. With GeoExchange systems, there’s no need to create heat, hence no need for chemical combustion. Instead, the Earth’s natural heat is collected in winter through a series of pipes, called a loop, installed below the surface of the ground or submersed in a pond or lake. Fluid circulating in the loop carries this heat to the home. An indoor GeoExchange system then uses electrically-driven compressors and heat exchangers in a vapor compression cycle--the same principle employed in a refrigerator--to concentrate the Earth’s energy and release it inside the home at a higher temperature. In typical systems, duct fans distribute the heat to various rooms.

In summer, the process is reversed in order to cool the home. Excess heat is drawn from the home, expelled to the loop, and absorbed by the Earth. GeoExchange systems provide cooling in the same way that a refrigerator keeps its contents cool--by drawing heat from the interior, not by injecting cold air.

GeoExchange systems do the work that ordinarily requires two appliances, a furnace and an air conditioner. They can be located indoors because there’s no need to exchange heat with the outdoor air. They’re so quiet homeowners don’t even realize they’re on. They are also compact. Typically, they are installed in a basement or attic, and some are small enough to fit atop a closet shelf. The indoor location also means the equipment is protected from mechanical breakdowns that could result from exposure to harsh weather.

GeoExchange works differently than conventional heat pumps that use the outdoor air as their heat source or heat sink. GeoExchange systems don’t have to work as hard (which means they use less energy) because they draw heat from a source whose temperature is moderate. The temperature of the ground or groundwater a few feet beneath the Earth’s surface remains relatively constant throughout the year, even though the outdoor air temperature may fluctuate greatly with the change of seasons. At a depth of approximately six feet, for example, the temperature of soil in most of the world’s regions remains stable between 45 F and 70 F. This is why well water drawn from below ground tastes so cool even on the hottest summer days.

In winter, it’s much easier to capture heat from the soil at a moderate 50o F. than from the atmosphere when the air temperature is below zero. This is also why GeoExchange systems encounter no difficulty blowing comfortably warm air through a home’s ventilation system, even when the outdoor air temperature is extremely cold.2 Conversely, in summer, the relatively cool ground absorbs a home’s waste heat more readily than the warm outdoor air.

Studies show that approximately 70 percent of the energy used in a GeoExchange heating and cooling system is renewable energy from the ground. The remainder is clean, electrical energy which is employed to concentrate heat and transport it from one location to another. In winter, the ground soaks up solar energy and provides a barrier to cold air. In summer, the ground heats up more slowly than the outside air.

Making Hot Water

GeoExchange systems can also provide all or part of a household’s hot water. This can be highly economical, especially if the home already has a GeoExchange system, hence a ground loop, in place.

One economical way to obtain a portion of domestic hot water is through the addition of a desuperheater to the GeoExchange unit. A desuperheater is a small, auxiliary heat exchanger that uses superheated gases from the heat pump’s compressor to heat water. This hot water then circulates through a pipe to the home’s water heater tank. In summer, when the GeoExchange system is in the cooling mode, the desuperheater merely uses excess heat that would otherwise be expelled to the loop. When the GeoExchange unit is running frequently, homeowners can obtain all of their hot water in this manner virtually for free. A conventional water heater meets household hot water needs in winter if the desuperheater isn’t producing enough, and in spring and fall when the GeoExchange system may not be operating at all.

Because GeoExchange systems heat water so efficiently, many manufacturers today are also offering triple function GeoExchange systems. Triple function systems provide heating, cooling and hot water. They use a separate heat exchanger to meet all of a household’s hot water needs.

The Earth Connection

Once installed, the loop in a GeoExchange system remains out of sight beneath the Earth’s surface while it works unobtrusively to tap the heating and cooling nature provides. The loop is made of a material that is extraordinarily durable but which allows heat to pass through efficiently. This is important so it doesn’t retard the exchange of heat between the Earth and the fluid in the loop. Loop manufacturers typically use high-density polyethylene, a tough plastic. When installers connect sections of pipe, they heat fuse the joints. This makes the connections stronger than the pipe itself. Some loop manufacturers offer up to 50-year warranties. The fluid in the loop is water or an environmentally safe antifreeze solution that circulates through the pipes in a closed system.

Another type of geothermal heating and cooling is Direct GeoExchange (DX) systems, which utilize copper piping placed underground. As refrigerant is pumped through the loop, heat is transferred directly through the copper to the earth.

