Periodic Reporting for period 2 - CROWDTHERMAL (Community-based development schemes for geothermal energy)
Periodo di rendicontazione: 2021-03-01 al 2022-12-31
CROWDTHERMAL aimed to initiate a new form of public dialogue, allowing to jointly tackle concerns and increase interest in geothermal energy. The aim was to take public engagement to a new level, empowering citizens to directly participate in the development of geothermal projects with the help of alternative financing methods, such as crowdfunding. According to project findings, this is only possible if public trust can be gained, and the transparency around geothermal projects (and their social and environmental impacts) can be maximised.
Against this background, the overall objective of CROWDTHERMAL was to develop a social-media powered approach that facilitates raising crowdsourced capital for (co-)financing geothermal projects in Europe.
A set of services was deployed to facilitate access to new financial instruments for the developers of geothermal projects and regulators/authorities. The aim was to create novel financial services and corresponding communication strategies covering the different types of geothermal resources, also addressing likely environmental concerns for various socio-geographical settings and geothermal technologies.
Against this background, the overall objective of CROWDTHERMAL was to develop a social-media powered approach that facilitates raising crowdsourced capital for (co-)financing geothermal projects in Europe.
A set of services was deployed to facilitate access to new financial instruments for the developers of geothermal projects and regulators/authorities. The aim was to create novel financial services and corresponding communication strategies covering the different types of geothermal resources, also addressing likely environmental concerns for various socio-geographical settings and geothermal technologies.
CROWDTHERMAL has developed reports on social, environmental and financial aspects of community-financed geothermal projects:
• A case study assessment protocol (GEOPLAT) has been established to assess the overall perception of the process, concerns and needs, as well as public acceptance and engagement factors.
• A report on geothermal environmental factors (UofG) presents a state-of-the-art literature review of environmental factors influencing public support of geothermal energy projects.
• The stakeholder and case study analysis (IZES) reflects on the results of qualitative interviews and contextual analyses in the CROWDTHERMAL case studies in Hungary, Iceland, and Spain.
• The guidelines for public engagement (IZES) deal with the topics of why public engagement is important in geothermal energy projects, why comprehensive planning of participation measures is crucial, and how a constructive communication strategy can serve risk and conflict prevention. In addition, a report on the Social License to Operate (SLO) for geothermal energy (GEORG) has been produced.
• CrowdfundingHub has prepared a report on best practice examples of renewable energy projects in Europe using alternative financing methods at different stages of their development.
• An alternative finance risks inventory and potential mitigation tools have been developed (GeoT, now VES) about key advantages, potential risks and possible mitigation measures for different alternative finance methods.
• A report on the regulative framework for community funding (CrowdfundingHub) analyses the infrastructure formed by ownership structures, energy production, distribution and financial legislation.
• A report on innovative financing mechanisms for geothermal energy (CrowdfundingHub) describes alternative and innovative finance schemes that can be used in the future to increase the involvement and commitment of community members in geothermal projects.
• The proposed Play Type independent geothermal exploration risk mitigation scheme (VES) presents the conceptual framework for a European geothermal exploration risk mitigation scheme.
The project findings were then integrated and deployed into a set of Core Services for communities, project developers and local authorities, including:
- Decision Support Tool (UofG, LPRC): An algorithm for developers and promoters of geothermal projects to select the most efficient social engagement strategies and financial instruments to be implemented for their respective scenario and context.
- (Meta-)database of geothermal projects for alternative finance (EFG, LPRC): GIS-based database of geothermal projects with details on national frameworks and ongoing geothermal projects in Europe.
- Interactive guide to integrated finance in geothermal energy (CFH, LPRC, GeoT): Tool to take the first steps to help determine which alternative finance tools are best suited to project needs.
- Toolbox for risk-evaluation and mitigation (VES, LPRC). Online spreadsheet containing the necessary parameters for project developers to perform an economic modelling of their geothermal projects.
- Information Catalogue for self-learning (LPRC): Wiki articles providing short definitions of common subjects related to CROWDTHERMAL within 4 different areas: alternative finance, risk mitigation, geothermal energy and social aspects.
- Frequently Asked Questions (FAQ) (All partners): Short definitions which summarise CROWDTHERMAL findings.
- Social media content generator (LPRC): Content generation for CROWDTHERMAL-related social media posts is facilitated by social media icons throughout the Wiki articles and the FAQ entries.
The Core Services are introduced in an animation video and a series of tutorials on the website: https://www.youtube.com/@crowdthermalproject2703
The Core Services have been actively disseminated to different target audiences via a ‘European Deployment Campaign’ resulting in various expressions of interest from companies, organisations and public bodies which highlight the relevance and timeliness of the research performed and the service offering.
Finally, a set of recommendations for EU and national policy makers, as well as for local authorities and project developers were produced to enhance synergies with existing EU policies connected to the achievement of the European Green Deal while encouraging public engagement in this area.
• A case study assessment protocol (GEOPLAT) has been established to assess the overall perception of the process, concerns and needs, as well as public acceptance and engagement factors.
• A report on geothermal environmental factors (UofG) presents a state-of-the-art literature review of environmental factors influencing public support of geothermal energy projects.
• The stakeholder and case study analysis (IZES) reflects on the results of qualitative interviews and contextual analyses in the CROWDTHERMAL case studies in Hungary, Iceland, and Spain.
