Global Geothermal Turbines Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

By type, the market is categorized into dry steam, flash cycle, and binary cycle turbines. Dry steam turbines are one of the oldest and most efficient technologies, directly utilizing steam from underground geothermal reservoirs to drive turbines and generate electricity. This method is highly effective but requires naturally occurring steam sources, which are found in select geothermal hotspots such as The Geysers in California and Larderello in Italy. Flash cycle turbines, on the other hand, operate by extracting high-pressure hot water from geothermal reservoirs, which undergoes a pressure drop, causing it to flash into steam. This steam is then used to drive turbines, making this technology suitable for high-temperature geothermal resources. Flash cycle turbines are widely used in geothermal power plants due to their ability to maximize energy extraction from available heat sources. Binary cycle turbines represent the latest advancement in geothermal power generation, allowing energy extraction from lower-temperature geothermal reservoirs. These turbines use a secondary working fluid with a lower boiling point than water, enabling efficient power generation in areas where high-temperature geothermal resources are not available. This flexibility makes binary cycle turbines a crucial component in expanding geothermal power to new regions, increasing the overall market potential.

By application, the geothermal turbines market is segmented into electric power generation, direct use, and cogeneration. Electric power generation remains the dominant application, as geothermal turbines are primarily used in power plants to produce renewable and sustainable electricity. The rising demand for clean energy sources, coupled with government incentives for reducing carbon emissions, has led to increased investments in geothermal power plants across multiple regions. Direct use applications include industrial processes, greenhouse heating, aquaculture, and district heating, where geothermal energy is used without conversion to electricity. Geothermal turbines play a key role in extracting and distributing geothermal heat efficiently for direct use applications, particularly in regions where geothermal resources are abundant. Cogeneration, or combined heat and power (CHP), is another important segment that utilizes geothermal energy for both electricity and heat production. This method significantly improves efficiency by utilizing excess heat generated during power production for heating purposes, making it an attractive solution for industries and commercial establishments aiming to optimize energy use.

The market is further segmented by end-user, which includes industrial, residential, and agricultural applications. The industrial sector is a major driver of geothermal turbine adoption, as industries require stable and cost-effective energy sources for manufacturing and processing activities. Sectors such as chemical manufacturing, food processing, and pulp and paper production benefit from geothermal energy’s consistent heat supply, leading to increased adoption of geothermal turbines. The residential segment primarily benefits from geothermal district heating systems and ground source heat pumps (GSHPs), which provide sustainable and efficient heating solutions. As urban areas continue to push for sustainable energy sources, the residential market for geothermal energy is expected to grow. The agricultural sector is also a significant end-user of geothermal turbines, particularly in applications such as greenhouse heating, soil warming, and aquaculture. The ability of geothermal energy to provide a stable and cost-effective heat source makes it a preferred option for agricultural operations in geothermal-rich regions.

The growth of the geothermal turbines market is driven by the increasing global demand for renewable energy, technological advancements, and favorable government policies supporting geothermal energy development. While challenges such as high initial investment costs and site-specific resource availability remain, continuous improvements in geothermal turbine efficiency and exploration techniques are expanding the market’s potential. As more regions recognize the benefits of geothermal power, the adoption of geothermal turbines is expected to rise, contributing to a more sustainable and resilient global energy landscape.

Global Geothermal Turbines Segment Analysis

In this report, the Global Geothermal Turbines Market has been segmented by Type, Application, End-User, and Geography.

Global Geothermal Turbines Market, Segmentation by Type

The Global Geothermal Turbines Market has been segmented by Type into Dry Steam, Flash Cycle and Binary Cycle.

Dry Steam turbines capitalize on naturally occurring steam reservoirs. In this method, high-pressure steam directly extracted from underground reservoirs is channeled through turbines to produce electricity. The steam's force rotates the turbine blades, driving a generator to generate electricity. This direct utilization of steam makes Dry Steam turbines efficient and cost-effective where high-pressure steam is readily accessible.

Flash Cycle turbines utilize high-pressure hot water from geothermal reservoirs. When this water is brought to the surface, the sudden pressure drop causes it to "flash" into steam, which then drives the turbine. The steam is then condensed and recycled back into the reservoir. Flash Cycle turbines are versatile, suitable for a range of geothermal conditions, and can generate electricity even from lower temperature reservoirs.

Binary Cycle turbines operate on a closed-loop system, wherein hot geothermal water is passed through a heat exchanger to transfer its thermal energy to a secondary fluid with a lower boiling point, such as a hydrocarbon or refrigerant. This secondary fluid vaporizes, driving the turbine, and is then condensed back into liquid form for reuse. Binary Cycle turbines are highly efficient and environmentally friendly, as they minimize direct contact between the working fluid and the geothermal source.

Global Geothermal Turbines Market, Segmentation by Application

The Global Geothermal Turbines Market has been segmented by Application into Electric Power Generation, Direct Use, and Cogeneration.

The Electric Power Generation segment is the most dominant application of geothermal turbines. Geothermal power plants utilize steam or hot water from underground reservoirs to drive turbines, generating electricity with minimal environmental impact. This segment benefits from the increasing global focus on reducing carbon emissions and transitioning toward clean energy sources. There are three primary types of geothermal power plants used in this segment: dry steam, flash steam, and binary cycle power plants. Dry steam plants directly use steam from geothermal reservoirs to turn turbines, whereas flash steam plants utilize high-pressure hot water, which rapidly turns into steam to drive the turbine. Binary cycle power plants operate at lower temperatures and use a secondary working fluid with a lower boiling point to generate steam. Countries with significant geothermal potential, such as the United States, Indonesia, the Philippines, and Iceland, are leading in geothermal electricity production. Government initiatives promoting renewable energy and advancements in turbine technology are expected to drive further growth in this segment.