To ensure good results, the piping should be installed by professionals who follow procedures established by the International Ground Source Heat Pump Association (IGSHPA). Installers should be certified by IGSHPA or be able to show equivalent training by manufacturers or other recognized authorities at a recognized institution, such as one of the many regional GeoExchange training centers located throughout the United States.

The length of the loop depends upon a number of factors, including the type of loop configuration used; a home’s heating and air conditioning load; soil conditions; local climate; and landscaping. Larger homes with larger space conditioning requirements generally need larger loops than smaller homes. Homes in climates where temperatures are extreme also generally require larger loops. A heat loss/heat gain analysis should be conducted before the loop is installed.

Types of Loops

Most loops for residential GeoExchange systems are installed either horizontally or vertically in the ground, or submersed in water in a pond or lake. In most cases, the fluid runs through the loop in a closed system, but open-loop systems may be used where local codes permit. Each type of loop configuration has its own, unique advantages and disadvantages, as explained below:

Horizontal Ground Closed Loops. This configuration is usually the most cost effective when adequate yard space is available and trenches are easy to dig. Workers use trenchers or backhoes to dig the trenches three to six feet below the ground, then lay a series of parallel plastic pipes. They backfill the trench, taking care not to allow sharp rocks or debris to damage the pipes. Fluid runs through the pipe in a closed system. A typical horizontal loop will be 400 to 600 feet long per ton of heating and cooling capacity. The pipe may be curled into a slinky shape in order to fit more of it into shorter trenches, but while this reduces the amount of land space needed it may require more pipe. Horizontal ground loops are easiest to install while a home is under construction. However, new types of digging equipment that allow horizontal boring are making it possible to retrofit GeoExchange systems into existing homes with minimal disturbance to lawns. Horizontal boring machines can even allow loops to be installed under existing buildings or driveways.

Vertical Ground Closed Loops. This type of loop configuration is ideal for homes where yard space is insufficient to permit horizontal buildings with large heating and cooling loads, when the Earth is rocky close to the surface, or for retrofit applications where minimum disruption of the landscaping is desired. Contractors bore vertical holes in the ground 150 to 450 feet deep. Each hole contains a single loop of pipe with a U-bend at the bottom. After the pipe is inserted, the hole is backfilled or grouted. Each vertical pipe is then connected to a horizontal pipe, which is also concealed underground. The horizontal pipe then carries fluid in a closed system to and from the GeoExchange system. Vertical loops are generally more expensive to install, but require less piping than horizontal loops because the Earth deeper down is cooler in summer and warmer in winter.

Pond Closed Loops. If a home is near a body of surface water, such as a pond or lake, this type of loop design may be the most economical. The fluid circulates through polyethylene piping in a closed system, just as it does in the ground loops. Typically, workers run the pipe to the water, then submerge long sections under water. The pipe may be coiled in a slinky shape to fit more of it into a given amount of space. GeoExchange experts recommend using a pond loop only if the water level never drops below six to eight feet at its lowest level to assure sufficient heat-transfer capability. Pond loops used in a closed system result in no adverse impacts on the aquatic system.

Open Loop System. This type of loop configuration is used less frequently, but may be employed cost-effectively if ground water is plentiful. Open loop systems, in fact, are the simplest to install and have been used successfully for decades in areas where local codes permit. In this type of system, ground water from an aquifer is piped directly from the well to the building, where it transfers its heat to a heat pump. After it leaves the building, the water is pumped back into the same aquifer via a second well--called a discharge well--located at a suitable distance from the first. Local environmental officials should be consulted whenever an open loop system is being considered.

Standing Column Well System. Standing column wells, also called turbulent wells or Energy WellsTM, have become an established technology in some regions, especially the northeastern United States. Standing wells are typically six inches in diameter and may be as deep as 1500 feet. Temperate water from the bottom of the well is withdrawn, circulated through the heat pump’s heat exchanger, and returned to the top of the water column in the same well. Usually, the well also serves to provide potable water. However, ground water must be plentiful for a standing well system to operate effectively. If the standing well is installed where the water table is too deep, pumping would be prohibitively costly. Under normal circumstances, the water diverted for building (potable) use is replaced by constant-temperature ground water, which makes the system act like a true open-loop system. If the well-water temperature climbs too high or drops too low, water can be "bled" from the system to allow ground water to restore the well-water temperature to the normal operating range. Permitting conditions for discharging the bleed water vary from locality to locality, but are eased by the fact that the quantities are small and the water is never treated with chemicals.

