Costs

Geothermal: a sound investment

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The notion that geothermal systems are for the affluent and are priced out of the average person's reach is a misconception. In fact, the economical advantages to selecting a geothermal system over a conventional system are numerous.

Pricing

While there is no accurate rule of thumb for determining the purchase price of a geothermal system for your home, your local GeoComfort dealer can assist you in selecting a system model to meet your requirements and a loop type to fit your needs. Innovations in geothermal technology and installation techniques make it more affordable than ever to experience the best heating and cooling solution on the market today.

As part of the American Reinvestment and Recovery Act, the United States federal government allows a 30% tax credit for ENERGY STAR® qualified geothermal equipment installed before December 31, 2016.

Additionally, many states/provinces and utilities have programs supporting the installation of geothermal systems. Available state incentives may be located in the Database of State Incentives for Renewables and Efficiency at www.dsireusa.org. Contact your local utility company to inquire about any incentives that they may offer as well. Many Canadian provinces also offer geothermal incentives. Contact your local dealer for more information.


Compare to conventional systems

In some respects, comparing the investment of a geothermal system to the cost of a conventional system is comparing apples to oranges. What may appear at first glance as a 'good deal' on a conventional system may not be the most economical choice.

  • 1Geothermal systems will reduce monthly heating and cooling bills by up to 70% over conventional systems. Operating costs are not subject to the volatile swings associated with fossil fuel costs.
  • 2The average life expectancy of a geothermal system is nearly 25 years compared to the 13 year average life expectancy of conventional systems. Most loop fields have an indefinate life expectancy!
  • 3Geothermal systems have less maintenance costs. This is primarily due to geothermal equipment being indoors and not exposed to the elements. Geothermal systems also have fewer moving parts, which makes for less opportunity for malfunction.
  • 4Geothermal provides the opportunity for 'hybrid' hot water, reducing monthly cost of hot water as well as heating and cooling.
  • 5Geothermal systems provide long term value to a home and are becoming attractive selling points in the real estate market.

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Monthly cost of home ownership

When considering any new heating and cooling system, it is important to put in perspective of the cost of home ownership. Similar to the cost of doing business, it is the amount of money that you know you will pay each month to run your home. This would include your mortgage payment, electricity, heating, cooling and hot water costs. In a new construction situation, the cost of the heating and cooling system would typically be included in the mortgage payment. While selecting a geothermal system may increase your monthly mortgage payment, the savings you experience on your monthly heating and cooling bills will actually be more than that nominal increase thus providing positive cash flow. By selecting the desuperheater option and capturing residual heat to warm household water, you will save even more on your monthly expenses.

Fuel source comparison

  Geothermal Air-to-air heat pump
heating and cooling all in one check mark check mark
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark check mark
environmentally friendly check mark  
radiant floor application check mark  
capable of zoning check mark check mark
volatile operating/fuel costs    
highest efficiency 500%* 250%
requires electricity to operate check mark check mark
requires storage tank check mark  
30% US tax credit check mark  
  Geothermal Electric resistance
heating and cooling all in one check mark  
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark  
environmentally friendly check mark check mark    **
radiant floor application check mark check mark
capable of zoning check mark check mark
volatile operating/fuel costs    
highest efficiency check mark 100%
requires electricity to operate check mark check mark
requires storage tank check mark  
30% US tax credit check mark  
  Geothermal Propane
heating and cooling all in one check mark  
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark  
environmentally friendly check mark  
radiant floor application check mark  
capable of zoning check mark check mark
volatile operating/fuel costs   check mark
highest efficiency check mark 95%
requires electricity to operate check mark check mark
requires storage tank check mark check mark
30% US tax credit check mark  
  Geothermal Natural gas
heating and cooling all in one check mark  
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark  
environmentally friendly check mark  
radiant floor application check mark  
capable of zoning check mark check mark
volatile operating/fuel costs   check mark
highest efficiency check mark 95%
requires electricity to operate check mark check mark
requires storage tank check mark  
30% US tax credit check mark  
  Geothermal Fuel oil
heating and cooling all in one check mark  
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark  
environmentally friendly check mark  
radiant floor application check mark  
capable of zoning check mark check mark
volatile operating/fuel costs   check mark
highest efficiency check mark 83%
requires electricity to operate check mark  
requires storage tank check mark check mark
30% US tax credit check mark  
  Geothermal Wood burner
heating and cooling all in one check mark  
no outdoor equipment check mark  
uses the earth's free heat check mark  
no combustion check mark  
environmentally friendly check mark  
radiant floor application check mark  
capable of zoning check mark  
volatile operating/fuel costs   check mark
highest efficiency check mark ***
requires electricity to operate check mark  
requires storage tank check mark  
30% US tax credit check mark  
  • * Ground loop conditions up to 5.0 COP. 17°F outdoor air temperature.
  • ** Dependent on generation sources
  • *** Varies depending on: wood type, type of fireplace, method of operation