Geothermal heating and cooling uses ground source energy. (For that reason, you may hear geothermal heat pumps called ground source heat pumps.) Geothermal heat pump technology relies on the sun to heat the ground at the earth's surface, rather than the earth's core to heat it from below. Because geothermal heat pumps use the sun's energy, which is much more accessible, their application is viable virtually everywhere.
How does it work?
A water solution flows through pipes buried in the ground (ground loop system) absorbing heat from the earth in the winter and moving it to the geothermal system inside the house. Once there, the heat is condensed and transferred to the air that is circulated throughout the home, providing warmth when needed.
In the summer, the process is reversed, absorbing heat from the air inside the home, similar to how a refrigerator extracts heat from food to make it cool, and transfers that heat into the ground through the same loop system.The heat exchanger, also known as the loop system, captures the stored solar energy in the ground and delivers it back to the geothermal system in the house. There are 4 different types of loops.
Your loop system is the heart of geothermal technology. Regardless of the option you select, it will deliver over 500% efficient comfort and savings for many years into the future. Your local geothermal dealer will help you select the proper loop system based on a site survey and by conducting a detailed energy analysis of your home. Installing a geothermal loop system is like getting a 70% discount on energy for the life of your home.
Benefits of a Geothermal System
In the purest sense, geothermal systems use solar energy. The earth absorbs an amazing 48% of the sun's energy, leaving a fairly constant underground temperature between 45° and 70° F.

While your exact savings will be determined by many variables, including your climate, thermostat setting and electric rate, most homeowners will see a reduction of 30 to 70 percent in their heating and cooling costs.
A study by the U.S. Environmental Protection Agency showed that geothermal systems have the lowest life-cycle cost of all heating and cooling systems currently on the market. Lower maintenance costs and longer life expectancy of geothermal units should certainly be taken into consideration when determining true savings.
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