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adapted from the oil and gas industry; and 2) low- pressure stimulation techniques that have been shown to be effective in DOE’s in-field and near-field EGS demonstration projects. These topics, as well as the assumptions of exploration and drilling technology improvements incorporated into the GeoVision analysis, are detailed in Lowry et al. 2017, Doughty et al. 2018, and Augustine et al. 2019. 2.4.2 Technical Barriers: Non-Electric Sector Technical barriers to deployment for non-electric geothermal uses are similar to those for geothermal electricity generation. As is true for electric-sector uses, geothermal district heating and GHPs are both impacted by high upfront costs and technology limitations; in particular, district-heating applications face challenges related to retrofitting older heating systems. Challenges for non-electric uses tend to be less technically complex, but these uses face complexities relating to their direct interplay with consumer markets. In the case of district heating, geographical alignment of resources with market- demand centers is a key limiting factor for development. 2.4.2.1 Geothermal District Heating Similar to EGS resources in the electric-power sector, high upfront costs associated with EGS resource development for district-heating potential could severely restrict its economic deployment. The same technology improvements that could lower EGS costs and increase resource deployment in the electric- power sector would similarly impact the ability to deploy district-heating applications for this resource. The economic deployment of geothermal district heating is also limited geographically because district heating requires suitable resources to be co-located with populated areas (demand centers). Because most conventional hydrothermal resources are located in rural areas throughout the western United States, deployment potential is limited with existing technologies. Enabling cost-effective development of EGS resources through technology improvements can reduce geographic limitations on geothermal district heating. Beyond the subsurface technology barriers related to economic EGS development, some relatively minor technical barriers extend to the surface. These barriers relate to technology adaptation across a range of systems with differing requirements and infrastructure. The large diversity in heating and cooling systems across the United States can complicate and increase the costs of retrofitting older systems. 2.4.2.2 Geothermal Heat Pumps GHPs are cost-effective, mature technologies that have been in existence for decades but remain a niche application. Although GHP systems can be less expensive in the long run, the cost of ground heat-exchanger loops frontloads the cost burden for consumers and impedes wider adoption of GHP systems. Technology advances in drilling efficiency and system performance are slow to develop and have yet to reduce upfront costs in a significant way. Streamlined and/or innovative business models that eliminate or offset these upfront technical costs for consumers have not been developed fully or gained traction in the heating and cooling market. 2.4.3 Non-Technical Barriers Technical barriers—and some non-technical barriers— vary among geothermal resources and applications. However, because of their subsurface nature, all Chapter 2 | What is Geothermal Energy? 39 Installation of a horizontal closed-loop ground heat exchanger for a geothermal heat-pump system. Photo credit: Ed Lohrenz/ International Ground Source Heat Pump Association Chapter 2PDF Image | What is Geothermal Energy
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