Geothermal energy ‘needs a new narrative’

The geothermal energy sector could play a crucial role in driving the energy transition, but people don’t know that much about it, Baseload Capital, a Swedish geothermal investment firm has noted.

According to Kristina Hagström Ilievska, CMO at Baseload Capital, “we must reshape the narrative using storytelling and visuals to make geothermal appealing”, particularly given that global renewable energy capacity needs to triple by 2030.

Industry engagement

Baseload Capital held a number of workshops at industry events during 2022 and 2023 to establish better communications channels about geothermal energy, while it has also engaged with several organisations, including Geothermal Rising, the International Geothermal Association, ThinkGeoEnergy and Ormat Technologies, on the need to develop a unified message.

Its aim is to get 1,000 geothermal ambassadors to sign a Declaration of Communication, which “presents the facts from half a decade of work,” Ilievska notes.

Baseload sources

Baseload Capital has financed geothermal power plants from Japan to the United States, and believes that at least 10% of global electricity needs to come from baseload sources. In much the way that solar repositioned itself as an affordable mainstream solution, geothermal similarly has the opportunity to reshape itself as a key contributor to global energy needs.

“Everyone is talking about quantum and AI, but no one is talking about the power needed to cool the data servers,” Ilievska says. “We are currently producing 8,000 gigawatts of electricity, and it needs to be tripled within five years. That means we have to find 16,000 gigawatts — a great opportunity for the geothermal sector.”

Iceland serves as an example of “amazing storytelling” when it comes to the establishment of geothermal energy in everyday life, she adds, using it for heating streets in Reykjavik, as well as supporting greenhouse agriculture.

Collaboration with other renewable energy sectors, including solar and fusion energy, could be another way to accelerate geothermal’s growth.

“There is no crowd or competition in this race,” she adds. “There could be one hundred more companies working in geothermal, and we could all be successful!” Read more here.