Since Britain’s first continuous geothermal power plant began operating in Cornwall on 26th February, UK Google searches for ‘geothermal energy’ have surged by 134%, highlighting an increased interest in the low-emissions energy source.
The plant is now feeding electricity into the UK grid, meaning the power it generates can be used by both homes and businesses.
As the country looks to strengthen energy security and accelerate its transition to net zero, this milestone presents an opportunity for UK businesses to explore whether geothermal energy could play a role in reducing their carbon footprint and stabilising long-term energy costs.
To help businesses assess whether geothermal could be a viable option for them, the energy team at small business comparison site, Bionic have released new guidance to explain what are the key advantages of geothermal energy and how much it could save businesses.
Geothermal energy, explained
Les Roberts from Bionic explains, “Geothermal energy refers to the heat that’s beneath Earth’s surface. Deep down, near Earth’s core, there is an abundance of heat and steam from hot rocks that can be harnessed and turned into power above the surface.
“In practice, most UK businesses will get ‘geothermal’ through ground‑source and water‑source heat pumps or by connecting to low‑carbon heat networks, rather than by building their own deep geothermal power plants.”
The three reasons businesses should consider geothermal energy
The business energy team at Bionic have revealed the advantages of geothermal energy and why businesses should consider making the switch.
• It can reduce your energy bill by 30 to 60%
Although power plants are expensive to build, they tend to have relatively low running costs once installed. Because the ‘fuel’ (underground heat) is free, and maintenance is mainly focused on pumps, controls and distribution equipment, long-term investment often largely outweighs initial costs.
Estimates suggest that businesses could save between 30-60% on their energy bills by switching to geothermal energy. For businesses with an average annual bill of £5,000, this could mean savings of up to £3,000 per year.
• It is available all day and year-round
Geothermal is not dependent on weather conditions like the amount of sun we get or wind like other renewables, making it sustainable for use all year round, while also being unlikely to completely run out like traditional non-renewable sources of energy like oil, coal and gas.
It also doesn’t take up a lot of space and has the smallest land footprint of any energy source in the world.
• You can receive support via government funding
Historically, government funding for geothermal has been limited, but this is slowly changing.
Grants such as the Boiler Upgrade Scheme and capital support through the Green Heat Network Fund can help eligible organisations with the upfront costs of low‑carbon heating.
For instance, the government’s Boiler Upgrade Scheme offers the following:
- £7,500 towards an air source heat pump
- £7,500 towards a ground source heat pump (including water source heat pumps and those on shared ground loops)
- £5,000 towards a biomass boiler
How Bionic can help in making the switch to geothermal energy
For those in need of advice on upgrading their business to green energy, Bionic will be able to help you compare business energy suppliers to find a solution.
