GLOBAL GEOTHERMAL MARKETS AND STRATEGIES, 2009-2020

Abstract

Geothermal energy, popular during the 1970' s oil crisis, is now experiencing a resurgence. Driven by RPS demand and carbon policies, there has been a recent surge globally in geothermal pipeline development activity. The US market leads the way with over 4,400 MW of geothermal plants in the pipeline, out of a total geothermal pipeline approaching 9,000 MW globally. Improving technologies such as low temperature plants are driving down costs and could lead to much shorter development timelines, while Enhanced Geothermal System developments could pave the way for the industry' s longer term growth.

A new study from EER, Global Geothermal Markets and Strategies, 2009 - 2020, is a critical resource to help guide you through the global geothermal market landscape. What is the potential for geothermal and when will specific geothermal markets take - off? Which utilities and geothermal - IPPs are leading the way and which are looking to enter? Where are the opportunities and who is bestpositioned to capitalize? Following are just a few of the key trends addressed in EER' s new geothermal study:

• Led by California and Nevada, Western US leads the charge: 120 geothermal projects are under development in 12 Western States. 190 million acres of BLM land and U.S. Forest Service lands were open to geothermal development as of year - end 2008. Southeast Asia, with an estimated 40,000 MW of geothermal potential and led by the Philippines and Indonesia, is attracting developers from around the world.
• As major utilities and IPPs compete for global renewable market share, geothermal becomes an attractive option: Enel and MidAmerican lead utilities in the global geothermal market. Geothermal - IPPs such as Ormat and Geyser Green are on the front of the development curve. Oil and gas players such as Chevron are renewing their focus.
• Renewable policies drive geothermal growth: With pushback on coal plants, geothermal offers an attractive emissions' free baseload power source. As carbon prices escalate, geothermal is a low cost alternative to other renewable options. In the US, the changing regulatory policies - RPS, PTC and ITC incentives - will help to extend geothermal' s cost advantage.

STUDY HIGHLIGHTS

Geothermal Market Drivers and Project Hurdles

• US Renewable Portfolio Standards, Investment Tax Credit, Production Tax Credit
• EU Feed - In Tariffs
• Carbon Policy and CDM
• Financial Market Impact
• BLM, Transmission
• Exploration Risks and Opportunities

Geothermal Market Forecasts to 2020

• Traditional Markets: United States, Indonesia, Philippines, Japan, Iceland, Italy
• Emerging Markets: New Zealand, Chile, Argentina, Turkey, Mexico
• Nascent Markets: Australia, East Africa, Russia, Canada

Strategy Profiles

• Utilities and IPPs
• Geothermal Developers
• Oil and Gas Companies
• Turbine Manufacturers
• Drillers

Cost Analysis

• Geothermal Capital Costs
• Drilling Costs
• O&M
• Cost Drivers and Renewable Cost Comparisons

Competitive Analysis

• Value Chain Evolution
• Competitive Positioning of Geothermal Developers
• Conventional and Low - temperature Turbine Analysis

Geothermal Rankings

• Power Plant Ownership Rankings
• Project Development Rankings

Technology Comparison

• Enhanced Geothermal Systems/Hot Rock
• Low Temperature
• Drilling Advancements
• Flash vs Binary Systems