Other loop designs are also being used. In a few places, for example, home builders have installed large community loops, which are shared by all of the homes in a housing development.

Purchasing a System

To ensure they receive the highest-quality equipment, system design and installation, consumers should consider the following guidelines when shopping for a GeoExchange system:

Ratings and Certification: Look for equipment that is certified by the Air-Conditioning and Refrigeration Institute (ARI), a non-profit organization that rates the performance of residential and small commercial geoexchange equipment. Certified equipment carries the ARI seal.

Warrantees: Manufacturers’ terms of warranty vary. To assure a high-quality installation, seek a performance guarantee on the installed system, as opposed to coverage limited to the heat pump itself.

Sizing: GeoExchange systems that are too large waste energy and do not provide proper humidity control. Check to see that the contractor carefully determines your home’s heating and cooling requirements using accepted procedures, such as those recommended by the Air Conditioning Contractors Association. The actual size of the system should be within 15 percent of the calculated load.

System Design: While designing a residential GeoExchange system is not particularly complicated, always use experienced contractors. The contractor should carefully select the size of the GeoExchange system, the size and design of the loop, and the type of fluid that will circulate through it. The contractor should also examine ways to use the GeoExchange system to provide hot water. Finally, the contractor should examine your home to ensure the ductwork is designed and installed properly to prevent leaks, as well as to ensure it is properly insulated and has window glazings and other energy-efficiency features. Minimizing heating and cooling needs reduces the required size, hence the cost, of the GeoExchange system.

Sound Investment
GeoExchange is becoming the system of choice in many parts of the United States as consumers learn more about its aesthetic advantages and long-term value, and as it becomes more widely available.

GeoExchange is no longer just for the affluent, a reputation it once held because typical early buyers were owners of upscale homes. They wanted the quiet comfort GeoExchange systems provide, and they were more than willing--and could afford--to pay the cost premium associated with early systems. This is because the extraordinarily low operating costs of GeoExchange systems more than make up for any higher installation costs within a few years. According to the U.S. Environmental Protection Agency, GeoExchange systems save homeowners 30-70 percent in heating costs, and 20-50 percent in cooling costs, compared to conventional systems. GeoExchange systems also save money in other ways. They are highly reliable, require little maintenance, and are built to last for decades. They add considerably to the value of homes.

Today, homeowners in all income brackets can take advantage of the benefits of GeoExchange heating and cooling. Initial costs have declined substantially as many more builders and heating and cooling contractors nationwide make GeoExchange systems available, and as innovative techniques enable the loops to be installed more quickly (often in one day) and for lower cost.

What’s more, some electric utilities around the nation now have incentive programs and low-interest financing programs which can make GeoExchange even more affordable. Many financial institutions also now allow home buyers to qualify for larger mortgages if they purchase a house that utilizes a GeoExchange system. The reduction in monthly energy bills more than offsets the slightly higher mortgage payment. With such mortgages, homeowners with GeoExchange systems can begin saving money from day one, then go on saving year after year!

Today, the major barrier to wider use of this marvelous technology is the fact that many consumers simply aren’t aware it’s there.

A Wise Choice
GeoExchange is a smart investment for consumers who want a system that provides a high level of comfort and low monthly energy bills for as long as they own their homes.

1 A study by the Environmental Protection Agency, Space Conditioning: The Next Frontier (Office of Air and Radiation, 430-R-93-004), found that GeoExchange systems are much more efficient than competing fuel technologies when ALL losses in the fuel cycle, including waste heat at the powerplants during the generation of electricity, are accounted for. High-efficiency GeoExchange systems are on average 48 percent more efficient than the best gas furnaces and more than 75 percent more efficient than oil furnaces. The best GeoExchange systems even outperformed the best gas technology, gas heat pumps, by an average of 36 percent in the heating mode and 43 percent in the cooling mode.

2 Surveys by utility companies indicate a higher level of consumer satisfaction for geoexchange systems than for conventional systems. Polls consistently show that more than 95 percent of all geoexchange customers would recommend such systems to a family member or friend.

Comparing Systems

2008-05-26T18:21:55Z

Central heating systems have been considered a necessity in our homes and businesses for many years. When comparing available systems, consumers should carefully consider safety, installation cost, operating costs, maintenance costs, and comfort.

