Wedoany.com Report on Mar 9th, China is rich in geothermal resources, and the scale of its development and utilization already ranks among the forefront in the world. By the end of 2025, the application area for geothermal heating and cooling nationwide reached 1.65 billion square meters, widely covering building heating (cooling), agriculture, industry, hot spring wellness, and other fields, establishing a multi-scenario utilization system.
Nie Xiaowei, a deputy to the National People's Congress, and Director and Party Committee Secretary of Jianghan Petroleum Administration Co., Ltd., as well as Director and Party Committee Secretary of Jianghan Petroleum Engineering Co., Ltd., stated that while the geothermal industry has achieved large-scale application results, it faces constraints such as prominent conflicts in management systems, severe insufficiency in industrial policy support, and obvious shortcomings in core deep-layer technologies. There is an urgent need to reposition and systematically deploy it within the national energy strategy of the "15th Five-Year Plan" period, to break development bottlenecks, unleash industrial potential, and make it a powerful support for the green transition of energy.
In this regard, Nie Xiaowei proposed the following suggestions:
First, establish the important status of geothermal energy in the national energy strategy and strengthen top-level design and legislative safeguards. Include a dedicated chapter on geothermal development in the "15th Five-Year Plan" national energy development plan, clarifying its development targets and key regions by 2030. Legally and uniformly define the clean energy and livelihood security attributes of geothermal energy, and promote the establishment of a unified, centralized management system led by the national energy authority with coordination from relevant departments. Expedite the research and formulation of national-level "Regulations on the Management of Geothermal Energy Development and Utilization" to implement standardized, one-stop management processes for project approval, mineral rights and water extraction rights management, environmental protection, monitoring, and supervision, significantly reducing institutional transaction costs.
Second, systematically optimize the industrial policy system to effectively reduce the burden on enterprises and enhance market competitiveness. Research and introduce differentiated, targeted tax and fee policies for the geothermal industry. Research and formulate nationwide, inclusive financial subsidy and price support policies covering geothermal heating and power generation, bringing its policy treatment to a level basically on par with renewable energy sources like wind and solar power. Clearly include geothermal heating projects within the scope of support for clean heating in northern China, and establish a market-based pricing mechanism that reflects its green, low-carbon, and environmental protection value.
Third, establish a national major science and technology project to centrally break through the core technology bottlenecks in deep geothermal development. Formulate a strategic scientific plan for the geothermal field, accelerate the establishment of strategic scientific and technological forces led by national key laboratories, implement a batch of forward-looking, strategic national science and technology projects, and achieve technological iteration across the entire industry chain—from geothermal resource assessment, exploration and development, efficient utilization to key equipment—as well as breakthroughs in domestic production. Further support the construction of national-level deep geothermal engineering centers and test bases to accelerate the engineering transformation of technological achievements. Expand diverse application scenarios centered on zero-carbon parks and green mines, and encourage demonstration applications of "geothermal +" multi-energy complementary integrated energy systems.
Fourth, improve market-based incentive mechanisms and expand channels for realizing industrial value. Guide and encourage financial institutions to innovate green financial products and include geothermal projects within the key support scope of green credit and green bonds. Establish a national geothermal industry development fund to further attract investment from social capital.
