Ground Source Heat Pumps and Housing Developments – 5 Questions Answered Using the DSIRE Database

Some call the sun’s energy stored in the Earth “nature’s furnace.” Others call it “the heat beneath our feet.” The Renewable Energy Hub calls it the future of heating in housing development. 

Pumping heat into and out of the earth is nothing new, but growing homebuyer interest in renewable energy and a sustainable lifestyle is. 

• For two consecutive years (2022-2023), the U.S. installed more heat pumps than fossil-fuel-powered gas furnaces. 
• The global heat pump market, valued at $90.1 billion in 2024, is projected to reach $157.8 billion by 2029. 
• Last year, MIT’s Technology Review featured geothermal heat pumps on its list of “10 Breakthrough Technologies.” 
• 25 governors in the U.S. recently pledged to increase heat pump installations across their states to reach 20 million by 2030.

Planned communities powered by ground source heat pumps are emerging, like The Gardens at Arbor Springs (71 homes in Newnan, Georgia) and The Tides (24 condominiums on Grand Cayman Island). 

PUMPING UP ENERGY EFFICIENCY WITH GROUND SOURCE HEAT PUMPS 

Ground source heat pumps (GSHPs) are the most energy-efficient alternative to fossil fuels for commercial and residential heating and cooling. 

Powered by electricity, they exchange heat with the earth to dial up year-round comfort for living spaces in all kinds of climate conditions, from Alaska to the tropics. Systems equipped with a desuperheater also assist in producing domestic hot water. 

GSHPs save homeowners up to 70% annually on utility bills. Paired with solar panels, these systems can also create carbon-neutral home heating systems. The good news for developers? GSHPs work well for large-scale projects. 

DATABASE OF INCENTIVES FOR POTENTIAL SUSTAINABLE BUILDING 

If you’re a residential or mixed-use developer looking to identify potential projects that focus on renewable energy and energy efficiency, check out the Database of State Incentives for Renewables & Efficiency (DSIRE). 

1. What financial incentives are currently available for energy efficient developments that use GSHPs? DSIRE provides comprehensive information on state, local, utility, and federal incentives for projects that engage renewable energy. These include grants, rebates, tax credits, low-interest loans, and performance-based incentives. Expect to find eligibility criteria for incentives, application procedures, and deadlines. 
2. What policies govern the installation of ground source heat pumps in my state? DSIRE provides detailed summaries of renewable energy policies and regulations at the state and local levels. Review policies to understand the regulatory landscape in your region, including current zoning ordinances, building codes, and permitting requirements. 
3. What emerging trends impact GSHP use? Rising energy costs, climate concerns, increased consumer awareness, and advancements in GSHP technology all impact homeowner perceptions and choices. DSIRE can tell you about these, along with growing investment from private sector stakeholders and more. 
4. What costs can I expect with energy efficient technologies like ground source heat pumps? DSIRE provides information on the costs and savings associated with renewable energy and incentives that offset those costs. Use it to conduct cost-benefit analyses and assess the long-term economic viability of investments. 
5. What opportunities can I leverage to network with others about installing ground source heat pumps? DSIRE provides contact information for relevant state and local agencies, utilities, and other stakeholders to help you connect with key decision-makers and potential collaborators. 

The DSIRE database serves as a great starting point for you to leverage today’s unprecedented interest in renewable energy and ground source heat pumps, the future of residential development. 

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Resources 

Geothermal energy we can all agree on, Enertech Energy + Technology, enertechusa.com 

Geothermal Pros and Cons: Is Geothermal Right For You? Dandelion Energy, dandelionenergy.com  

Coalition of 25 Governors, Leading Most Ambitious State Climate Agenda in U.S. History, Vows to Continue Climate Action, United States Climate Alliance, usclimatealliance.org. 

Heat Pump Market Size, Shares, Trends, Growth and Analysis, Markets and Markets, marketsandmarkets.com