Types of Systems

There are two basic types of systems — those that require a flame to operate (i.e., combustion based), and those that do not. Most central systems presently installed create heat by combustion, just as they did in the early part of the century. These systems use a furnace to burn a fossil fuel (such as oil, natural gas or propane) or, in some instances, wood. More advanced, non-combustion systems operate by transferring or moving heat from one location to another.

Combustion-Based Systems

Until the last few years, combustion-based systems have been the preferred heating systems for home and business owners because of their moderate installation and operating costs, and wide availability in the market place. Unfortunately, there are a number of serious safety and related maintenance concerns with these systems.

Some combustion-based systems present an explosion hazard if the storage or delivery of their fuel is not carefully controlled. Explosions due to improperly installed or maintained gas pipes and delivery systems are often in the news. Since these systems require a flame to operate, failures or improper installation of system components (for example, heat exchanger, damper, chimney, or flue) can result in property loss to fire. Fortunately, smoke detectors have saved many lives that might have been lost to fires caused by combustion-based heating systems.

In addition to heat, combustion-based heating systems also create by-products such as carbon monoxide. Carbon monoxide is a result of the incomplete burning of fuel in combustion-based systems. Incorrectly installed systems, chimneys that are blocked by birds nests, or downdrafting can cause carbon monoxide to remain inside of buildings. This is especially dangerous in modern, well-sealed buildings, where it is difficult for outside combustion air to reach the furnace, and where carbon monoxide can be trapped and build up over time. Furnaces, water heaters, and other appliances must be properly vented outside.

Combustion-based systems that deliver heat through ducts present occasional "blasts" of hot air. This not only reduces comfort directly, but tends to dehumidify the air. The addition of a central humidifier (with its associated installation, operating, and maintenance costs) can correct this humidity problem.

Combustion based central heating systems are often coupled with low-efficiency central air conditioners. This raises installation and operating costs significantly, while adding an entirely separate unit to be maintained.

Heat Transfer Systems

Non-combustion or heat transfer systems include heat pumps and geoexchange systems. Heat pumps operate by capturing heat from outdoor air and transferring it inside of a home or business. geoexchange systems capture and transfer heat from the earth.

Nearly all heat transfer systems can be reversed, providing central cooling as well as heating. Some heat pumps and most geoexchange systems also provide domestic hot water at low operating costs.

Heat Pumps

Beginning in the 1970s, air-source heat pumps came into common use. They have the advantage of no combustion, and thus no possibility of indoor pollutants like carbon monoxide. Heat pumps provide central air conditioning as well as heating as a matter of course. And they are installation-cost competitive with a central combustion furnace/central air conditioner combination.

Heat pumps operate by moving or transferring heat, rather than creating it. During the summer, a heat pump captures heat from inside a home or business and transfers it to the outdoor air through a condensing unit. During the winter, the process is reversed. Heat is captured from outdoor air, compressed, and released inside.

Much less electricity is used to move heat rather than create it, making heat pumps more economical than resistance heating. However, in all but the most moderate climates, the heating ability of the heat pump is limited by freezing outdoor temperatures. So electric resistance heat is used to supplement outdoor-air-source heat pump during the coldest weather, preventing "cold blow."

Depending on climate, air-source heat pumps (including their supplementary resistance heat) are about 1.5 to 3 times more efficient than resistance heating alone. Operating efficiency has improved since the 70s, making their operating cost generally competitive with combustion-based systems, depending on local fuel prices. With their outdoor unit subject to weathering, some maintenance should be expected.

Geoexchange Systems

More recently, even more advanced and efficient heating and cooling systems have emerged using the geoexchange process. Sometimes called geothermal or ground-source heat pumps, these systems move or transfer heat like the air-source heat pumps. However, they exchange heat with the earth rather than the outdoor air.

Since earth temperature remains relatively constant throughout the year, geoexchange systems operate more efficiently than air-source heat pumps and generally without the use of resistance heat. And because they are working from those constant earth temperatures, there are no blasts of hot air or "cold blow" as with other systems.

Nearly all geoexchange systems on the market have the ability to provide low-cost domestic hot water, further increasing their operating efficiency. Thus, geoexchange systems are generally 2.5 to 4 or more times more efficient than resistance heating and water heating alone, and have no combustion or indoor air pollutants.

