You Can Trust Mother Earth - Use Geothermal for Heating and Cooling

IDS recently completed a closed-loop geothermal project in southern Indiana using a lake bottom for the source of heat in the winter and cooling in the summer for a geothermal system. The unit was manufactured by Carrier in Indianapolis and is one of the most cost-effective types of heating and air conditioning systems available. It works very similarly to an air-to-air heat pump, but it is even more efficient because with a water-to-air system the medium for energy transfer (the water) is faster and with the lake it provides a larger sink for exchanging energy. It is less likely to lose efficiency during peak operational times during either the heating or cooling season.

IDS conducted an energy analysis which considered past utility data, patterns of property usage, existing building components and systems, equipment capacities and available financial incentives.

We then proposed a design that sought to maximize the ratio of savings versus equipment costs and installation. We also proposed the use of a combination of federal, state and local utility incentives that would allow owner to recover 36% of the cost of the system within approximately 1 year or less from the time of installation. After application of incentives and estimated average rate increases, the savings in energy cost should pay for the system in approximately 4-5.5 years.

As noted in other areas of our site, there are numerous benefits in the use of renewable energy which include “not only savings on energy costs, but also hedging against rising fossil-fuel energy costs, reduction in air pollution, increasing energy generation diversification and energy independence.” Geothermal energy is an excellent example of renewable energy technology that can provide this breadth of value.