Explore Geothermal in Vermont

The chief benefit of using Geothermal heating system is energy conservation. In times when “going green” is the order of the day, this benefit is not to be taken lightly. Geothermal heating systems use up to 25% to 50% less electricity than conventional heating or cooling systems. Basically, this means that a geothermal heat pump uses one unit of electricity to extract three units of heat from the earth.

Because these systems have no outdoor condensing units, like air conditioners have, you don’t have to worry about a noisy apparatus outside your home.

The application of geothermal heating/cooling, also known as ground source heat pumps, has been named “the most energy-efficient and environmentally sensitive of all space conditioning systems”, by the Environmental Protection Agency. The system’s basic concept takes advantage of the earth’s constant temperature, approximately 55 degrees, to heat and cool a building. By tapping this steady flow of heat from the earth in the winter, and displacing heat in the earth in the summer, a geothermal heat pump can save Virginia homeowners 40 to 70 percent in heating costs and 30 to 50 percent in cooling costs compared to conventional systems

Vermont offers a number of rebate programs for Geothermal customers:

PACE Financing

State Loan Program

The Federal incentive covers 30% of the expenditures in the year the incentive is taken, up to a cap of $2,000 if the property was installed prior to January 1, 2009. Qualifying geothermal heat pump property installed after December 31, 2008 is eligible for 30% of the installed cost without a cap, as provided under the American Recovery and Reinvestment Tax Act of 2009 (ARRA) . The incentive is available for taxpayers installing qualifying equipment at their primary residence or a second home, but not for a rental property. This incentive is available till December 2016.


To qualify, tax payers will need to have evidence regarding:

  • the cost of the system,
  • when it was placed in service
  • whether the system meets the qualifying criteria

VT Geothermal Testimonials