Since there is no outdoor unit (as with air-source heat pumps or the central air conditioners used with combustion-based systems), no weather-related maintenance is required.

Although their installation cost is somewhat higher due to the required underground connections for heat transfer to and from the earth, geoexchange systems provide low operating and maintenance cost and greater comfort.

Conclusions

When comparing heating systems, safety, installation cost, operating costs, and maintenance costs must be considered. To simplify the selection process, installation, operating, and maintenance costs can be combined into a life-cycle cost — the cost of ownership over a period of years. The table below compares the various types of central heating systems:

Compare	Safety	Installation Cost	Operating Cost	Maintenance Cost	Life-Cycle Cost
Combustion-based	A Concern	Moderate	Moderate	High	Moderate
Heat pump	Excellent	Moderate	Moderate	Moderate	Moderate
Geoexchange	Excellent	High	Low	Low	Low

Consumers who take the necessary steps to insure the safety of combustion-based systems (frequent inspection and maintenance, smoke detectors, carbon-monoxide detectors, and other safety precautions) may wish to consider these moderate life-cycle cost systems. Others should consider more advanced heat transfer systems — heat pumps (with their moderate installation, operating, and maintenance costs), or geoexchange systems (with their low operating and maintenance costs and high levels of comfort).

A recent study by the U.S. Environmental Protection Agency showed that geoexchange systems generally have the lowest life-cycle cost of all systems available today. The study also shows that geoexchange systems have the lowest impact on our environment. And consumers rank their comfort and satisfaction with geoexchange systems higher than all others. While a higher initial investment is required, the investment is paid back through low energy bills (enhancing resale value), excellent family safety, and real comfort.

Join Our Industry !

2008-09-26T15:39:00Z

Geothermal heating and air conditioning is rapidly growing throughout North America. Interested in joining us? Engineers and system designers can become Certified GeoExchange ^® Designers through the Association of Energy Engineers with training provided by the International Ground Source Heat Pump Association.

Heating and air conditioning contractors, drilling companies and excavators can expand business opportunities by taking IGSHPA Accredited Installer Training or IGSHPA Accredited Driller Training. This training also includes training in heat fusion of high density polyethylene (HDPE) geothermal pipe and fitting.

For more information, contact AEE at http://www.aeecenter.org/certification/ and IGSHPA at http://www.igshpa.okstate.edu/training/training.htm

Florida Hybrid Geo Hotel Wins Award

2009-04-15T16:46:11Z

Gulf Power in Pensacola Florida was presented an engineering award for the hybrid geothermal heat pump system at the Marriott Springhill Suites hotel on Pensacola Beach, Florida. The closed-loop system provides heating and cooling for the hotel, along with hotel hot water, outdoor pool heating and ice machine operation. Click here for all the details.

New DOE Report on Geothermal Heat Pumps

2009-01-18T01:34:20Z

The Oak Ridge National Laboratory has just published a comprehensive new report on geothermal heat pumps. To read the full report go to ornl232.geoexchange.org or http://www.zebralliance.com/docs/geothermal_report_12-08.pdf

Geothermal (Ground-Source) Heat Pumps: Market Status, Barriers to Adoption, and Actions to Overcome Barriers

Abstract: More effective stewardship of our resources contributes to the security, environmental sustainability, and economic well-being of the nation. Buildings present one of the best opportunities to economically reduce energy consumption and limit greenhouse gas emissions. Geothermal heat pumps (GHPs), sometimes called ground-source heat pumps, have been proven capable of producing large reductions in energy use and peak demand in buildings. However, GHPs have received little attention at the policy level as an important component of a national strategy. Have policymakers mistakenly overlooked GHPs, or are GHPs simply unable to make a major contribution to the national goals for various reasons? This brief study was undertaken at DOE’s request to address this conundrum. The scope of the study includes determining the status of global GHP markets and the status of the GHP industry and technology in the United States, assembling previous estimates of GHP energy savings potential, identifying key barriers to application of GHPs, and identifying actions that could accelerate market adoption of GHPs. The findings are documented in this report along with conclusions and recommendations.

What's In A Name ??

2008-06-03T13:49:47Z

GeoExchange, geothermal, ground source, water source, earth source, earth energy, and on and on.

What do they all mean ?

