Geo-Thermal systems create a significant reduction in the heating and cooling costs as compared to the conventional heating and cooling systems most people have in their homes today. At least that is what the industry insiders would say, but as an outside perspective, I wanted to understand how this is the case.

This article is really meant for those that want to verify the assumptions as they consider the Geo-Thermal option. This will help you understand how the industry can make the claims that you will see between 3 to 4 dollars of energy when condition your home environment with Geo-Thermal.

The best way to do this is to calculate the cost comparison based on the cost of the energy output into the conditioned space versus the cost of the power input to the system.

COP = Energy Output/ Power Input

We can use the manufacturer's tables to determine a heat pumps operating COP better yet we can measure it ourselves. The caveat is that when you are measuring high voltage equipment your better know what you’re doing, you could get bit here if you’re not careful.


There are several things to consider like air quality and comfort, but this article is about the numbers, so we will stay focused on this. When you look at the simple replacement numbers, we have to consider the value of money over time with the "asset" value of the conversation. Unlike a standard replacement job, you will be installing ground loops that circulate the glycol which have a useful life of 50 years allowing for this consideration.

It is very difficult to discuss the cost as it relates to a specific conversion because there are simply too many variables that affect the pricing.  What we can discuss are the items related to the conversion and the corresponding off-sets associated with them.

Ground Loop Installation:  Costs not part of a standard replacement, this becomes the single biggest difference in the conversion costs. This cost really should be considered in the same way you would a room addition.  This portion of the expense is permanent, so if you have to get a loan for your conversion, you can very easily term this out over a ten or fifteen year term, making the system affordable. This portion can be paid for through the savings you realize from the overall conversion.

Equipment: The first thing you will notice is the missing out-door unit. The noisy A/C or Heat-Pump unit is not necessary when you convert to Geo-Thermal. The major heating and cooling load is provided by the ground loops. This is the source of the economy in this system design.

Earth Friendly:  When you consider the operating cost of your heating and cooling requirements being reduced by up to 75%, it is a very attractive lure to Geo-Thermal. The overlooked benefit is the savings in maintenance, repair and replacement costs. Then Geo-Thermal becomes an easier decision to make. Resources that are not used help preserve the earth’s resources.

30% Tax Credits: The Federal Government recognizes the clear and distinctive long-term benefit of Geo-Thermal conversion for homeowners that they allow a 30% tax credit for the total cost of the conversion through 2016. This is significant in creating even greater advantages to consider this option.

In the final analysis, Geo-Thermal is a superior option on all anlges provided that you intend to live in your home for a long period of time. This way you will experience firsthand the efficiency and added comfort of a superior heating and cooling system that really will make a noticeable improvement in your homes comfort.  
Earth Saving
According to the U. S. Environmental Protection Agency:
  • Geo-Thermal heat pumps are the most cost-effective, energy-efficient and environmentally clean heating and cooling system available in the United States representing the best in environmental technology.
  • Geo-Thermal heat pumps reduce energy consumption and emissions by more than 40% compared to congenital forced air HVAC systems and more than 70% compared to electric resistance heating with standard air-conditioning equipment.
  • Replacing an HVAC system with a Geo-Thermal system will reduce the amount of pollution equivalent to not driving your car 140,000 miles and planting 750 trees, or three-quarters of an acre of rain forest.
  • The average house contributes more greenhouse gas emissions than the average car.
The U.S. General Accounting Office estimates that if Geo-Thermal heat pumps were installed nationwide, they could save several billion dollars annually in energy costs and substantially reduce pollution.

Currently, nine percent of the United States’ total energy consumption is for residential heating and cooling. Many utility companies are counting on Geo-Thermal heat pumps to reduce peak electric demand and lessen environmental pressures stemming from conventional HVAC systems. The use of Geo-Thermal systems will help eliminate power spikes that cause brownouts. By flattening the overall power demand, this will reduce the need to build more power plants to keep up with the growing demand. The additional benefit is reduced air pollution in the process.
Energy Saving

Geo-Thermal heating and cooling systems are at least three times more efficient than fossil fuel systems. In energy consumption, the Geo-Thermal systems will use on average:
  • 75% less primary energy than oil
  • 48% less primary energy than natural gas
  • 33% less primary energy than air-source heat pumps
33% of the energy required by air-source heat pumps and central air conditioners

Today, more than 650,000 Geo-Thermal heat pumps are installed in the United States, resulting in an annual savings of 5.2 billion kWh, 26 trillion BTUs of fossil fuels and reduced electricity demand by 1.7 million kW. These systems are the equivalent of:
  • Taking 840,000 cars off the road
  • Planting 250 million trees
  • The elimination of nearly four million tons of CO2 from the atmosphere
  • Saving 14 million barrels a year of crude oil, which 70% comes from offshore sources.
Consumer Satisfaction
Surveys of Geo-Thermal owners contacted by the Department of Energy and participating utility companies nationwide indicate a higher level of consumer satisfaction for Geo-Thermal heat pumps than any other HVAC systems as they returned the following result:
  • 99% would recommend the system to family and friends
  • 95% said overall operation met or exceeded their expectations
  • 94% said they would buy a Geo-Thermal system again
 
Top reasons consumers select Geo-Thermal systems
  • Cost effective – the savings on their monthly utility bills.
  • Comfortable - constant, even comfort with no hot or cold spots
  • Safe and clean - no flame, no odors; just safe, reliable operation.
  • Quiet - no noisy outdoor compressor
  • Versatile - compatible with nearly any home, regardless of terrain or weather conditions. Environmentally friendly-emits no CO2, a major contributor to indoor and outdoor air pollution.
  • The elimination of outdoor or rooftop units means the system is not exposed to temperature extremes, dirt, pollution or vandalism.
  • Geo-Thermal systems have a lower life-cycle cost than conventional systems, even in the heat and humidity where the demand for air conditioning is the highest.
  • Geo-Thermal systems have longer equipment life than conventional HVAC systems with an average life of 24.2 years.
 


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