Gov. Jared Polis’ “Heat Beneath Our Feet” push to exploit geothermal energy to reduce greenhouse gas emissions has begun with $5 million in grants in the first round of funding.

The $12 million grant program was authorized by the Colorado General Assembly in 2022 via House Bill 22-1381.

Round one of the program opened to applications on Nov. 14. It runs through Jan. 19, 2024.

At least one additional funding round is anticipated in fiscal year 2025, according to a news release from the Colorado Energy Office.

The grants will provide funding to support the use of zero-emission, geothermal energy for electricity generation and space heating and cooling.

“The heat beneath our feet – geothermal energy – provides Colorado with the opportunity to lower energy costs by harnessing zero-emission energy to generate electricity and heat and cool homes, businesses, and communities,” Polis said in the release.

Air-sourced heat pumps are being touted as energy-saving solutions for commercial buildings, including apartment buildings and homes.

But ground-source heat pumps are even more efficient and don’t suffer from the same cold-climate efficiency reductions that affect air-sourced heat pumps. They are more expensive, according to experts.

Temperatures underground remain constant year-round, with temperatures increasing as depth increases. Below the surface the ground acts as a thermal battery to heat and cool using geothermal heat pumps, said the release.

Residential ground-source pumps generally use loops of piping underneath lawns to exchange heat while larger installations that need higher temperatures to boil water generally use deep wells reaching down to high temperature regions in the earth’s crust.

Geothermal systems can reduce peak electrical loads, reducing demand on the power grid and saving communities money on energy costs, said the release.

“Colorado’s unique geography offers some of the most robust geothermal energy potential in the country,” said CEO Executive Director Will Toor.”Our geothermal program is an exciting opportunity to tap into this expansive resource to heat and cool our homes and increase access to reliable clean electricity.”

The release says the thermal network at Colorado Mesa University in Grand Junction has reduced energy costs nearly $12 million since 2008.

The governor’s initiative focuses on exploring geothermal energy applications, land use planning, and market barriers across the West affecting the exploitation of earth’s internal temperature.

“The geothermal energy grant program is one of the largest investments in geothermal energy in the country, establishing Colorado as a leader in this expanding industry,” said the release. “The program accelerates the growth and development of geothermal technology, which will play a critical role in achieving net-zero emissions in Colorado by 2050.”

Both public and private entities are eligible to apply for GEGP funding.

Eligible projects include:

• Single-structure geothermal: Installing a geothermal system as the primary source of heating and cooling for a group of residential buildings or a single multifamily or nonresidential building.
• Community district heating: Constructing ground-source, water-source, or multi-source thermal systems that serve more than one building.
• Geothermal electricity generation: Developing geothermal electricity generation technology and/or using geothermal energy to produce hydrogen or power direct air capture technology.

The Colorado Energy Office will prioritize projects in disproportionately impacted, low-income, and just transition communities. CEO has also reserved 25 percent of the single-structure geothermal grants for projects in these communities.

More information about eligibility, award amounts, and how to apply is available on the Geothermal Energy Grant Program website.

The energy office will host three webinars, each covering one of the project types on Nov. 28.

Single Structure RFA Webinar – 11 a.m.-noon

Thermal Energy Network RFA Webinar – 1-2 p.m.

Geothermal Electricity Generation RFA Webinar – 2-3 p.m.

Interested persons can sign up at the Geothermal Energy Grant Program website