All of these terms are related, and some of them are interchangeable. GeoExchange and its associated logo (shown above) are registered trademarks of the Geothermal Heat Pump Consortium, Inc., and are intended to differentiate products or services that rely on the unique features of geothermal heat pump systems. The term itself is made up of two parts: "Geo" refers to the earth itself, and "Exchange" indicates the process used by geothermal heat pumps to move heat to or from the earth to heat and cool homes, businesses or government facilities.

By way of clarification, a "heat pump" is equipment that uses a refrigerant to move heat from one place to another. This process often involves moving heat from an area of lower temperature to an area of higher temperature. The term "pump" is used because this process works against the normal flow of heat from hotter areas to cooler areas. So, much like a water pump can pump water uphill, a heat pump can pump heat "uphill" from cooler areas to hotter areas. Refrigerators and conventional air conditioners both use this technology, but they only work in one direction, cooling the inside of your refrigerator or building. By contrast, heat pumps are specially designed to be able to reverse this process to be able to either heat or cool. (So, in a way, refrigerators and conventional air conditioners are "half a heat pump".)

A geothermal heat pump is equipment which uses the ground or ground water as a thermal energy source to heat a building, or as a thermal energy sink to cool a building. So you can see why this technology is also sometimes called "earth energy". "Ground source heat pump" means the same thing, and the terms can be used interchangeably. "Ground source" differentiates this type of heat pump from an "air source" heat pump, which uses the air as the heat source or heat sink. For example, your refrigerator is "air source" since it uses the air in your house as the heat sink for the heat that it removes from your food.

Some geothermal heat pumps belong to a larger category called "water source" heat pumps, because water is pumped through them to provide or absorb heat to the refrigerant inside the heat pump. If this water piping is buried in the ground, the equipment is a geothermal heat pump. If this water piping instead circulates to a boiler or a cooling tower, the equipment is a water source heat pump, but is not geothermal.

For more information of how geothermal heat pumps work, select a topic from the Resources menu above.

Stimulus Bill Increases Homeowner Tax Credit

2008-10-14T18:06:25Z

30% tax credit for homeowners who install geothermal heat pump systems in 2009 and later years. For systems placed in service in 2008, the $2,000 lilmit still applies So, for example, if a homeowner pays $15,000 for a geothermal heat pump system installed in 2009, a tax credit of $4,500 could apply.

For systems placed in service in 2008, use IRS 2008 Form 5695 for the Residential Energy Efficient Property Credit to claim the $2,000 tax credit for Energy Star geothermal heat pumps. You can view and download the form at the following link: http://www.irs.gov/pub/irs-pdf/f5695.pdf Line 18 on the form is where you enter "Qualified geothermal heat pump property costs", Line 19 is where you multiply costs by 30%, and Line 20 displays the $2,000 "Maximum credit amount" for 2008.

If you use TurboTax, look for the "Home Energy Credits" topic under Personal Deductions and Credits for Your Home. TurboTax provides an input box to enter the amount you paid for Geothermal heat pump property in 2008. As usual, contact your tax professional for applicability to your specific situation.

IRS Form 5695 Instructions provide additional information, including "costs are treated as being paid when the original installation of the item is completed, or in the case of costs connected with the construction or reconstruction of your home, when your original use of the constructed or reconstructed home begins." The Instructions also say "To qualify for the credit, the geothermal heat pump property must meet the requirements of the Energy Star program that are in effect at the time of purchase. The home does not have to be your main home."

Commercial Buildings may qualify for grants in lieu of tax credits for geothermal heat pump systems. H.R. 1424 last year established a 10% investment tax credit for geothermal systems, extended these credits through 2016 and allowed them to be used to offset the alternative minimum tax (AMT). By including geothermal heat pumps within the definition of “energy property” in the Energy Credit language, geothermal heat pump systems placed in service after October 3, 2008 are now also subject to a 5-year depreciation period.

More Detail The "Emergency Economic Stabilization Act of 2008" created new Federal tax credits for homeowners and businesses who install geothermal heat pump systems. While the Residential credit was retroactive to January 1, 2008, the new tax credit for commercial properties started October 3, 2008 (the day the new credits became law). The law contains long-term tax incentives to encourage the use of renewable energy technologies in homes and businesses, including geothermal heat pumps. Homeowners may qualify for an income tax credit of 30 percent of the expenditure for an Energy Star geothermal heat pump system. The tax credit applies to expenditures made in 2008 and each year thereafter up until 2016. As usual, check with your tax professional to see how this credit may apply to your specific situation.

