The National Iranian Drilling Company will drill three more geothermal wells on Sabalan Mountain in Meshkinshahr, Ardabil Province, within the framework of cooperation with the Oil and Energy Industries Development Company, the managing director of NIDC said.
“The OEID company has a contract with Iran Power Generation, Distribution and Transmission Company and if approved by all parties, the number of wells can also increase,” the Oil Ministry’s news agency also quoted Hamidreza Golpayegani as saying.
According to the official, NIDC has drilled 21 wells in the region in the past two decades.
Plans to drill more geothermal wells in the northwestern province are underway while the construction of Iran’s first geothermal power plant in Meshkinshahr is near completion.
The 50-megawatt power station is expected to be synchronized with the national grid soon.
More than $40 million have been invested in the venture in over six years and almost 90% of the equipment, including turbines and generators, have been installed.
Geothermal power is renewable energy because its source is the unlimited amount of heat generated by the Earth's core.
Geothermal power plants use steam from reservoirs of hot water hundreds of meters below the Earth's surface. The steam rotates a turbine that activates a generator for producing electricity.
At a geothermal power plant, wells are drilled between 1,500 and 3,500 meters deep into the Earth to pump steam or hot water to the surface. When the water reaches the surface, the pressure drops, which causes the water to turn into steam. The steam spins a turbine, which is connected to a generator for generating electricity.
Iran’s first power station of this type is located at the foot of the volcanic Sabalan Mountain in the geothermal-rich Ardabil region, which attracts millions of tourists every year for its famed hot springs that are believed to have health benefits.
The plant in Meshkinshahr is being developed to supply regions in Ardabil for domestic and industrial use.
According to reports and based on discoveries made in the region, there is a potential to produce a minimum of 50 MW and a maximum of 500 MW of electricity from Sabalan, an inactive stratovolcano.
Geothermal Advantages
The advantages of a geothermal plant compared to other renewable plants is that geothermal power plants generate electricity 24 hours a day, irrespective of weather conditions, which results in greater stability and higher efficiency.
Besides producing electricity, the heat generated by such plants is used in industries and for heating.
Unlike thermal units that use fossil fuel, geothermal plants produce little emission. Carbon emission from geothermal power stations is less than 5% of conventional coal-fired plants.
A geothermal plant also eliminates the need for mining, processing and transportation required for electricity generation from fossil fuel.
Geothermal reservoirs are replenished naturally and have massive potential for power generation. Iceland, the US, the Philippines, Japan, Germany, Turkey and New Zealand are among countries generating power from geothermal resources.
The high capacity of geothermal power, coupled with cost-effectiveness, is significantly driving the demand for geothermal power across the world. However, factors such as high investment required for geothermal power plants and the negative impact of geothermal energy on the environment are hampering the growth of geothermal power market.
The presence of other viable renewable energy alternatives, especially solar, is also hindering the use of geothermal to generate electricity.
Global Trend
According to a recent report, the global geothermal power market size was estimated at $5.3 billion in 2021 and it is expected to hit around $7.1 billion by 2030, growing at a registered CAGR of 5% during the forecast period of 2022-30.
As there are strict regulations across many nations and many governments have implemented many policies to concentrate on climate change in developing and developed countries, the global geothermal power market is expected to grow during the forecast period.
The limited availability of fossil fuels and growing greenhouse gas emissions are also fueling market growth. As the fossil fuel prices are extremely volatile, the market is expected to grow.
As geothermal power is cost effective and has a high capacity, the market shall grow in the next decade. Owing to all these reasons, there is an increasing demand for clean and eco-friendly sources.
Governments are providing financial benefits and tax refunds to promote sustainable energy. This is providing opportunities for the growth of the geothermal energy market.
Geothermal power generation also has advantages like low atmospheric pollution, zero liquid pollution, less usage of the land and high availability. Therefore, many associations, organizations and institutes are raising investment for funding the geothermal power.
Because of rising demand for electricity across the globe, several countries have switched to renewable and clean sources of energy, including geothermal. Turkey, Kenya and Indonesia have emerged as the main markets driving the demand for the geothermal power. Asia-Pacific, North America and European regions are also implementing plans to boost the growth of geothermal power.