The Direct Use segment involves utilizing geothermal energy for applications that do not require electricity generation but instead use the heat directly for industrial and commercial purposes. These applications include district heating, greenhouse heating, aquaculture, industrial processes, and spa resorts. Direct-use applications provide an efficient and cost-effective way to utilize geothermal energy by reducing dependency on fossil fuels. District heating systems, particularly in colder regions such as Europe and North America, have successfully integrated geothermal energy to supply heat to residential and commercial buildings. Greenhouse heating is another prominent application where geothermal energy helps regulate temperatures for agricultural production, extending growing seasons and improving crop yields. Additionally, geothermal heat is used in industrial processes such as drying agricultural products, pasteurization, and chemical manufacturing, making it a versatile and sustainable energy solution.

The Cogeneration segment, also known as combined heat and power (CHP), involves the simultaneous production of electricity and useful heat from the same energy source. This application is gaining traction as it significantly improves energy efficiency by utilizing excess heat that would otherwise be wasted. In geothermal cogeneration systems, the steam or hot water extracted from the earth is used to generate electricity, while the remaining heat is repurposed for district heating, industrial processes, or other thermal applications. Cogeneration is particularly beneficial for industries and communities that require both power and heating solutions, offering economic and environmental advantages. Countries with well-developed geothermal infrastructure, such as Iceland, have successfully implemented cogeneration systems to maximize energy utilization. The growing need for efficient and sustainable energy solutions is expected to drive the adoption of geothermal cogeneration technologies in the coming years.

Global Geothermal Turbines Market, Segmentation by End-User

The Global Geothermal Turbines Market has been segmented by End-User into Industrial, Residential and Agricultural.

In the Industrial sector, geothermal turbines play a crucial role in providing sustainable power solutions to various industrial operations. Industries such as manufacturing, mining, and oil refining require substantial amounts of energy for their operations. Geothermal energy offers a reliable and cost-effective alternative to traditional fossil fuel-based power sources, helping industries reduce their carbon footprint and operational costs. Geothermal turbines in the industrial sector contribute to energy security and environmental sustainability, aligning with global efforts to transition towards cleaner energy sources.

Residential applications of geothermal turbines primarily focus on heating, cooling, and domestic hot water supply in residential buildings. Geothermal heat pumps utilize the constant temperature of the Earth's subsurface to efficiently regulate indoor temperatures throughout the year. By leveraging geothermal energy for residential heating and cooling, homeowners can achieve significant energy savings and reduce reliance on conventional HVAC systems powered by electricity or fossil fuels. The residential segment presents immense growth potential as awareness of energy-efficient heating and cooling solutions continues to rise, driven by increasing environmental consciousness and government incentives promoting renewable energy adoption.

In the Agricultural sector, geothermal turbines contribute to sustainable farming practices by providing energy for greenhouse heating, crop drying, and irrigation systems. Agriculture is energy-intensive, requiring power for various processes such as crop cultivation, food processing, and livestock management. Geothermal energy offers a reliable and environmentally friendly source of power for agricultural operations, helping farmers reduce operating costs and enhance productivity. By integrating geothermal turbines into agricultural infrastructure, farmers can improve energy efficiency, mitigate environmental impacts, and ensure food security in a changing climate.

Global Geothermal Turbines Market, Segmentation by Geography

In this report, the Global Geothermal Turbines Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Global Geothermal Turbines Market Share (%), by Geographical Region, 2024

In North America, particularly in the United States and Canada, the market is driven by a combination of government support, technological advancements, and the presence of suitable geological formations. The United States, in particular, has been investing in expanding its geothermal capacity, supported by federal initiatives and state-level policies promoting renewable energy. Canada also shows potential for geothermal development, especially in regions with high geothermal gradients such as British Columbia and Alberta.

In Europe, countries like Iceland, Italy, and Turkey have been at the forefront of geothermal energy development. Iceland, with its abundant geothermal resources, has established itself as a leader in geothermal power generation and district heating systems. Italy has a long history of geothermal utilization, primarily in Tuscany, where geothermal power plants contribute significantly to the country's electricity generation. Turkey has been increasingly investing in geothermal energy to diversify its energy mix and reduce reliance on imported fossil fuels.

The Asia Pacific region, including countries like Indonesia, the Philippines, and New Zealand, holds substantial geothermal potential due to its location along the Pacific Ring of Fire. Indonesia and the Philippines, in particular, have extensive geothermal resources and have been actively developing geothermal projects to meet their growing energy demand. New Zealand has also been harnessing its geothermal resources for electricity generation and district heating, supported by favorable government policies and investment incentives.

In the Middle East and Africa, countries like Kenya, Ethiopia, and Kenya are emerging as key players in the geothermal energy sector. Kenya, in particular, has made significant strides in geothermal development, with projects like the Olkaria Geothermal Complex contributing a significant portion of the country's electricity generation. Ethiopia and Tanzania are also exploring their geothermal potential to meet domestic energy needs and drive economic development.

Latin America, including countries like Mexico, Chile, and Guatemala, is witnessing growing interest in geothermal energy as a clean and reliable source of power. Mexico has been investing in geothermal projects, leveraging its geological potential in regions like the Baja California Peninsula and the Trans-Mexican Volcanic Belt. Chile and Guatemala are also exploring their geothermal resources to diversify their energy mix and reduce greenhouse gas emissions.