By classifying geothermal heat pumps under federal renewable energy provisions with solar and wind, Congress has recognized the crucial role this 50-state technology can play in reshaping our energy future. The provision of long-term installation incentives will raise public awareness, improve the economics for purchasers, and create a foundation for investment in the job-creating infrastructure of this renewable energy industry.

The new tax incentives for geothermal heat pumps are the culmination of an “all-out” federal legislative affairs effort unilaterally initiated by LSB Industries (Amex LXU) subsidiary, ClimateMaster, in April, 2007. Dan Ellis, president, with the support of a coalition of top-tier legislative consultants, embarked on a mission to educate Congress on the benefits of geothermal heat pumps and the role they could play in meeting our nation’s energy-efficiency and climate change goals. Ultimately, there were direct meetings with 34 members of Congress, including Majority Leader Reid, and with hundreds of staff members and other government and administration employees. This effort received vital support from:

       Alliance to Save Energy
       American Council for an Energy Efficient Economy
       International Ground Source Heat Pump Association
       Geothermal Heat Pump Consortium
       Geothermal National & International Initiative Inc.
       National Ground Water Association
       Geothermal Energy Association
       National Rural Electric Cooperative Association

Additional provisions of the bill that directly or indirectly support geothermal heat pumps are:

Extension of Credit for Energy-Efficiency Improvements to New Homes. Under current law, contractors receive a credit for the construction of energy-efficient new homes that achieve a 30% or 50% reduction in heating and cooling energy consumption relative to a comparable dwelling. The credit equals $1,000 for homes meeting a 30% efficiency standard, $2,000 for homes meeting a 50% standard. H.R. 1424 extended the new energy efficient home tax credit through 2009.

Extension of Energy-Efficient Commercial Buildings Deduction. Current law allows taxpayers to deduct the cost of some energy-efficient property installed in commercial buildings. The amount deductible is up to $1.80 per square foot of building floor area for buildings achieving a 50% energy savings target. The energy savings must be accomplished through energy and power cost reductions for the building’s envelope (60 ¢/sf), interior lighting systems (60 ¢/sf) and heating, cooling, ventilation and hot water systems (60 ¢/sf) including geothermal heat pump systems. This bill extends the energy efficient commercial buildings deduction for five years, through December 31, 2013.

Geothermal - GeoExchange

2008-06-03T13:40:05Z

Geothermal / GeoExchange^® heating and cooling uses the relatively constant temperature of the earth to heat and cool homes and businesses with 40% to 70% less energy than conventional systems. While conventional furnaces and boilers burn a fuel to generate heat, geothermal heat pumps use electricity to simply move heat from the earth into buildings, allowing much higher efficiencies. The most efficient fuel-burning heater can reach efficiencies around 95%, but a geothermal heat pump can move up to 4 units of heat for every unit of electricity needed to power the system, resulting in a practical equivalence of over 400% efficiency. To learn more about GeoExchange, select a topic from the Resources menu above.

Big "G" or Little "g"

2008-09-19T17:03:21Z

"Geothermal" literally means "heat from the earth", and heat is a form of energy. So geothermal energy is a resource that we can use to help us live productive and comfortable lives.

Big "G" generates electricity. In a limited number of locations (think geysers), the earth is hot enough to allow water to be used to generate electricity by passing steam through a turbine to turn an electrical generator. This electricity can then be used at that site, or transmitted over wires into the North American electrical grid to serve distant towns and cities. So Big "G" is high-temperature geothermal energy.

Little "g" heats and air conditions homes, businesses and government facilities. Practically everywhere in North America, the temperature of the earth below the frost line remains relatively constant (close to the surface, the earth temperature does vary a little seasonally with the temperature of the atmosphere). This steady temperature profile allows the earth to be used as a heat source in the winter, and as a heat sink in the summer. Geothermal heat pumps use this characteristic to heat and air condition homes, businesses and government facilities by moving heat out of the earth and into the buildings in the winter, and by moving heat out of buildings into the earth in the summer. So, Little "g" is low-temperature geothermal energy. For more information about geothermal heating and air conditioning, click on the sub-menu links under the Geothermal menu.

Both Big "G" and Little "g" are clean renewable forms of energy that help us to reduce our dependence on other forms of energy and reduce environmental impacts and climate change.