·PIB·15 marks·250–350 words

Examine the potential of geothermal energy in India's clean-energy transition, citing the Puga Valley initiative.

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In this answer
  1. Potential in the energy transition
  2. Puga Valley initiative
  3. Challenges
  4. Way forward

Geothermal energy is heat from the Earth's interior, drawn up as hot water and steam. It is steady, low-carbon and does not depend on the weather [1]. India's theoretical potential is nearly 10.6 GW [1], so it can be a useful supplement to solar and wind. However, it is still at the demonstration stage.

Potential in the energy transition

  • Round-the-clock power: unlike solar and wind, geothermal supplies power at all hours. This supports the Net Zero 2070 goal [1].
  • Resource base: the GSI has mapped 381 hot springs in 10 geothermal provinces, including the Himalayan, SONATA and Cambay regions. 42 sites look promising [1].
  • Direct use: space and district heating, cooling, agriculture and aquaculture. The National Policy on Geothermal Energy (2025) also backs ground-source heat pumps [1][2].
  • Reusing old oil and gas wells: a pilot at Ankleshwar is retrofitting such wells. A solar-geothermal hybrid in Gandhinagar has generated 50–90 kW [1].
  • Green buildings: the new Leh airport terminal is India's first heated by geothermal energy together with solar [3].

Puga Valley initiative

  • In July 2026, the ONGC Energy Centre commissioned India's first two geothermal wells, each about 1,000 m deep, at over 14,000 ft in Ladakh. Temperatures below the valley reach about 135°C [1].
  • The wells will be used to test the reservoir and prepare for India's first 1 MW demonstration plant [1]. This marks a shift from surveying resources to field trials.

Challenges

  • No commercial-scale plant yet. India's planned 1 MW is tiny next to global capacity of 15.67 GW [1].
  • Moderate temperatures (70–80°C at Gandhinagar, up to 135°C at Puga) limit how much power each site can produce [1].
  • Remote, fragile terrain: high-altitude sites are hard to reach and costly to connect to the grid.
  • High upfront risk: drilling is expensive and uncertain. Private firms will invest only if the rules are clear [2].

Way forward

  • Put the 2025 Policy into practice: a national geothermal data repository, Centres of Excellence and more pilot projects [1].
  • Use newer technologies, i.e. Enhanced and Advanced Geothermal Systems, and build on partnerships with Iceland, Australia and Saudi Arabia [1].
  • In the short term, focus on direct heating and hybrid projects.

Geothermal energy will not replace solar or wind, but its steady supply makes it a good partner for them. If Puga's demonstration is scaled up through the 2025 Policy, geothermal can give India local, all-hours clean energy, in line with SDG 7 and the Net Zero 2070 commitment.

Sources

  1. 1PIB Backgrounder: Geothermal Energy – A New Chapter in India's Clean Energy Journey (4 Sep 2026): 10.6 GW potential, 381 hot springs, 10 provinces, 42 sites, Puga wells, 135°C, 1 MW plant, Ankleshwar and Gandhinagar pilots, 15.67 GW global capacity, EGS/AGS, data repository, international partners
  2. 2MNRE: National Policy on Geothermal Energy (notified Sep 2025): direct-use applications, ground-source heat pumps, regulatory framework for public and private investment
  3. 3PIB: PM inaugurates five development projects worth ₹3,350 crore in Ladakh (15 Oct 2026): Leh terminal is India's first with geothermal heating plus solar (exact release page could not be opened, so the link goes to the PIB home page)

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