• The guidelines for public engagement (IZES) deal with the topics of why public engagement is important in geothermal energy projects, why comprehensive planning of participation measures is crucial, and how a constructive communication strategy can serve risk and conflict prevention. In addition, a report on the Social License to Operate (SLO) for geothermal energy (GEORG) has been produced.
• CrowdfundingHub has prepared a report on best practice examples of renewable energy projects in Europe using alternative financing methods at different stages of their development.
• An alternative finance risks inventory and potential mitigation tools have been developed (GeoT, now VES) about key advantages, potential risks and possible mitigation measures for different alternative finance methods.
• A report on the regulative framework for community funding (CrowdfundingHub) analyses the infrastructure formed by ownership structures, energy production, distribution and financial legislation.
• A report on innovative financing mechanisms for geothermal energy (CrowdfundingHub) describes alternative and innovative finance schemes that can be used in the future to increase the involvement and commitment of community members in geothermal projects.
• The proposed Play Type independent geothermal exploration risk mitigation scheme (VES) presents the conceptual framework for a European geothermal exploration risk mitigation scheme.
The project findings were then integrated and deployed into a set of Core Services for communities, project developers and local authorities, including:
- Decision Support Tool (UofG, LPRC): An algorithm for developers and promoters of geothermal projects to select the most efficient social engagement strategies and financial instruments to be implemented for their respective scenario and context.
- (Meta-)database of geothermal projects for alternative finance (EFG, LPRC): GIS-based database of geothermal projects with details on national frameworks and ongoing geothermal projects in Europe.
- Interactive guide to integrated finance in geothermal energy (CFH, LPRC, GeoT): Tool to take the first steps to help determine which alternative finance tools are best suited to project needs.
- Toolbox for risk-evaluation and mitigation (VES, LPRC). Online spreadsheet containing the necessary parameters for project developers to perform an economic modelling of their geothermal projects.
- Information Catalogue for self-learning (LPRC): Wiki articles providing short definitions of common subjects related to CROWDTHERMAL within 4 different areas: alternative finance, risk mitigation, geothermal energy and social aspects.
- Frequently Asked Questions (FAQ) (All partners): Short definitions which summarise CROWDTHERMAL findings.
- Social media content generator (LPRC): Content generation for CROWDTHERMAL-related social media posts is facilitated by social media icons throughout the Wiki articles and the FAQ entries.
The Core Services are introduced in an animation video and a series of tutorials on the website: https://www.youtube.com/@crowdthermalproject2703
The Core Services have been actively disseminated to different target audiences via a ‘European Deployment Campaign’ resulting in various expressions of interest from companies, organisations and public bodies which highlight the relevance and timeliness of the research performed and the service offering.
Finally, a set of recommendations for EU and national policy makers, as well as for local authorities and project developers were produced to enhance synergies with existing EU policies connected to the achievement of the European Green Deal while encouraging public engagement in this area.
The CROWDTHERMAL outcomes were deployed as a user-friendly set of web tools for geothermal project developers, local authorities and communities. This Core Services Portal will remain available after the project duration, thanks to the maintenance and continued promotion by an informal Alliance established by some of the project partners.
Geothermal energy has a huge untapped potential to contribute to EU policy implementation. However, as analysed by CROWDTHERMAL, the European Green Deal will not be fully delivered without the engagement of citizens, project developers and local authorities. Important social and environmental concerns, as well as financial risk mechanisms need to be addressed. CROWDTHERMAL presents concrete recommendations to unleash the potential of geothermal energy through targeted and comprehensive bottom-up actions, combined with the appropriate national and EU legislative framework.
The findings of CROWDTHERMAL on social acceptance mechanisms have revealed new instruments that can be used, also in other European projects, in the field of renewable energy, and in particular in geothermal projects, to increase public trust and drive engagement.
The Play Type independent geothermal exploration risk mitigation scheme CROWDTHERMAL proposes for deep geothermal projects that use community funding could decrease the risks associated with new projects and facilitate alternative financing solutions, boosting thus the deployment of the geothermal market in Europe.
A horizontal objective of CROWDTHERMAL was to present geothermal as a dynamic and innovative sector that uses cutting-edge concepts in public engagement, and has the full wealth of contemporary financial services at its disposal. These messages were conveyed throughout the European Deployment Campaign conducted in the last project year and contributed to increasing the interest in geothermal energy.
Geothermal energy has a huge untapped potential to contribute to EU policy implementation. However, as analysed by CROWDTHERMAL, the European Green Deal will not be fully delivered without the engagement of citizens, project developers and local authorities. Important social and environmental concerns, as well as financial risk mechanisms need to be addressed. CROWDTHERMAL presents concrete recommendations to unleash the potential of geothermal energy through targeted and comprehensive bottom-up actions, combined with the appropriate national and EU legislative framework.
The findings of CROWDTHERMAL on social acceptance mechanisms have revealed new instruments that can be used, also in other European projects, in the field of renewable energy, and in particular in geothermal projects, to increase public trust and drive engagement.
The Play Type independent geothermal exploration risk mitigation scheme CROWDTHERMAL proposes for deep geothermal projects that use community funding could decrease the risks associated with new projects and facilitate alternative financing solutions, boosting thus the deployment of the geothermal market in Europe.
A horizontal objective of CROWDTHERMAL was to present geothermal as a dynamic and innovative sector that uses cutting-edge concepts in public engagement, and has the full wealth of contemporary financial services at its disposal. These messages were conveyed throughout the European Deployment Campaign conducted in the last project year and contributed to increasing the interest in geothermal energy.