The U.S. Department of Energy (DOE) has announced a funding opportunity totaling $171.5 million to support advanced geothermal field-scale tests and exploration drilling in the United States. The initiative aims to accelerate both electricity generation from geothermal sources and exploration activities to identify and confirm promising geothermal sites.
According to DOE, the funding is intended to help deliver on President Trump’s Executive Order focused on expanding American energy production by advancing technology, innovation, and exploration in the geothermal sector. This could contribute to making geothermal energy more affordable, reliable, and accessible for homes and businesses across the country.
“Work under this opportunity will directly support our commitments to advance energy addition, reduce energy costs for American families and businesses, and unleash American energy dominance and innovation,” said DOE Assistant Secretary of the Hydrocarbons and Geothermal Energy Office Kyle Haustveit. “Thanks to President Trump’s America First Energy Agenda, these demonstrations and drilling activities will help us realize the enormous potential of geothermal to spur domestic manufacturing, enable data center growth, and provide affordable, reliable, and secure energy solutions nationwide.”
The new funding opportunity consists of six topics with varying levels of financial support. The first round opens two topics: field tests for enhanced geothermal systems and drilling for next-generation hydrothermal resource characterization or confirmation.
Currently, the United States leads globally in geothermal electricity capacity with approximately four gigawatts installed. However, DOE analysis suggests that at least 300 gigawatts of reliable geothermal power could be integrated into the U.S. grid by 2050 if technological advancements continue. The projects funded through this program are expected to lower risks associated with developing new geothermal resources—potentially encouraging private investment and supporting industry growth.
Letters of Intent must be submitted by March 27, 2026; full applications are due April 30, 2026.
This announcement follows other recent DOE initiatives aimed at improving energy efficiency and advancing clean technologies. For example, in July 2022 the department launched a $225 million program funded by President Biden’s Bipartisan Infrastructure Law to implement updated building energy codes designed to lower utility bills (https://www.energy.gov/articles/biden-harris-administration-launches-225-million-program-lower-utility-bills-through-more). On July 21, 2022, DOE also released a video message from Secretary Jennifer Granholm calling on international partners to work together on clean energy transitions (https://www.youtube.com/watch?v=sebmi2QGbV4). Additionally, the agency has invested in technology development through its national laboratories (https://www.energy.gov/em/articles/technology-development-aiding-em-mission-senior-advisor-white-tells-congress) and supported innovative approaches such as passive processes for groundwater remediation (https://www.energy.gov/em/articles/srs-tackles-groundwater-issue-using-innovative-passive-energy-process).
In another effort toward decarbonization, DOE recently announced $96 million for clean vehicle technology development (https://www.energy.gov/articles/doe-announces-96-million-advancing-clean-vehicle-technologies-reduce-carbon-emissions). The department is also managing over 140 programs aligned with President Biden’s Justice40 Initiative aimed at directing federal investments—including those in clean energy—to disadvantaged communities (https://www.energy.gov/articles/doe-announces-more-140-programs-supporting-president-bidens-justice40-initiative).
More information about the Notice of Funding Opportunity topic areas can be found on the DOE website.
