India is stepping up efforts to harness geothermal energy, with the Centre prioritising pilot and demonstration projects in Ladakh, Himachal Pradesh and Gujarat, Union New and Renewable Energy Minister Pralhad Joshi told Moneycontrol in an exclusive interview.
He said the government, in a first, has rolled out a National Geothermal Energy Policy and aims to commission the first commercial projects before 2030, backed by collaborations with global and domestic research and development institutions to build cost-effective drilling and power conversion technologies.
Geothermal energy is heat derived from the earth's interior. This heat is a renewable resource, continuously produced by the earth's core, and can be harnessed for various purposes, including electricity generation and heating.
In June, Moneycontrol reported that India is planning to repurpose abandoned oil wells to harness geothermal energy and diversify its mix of clean energy sources.
Geothermal plants are expensive to construct due to high drilling costs. Hence, the government’s plan of harnessing geothermal energy could be relatively economical as closed or idle oil wells already have the required infrastructure.
Fresh offshore wind tender likely by March
Joshi also acknowledged that India’s offshore wind programme has not advanced as planned, with the first SECI tender off the Gujarat coast failing to attract bids.
The Union minister said the government is reassessing high-potential offshore zones and the associated port, logistics and grid infrastructure needed to make projects commercially viable. A Rs 7,453-crore viability gap funding scheme remains in place to support 1 GW of offshore capacity and upgrade two ports, but industry feedback indicates that wind speeds in some proposed areas are still below optimal levels.
A government official privy to the matter said National Institute of Wind Energy is currently conducting a detailed offshore wind resource and site assessment study off the coast of Tamil Nadu, where the wind regime is significantly higher.
“The bid for Tamil Nadu coast is expected post completion of these surveys, tentatively in the first quarter of 2026,” the official said.
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