Kolkata, 14 August (H.S.) : India is moving ahead with plans to explore geothermal energy as a potential source of clean and reliable power for the Andaman and Nicobar Islands, where electricity generation is currently heavily dependent on diesel-based systems.

The Solar Energy Corporation of India (SECI) Ltd has invited Expressions of Interest (EoIs) from qualified agencies to undertake geothermal resource assessment, exploration and the potential development of a geothermal power plant in the island territory.

The initiative assumes significance as the Andaman and Nicobar Islands lie in one of the country’s most geologically active zones. The island chain is located along a tectonic boundary where the Indian Plate continues to move beneath the Burma Plate, creating significant seismic activity. Barren Island in the Andamans is also home to South Asia’s only active volcano.

The Geological Survey of India has identified the Andaman and Nicobar Islands among India’s major geothermal provinces. Against this backdrop, SECI is seeking to assess whether the islands’ geothermal resources can be commercially harnessed to meet their growing electricity requirements.

Geothermal energy uses heat from beneath the Earth’s surface, including naturally occurring hot water and steam, to generate electricity. Unlike solar and wind power, geothermal generation can operate around the clock and is largely independent of weather conditions, making it a potential source of baseload renewable power.

The proposed project could help reduce the islands’ dependence on diesel transported from the mainland. The government is also looking at cleaner energy options because of the ecological sensitivity of the island region, where large conventional power projects face significant environmental constraints.

The initiative is part of the implementation of the National Policy on Geothermal Energy, notified by the Ministry of New and Renewable Energy in September 2025. SECI is now looking for participation from geothermal developers, drilling agencies, technology providers, research institutions and integrated energy companies with relevant expertise.

The programme is proposed to begin with detailed geological, geophysical and geochemical investigations. This would be followed by exploratory drilling, resource assessment and validation. If commercially viable resources are confirmed, the process could move towards development of a geothermal power plant.

The indicative capacity of the proposed project is expected to be between 5 MW and 20 MW. SECI estimates that the initial resource assessment and feasibility phase could take around 18 months, followed by another 24 months for power plant development after successful resource validation.

For the proposed project, SECI has indicated a tariff ceiling of Rs 15 per unit and a Power Purchase Agreement tenure of 20 to 25 years for future competitive bidding. Electricity generated under the project is expected to be procured by the Electricity Department of the Andaman and Nicobar Administration.

Both Indian and international companies will be eligible to participate, either independently or through consortiums. SECI is particularly seeking organisations with experience in geothermal exploration, deep drilling, preferably at depths of 1,000 metres or more, renewable energy development and integrated infrastructure projects.

International geothermal technology providers and specialised consultants will also be eligible to participate independently or in partnership with Indian companies.

India currently has an estimated theoretical geothermal resource potential of around 10,600 MW, with 381 documented hot springs across the country. Of these, 42 geothermal manifestations have been identified as promising locations for further exploration.

If the proposed assessment establishes commercially viable resources in the Andaman and Nicobar Islands, the project could mark an important step in India’s effort to diversify its renewable energy mix and develop indigenous, weather-independent power sources for remote and strategically important island territories.

A pre-submission meeting for prospective participants has been scheduled for August 17, 2026. The outcome of the exploration and feasibility exercise will determine whether the Andamans can emerge as a viable location for one of India’s early geothermal power projects in an island region.

Hindusthan Samachar / Satya Prakash Singh