Global geothermal power installed cost 2010-2023

Between 2010 and 2023, the average installed cost for geothermal power projects worldwide ranged between roughly 3,000 and 6,100 U.S. dollars per kilowatt, peaking at 6,112 U.S. dollars per kilowatt in 2012. In 2023, the average installed cost of geothermal systems stood at 4,589 U.S. dollars per kilowatt, reflecting a slight increase from the previous year. The installed cost of geothermal is highly dependent on the specific project and location, and therefore there is a high variability between years. 

Cost of geothermal electricity

The levelized cost of electricity (LCOE) for geothermal power has fluctuated between 0.06 and 0.07 U.S. dollars per kilowatt hour during the last 10 years. Power plant construction is the largest contributor to the LCOE of geothermal power worldwide, accounting for approximately 35 percent of the total cost. Other significant components include drilling, steamfield development, and ongoing operations and maintenance.  

Global geothermal capacity

Despite the costs, geothermal energy has a high capacity factor, or ratio between actual production to theoretical maximum, reaching 82 percent globally in 2023 and indicating its reliability as a power source. Among renewable energy sources, geothermal delivers the highest capacity factor, as it does not depend on weather conditions. Overall, the installed capacity of geothermal energy worldwide has shown steady growth, reaching approximately 14.9 gigawatts in 2023.