KPMG Iceland Releases Report on the International Geothermal Sector

February 8, 2011 - KPMG Iceland has just published its report on the international geothermal sector "World Geothermal Market and Outlook" which offers a comprehensive look at the current state of the sector, its future outlook and the key drivers for new investment.

According to the report 24 countries around the world were utilising geothermal energy for electricity production in 2010. The world's total installed capacity in 2010 was 10.715 MWe, a 20% increase from 2005. The U.S. leads the way in terms of installed capacity with 3.074 MWe followed by the Philippines with 1.902 MWe and Indonesia with 1.187 MWe.

The U.S. also leads the world in terms of developing projects with over 150 geothermal development projects underway in 13 states with an estimated power generating capacity of 4,584 – 7,057 MWe. Indonesia has a project pipeline of 3.500 MWe in the next five to ten years followed by Iceland which has projects at various stages of development with a combined potential capacity of 1.170 MWe.

Geothermal energy has a lower levelized cost of electricity then all other renewable energy sources except for biomass. It also compares favorably to advanced coal and advanced gas power plants.

Japanese firms Fuji, Mitsubishi and Toshiba have a 67% market share in direct steam turbines while Ormat Technologies dominates the market for binary systems.

The latest phase of geothermal development is being driven by government support mechanisms and the liberalization of electricity markets around the world. Over 63 countries now offer some sort of support mechanism for the production and sale of electricity produced from renewable energy sources.

An overview on the report, as well as details on how you can purchase a copy of the report see the website of KPMG Iceland.