Enertech Global has been designated as the main industrial partner of Dandelion Energy to equip more than 1,500 homes with geothermal heating and cooling systems across fourteen residential communities developed by Lennar in the state of Colorado. The project, set to span two years, represents one of the most extensive residential installations of geothermal systems ever undertaken on U.S. soil, according to official statements from both companies involved.
A structuring partnership for domestic production
Dandelion Energy, a provider of geothermal solutions, confirmed that all the heat pumps for this project will be manufactured by Enertech Global at its facilities in Mitchell, South Dakota. This decision is part of a strategy to strengthen domestic production at a time when builders are seeking to stabilise their supply chains. Dan Yates, Chief Executive Officer of Dandelion Energy, noted that this collaboration aims to make geothermal energy more accessible to new homebuyers.
The project is expected to save residents approximately USD30mn over twenty years compared to the use of air-source heat pumps. Additionally, buyers will be eligible for a 30% federal tax credit under Section 25D of the clean energy tax credit programme dedicated to residential geothermal installations.
Grid relief and industrial impacts
By utilising the ground’s constant temperature, geothermal heat pumps offer stable performance throughout the year, thereby reducing peak electricity demand. The United States Department of Energy estimates that widespread adoption of this technology could eliminate the need for 24,500 miles of additional transmission lines and generate annual savings of USD4bn across the grid system.
Derek Dwyer, Chief Executive Officer of Enertech Global, described the collaboration as an opportunity for company growth and a boost to local employment in the Midwest. The project will directly support the activity of its factory, with anticipated benefits for the industrial community in Mitchell, thereby contributing to the sustainability of on-site production.