On May 28, 2026, the Comprehensive Department of the National Energy Administration (NEA) issued the Notice on Organizing and Carrying Out Pilot Projects for High-Quality Development and Utilization of Geothermal Energy. The Notice states that during the "15th Five-Year Plan" period, through the construction of pilot projects for high-quality geothermal development and utilization, a relatively complete regional management and policy system for geothermal development and utilization will be established. A number of large-scale geothermal development and utilization projects featuring advanced technology, standardized management, and significant benefits will be built. Furthermore, typical technical routes and operational models for the development and utilization of shallow and medium-to-deep geothermal energy that can be replicated and promoted will be formed.
Document No.: Guoneng Zongtong Xinneng [2026] No. 55
To: Energy Bureaus of all provinces (autonomous regions, municipalities); Development and Reform Commissions of relevant provinces (autonomous regions, municipalities) and the Xinjiang Production and Construction Corps; relevant dispatched offices; and relevant central enterprises:
In order to thoroughly implement the spirit of the 20th National Congress of the Communist Party of China and the plenary sessions of the 20th Central Committee, earnestly carry out the deployments of the Fourth Plenary Session, and implement the decisions and arrangements of the CPC Central Committee and the State Council on carbon peaking and carbon neutrality, as well as the green and low-carbon transformation of energy, we are organizing and carrying out pilot projects for the high-quality development and utilization of geothermal energy. These pilots aim to resolve policy bottlenecks in geothermal development and utilization, explore reform pathways, promote high-quality geothermal development, and drive quality and efficiency improvements in national geothermal development and utilization nationwide through exemplary cases. Relevant matters are hereby notified as follows:
I. Pilot Objectives
During the "15th Five-Year Plan" period, through the construction of pilot projects for high-quality geothermal development and utilization, a relatively complete regional management and policy system for geothermal development and utilization will be established. A number of large-scale geothermal development and utilization projects featuring advanced technology, standardized management, and significant benefits will be built. Furthermore, typical technical routes and operational models for the development and utilization of shallow and medium-to-deep geothermal energy that can be replicated and promoted will be formed.
II. Key Directions
(1) Medium-to-Deep Geothermal Energy
New Models for Scaled Utilization: Large-scale development and utilization of medium-to-deep geothermal energy is encouraged to significantly increase its proportion in urban heating, prioritizing the substitution of natural gas heating. Commercial models coupling geothermal energy with traditional heating methods will be explored. Long-distance heat transmission using medium-to-deep geothermal energy is encouraged to form viable business models, addressing the spatial mismatch between geothermal resource distribution and heat demand.
Promotion of Downhole Heat Exchange Technology: Innovative promotion of the "heat extraction without water extraction" downhole heat exchange technology will be advanced, with simplified pre-approval processes to accelerate project implementation. Scaled application pilots will be carried out in areas with suitable geological conditions to verify technical adaptability and stability under different geological and heating demand scenarios, continuously improving the economic viability of this technology.
(2) Shallow Geothermal Energy
Advanced technical routes and investment/operational models will be explored. In rural areas, shallow geothermal heating will be promoted to substitute traditional fossil energy heating, such as natural gas. In urban areas, clustered utilization projects for shallow geothermal energy will be constructed to optimize project construction management processes, coordinate the use of parks and green spaces outside building red lines, and enhance heating/cooling effectiveness.
(3) Diversified Applications
R&D and industrial cultivation related to geothermal power generation will be strengthened, and applications in industrial production will be promoted. Oil and gas field abandoned wells will be fully utilized and converted into geothermal wells for comprehensive resource utilization. In geothermal fields rich in strategic minerals such as lithium, helium, and boron, cascading development models combining geothermal heating with mineral extraction will be explored. Equipment renewal and retrofits will be carried out for old, existing geothermal heating projects to improve operational efficiency and project intelligence levels.
III. Organization and Implementation
The National Energy Administration (NEA) is responsible for organizing pilot projects for high-quality geothermal development and utilization nationwide. Based on reports from provincial-level energy authorities, the NEA will comprehensively announce the pilot list and guide project construction.
Provincial-level energy authorities are responsible for organizing the preparation, evaluation, and summarization of local pilot implementation plans. They must submit the pilot application forms and implementation plans to the NEA (Department of New Energy) before July 31. The implementation period for pilot projects shall, in principle, not exceed 2 years.
During implementation, local authorities should actively coordinate and promote project construction, and prioritize support for pilot projects by coordinating existing funding channels for renewable energy, clean heating, energy conservation and carbon reduction, and equipment renewal/retrofits. Progress reports on pilot projects must be submitted to the NEA (Department of New Energy) every six months. Dispatched offices will track pilot progress and promptly report important developments to the NEA (Department of New Energy).
Contact Number: 010-81929528
Comprehensive Department of the National Energy Administration
May 28, 2026