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March 2012

Canadian Geothermal Heat Pump Industry

Technology Roadmap Final Report

Canadian Geothermal Heat Pump Industry Technology Roadmap

© 2012 Canadian GeoExchange Coalition

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Table of Contents

Acknowledgements ........................................................................................................................................... 2

Steering Committee ........................................................................................................................................... 3

Message from the CGC ...................................................................................................................................... 4

Message from the Roadmap Steering Committee Chair ..................................................................................... 6

The Canadian Geothermal Heat Pump Industry Technology Roadmap – Process Outline ................................... 7

Canadian Geothermal Heat Pump Industry – The Path Forward ......................................................................... 8

Section I – Technology Development / R&D ..................................................................................................... 11

Context ....................................................................................................................................................... 11

1. Technology Improvements ................................................................................................................... 11

2. Knowledge Sharing ............................................................................................................................... 14

Section II – Training & Capacity Building .......................................................................................................... 16

Context ....................................................................................................................................................... 16

3. Training and Education ......................................................................................................................... 16

4. Awareness ............................................................................................................................................ 19

Section III – Outreach....................................................................................................................................... 21

Context ....................................................................................................................................................... 21

5. Stakeholder Engagement & Cooperation .............................................................................................. 21

6. Marketing ............................................................................................................................................. 24

Section IV – Geothermal Heat Pump Technology Policy ................................................................................... 26

Section V – Proposed Market Research ............................................................................................................ 29

Conclusions ..................................................................................................................................................... 32

Appendix 1 – Action Items Summary ................................................................................................................ 33

Appendix 2 – Policy Directions and Recommendations .................................................................................... 42

Appendix 3 – References ................................................................................................................................. 46



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Acknowledgements

The Canadian Geothermal Heat Pump Industry

Roadmap is a national industry-wide exercise led by

the Canadian GeoExchange Coalition (CGC). Sophie

Martin, assisted by Liane Coulahan, coordinated the

roadmap planning processes and facilitated the

extensive work of industry stakeholders, analyzed

their input and prepared all the interim reports used

in the preparation of this final roadmap document.

The roadmap exercise was overseen by the

Geothermal Industry Roadmap Steering Committee

whose members provided important guidance

throughout the planning process as well as important

reviews and feedback.

CGC would like to thank the participants of the CGC-

led roadmap workshops held from March-August

2011 and the members of the roadmap sub-

committees and working groups for their time and

expertise. CGC would also like to thank the Steering

Committee for providing review comments on the

final reports. The documents attempt to represent the

views of the roadmap participants and of the Steering

Committee members fairly, with background

information taken from various consultations

conducted by the CGC over the years.

CGC specifically acknowledges Natural Resources

Canada – CANMET Energy (Varennes), and the Bureau

de l’efficacité et de l’innovation énergétiques du

Québec for their financial support. Over 80 % of the

roadmap funding was provided by CGC itself.

Thank you to all industry and non-industry partners

for recognizing past CGC accomplishments and for

believing in the strategic role the CGC is playing to

enhance the market transformation of the Canadian

geothermal heat pump industry.



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Steering Committee

Chairman

Fraser Newton Limnion Geothermal Transfer Systems

GHP system component manufacturer (Ontario)

Members

Maude Chabot-Pettigrew Bureau de l’efficacité et de l’innovation énergétiques

Ministère des ressources naturelles et de la Faune du Québec

Government (Québec)

Shannon Claggett St. Lawrence College

Educational institution (Ontario)

Mike Comtois Northern Heat Pump

Heat pump manufacturer (Manitoba)

Andrew Cutts Anchem Sales

Refrigerant manufacturer (Ontario)

Grant Ferguson University of Saskatchewan

Educational institution (Saskatchewan)

Stéphane Gonthier Versaprofiles

Pipe manufacturer (Québec)

Glenn Kaye Maritime Geothermal

Heat pump manufacturer (New Brunswick)

Patrick Lambert Geo-Air Industries

GHP system component manufacturer (Québec)

Don Murray Enertran

Heat pump manufacturer (Ontario)

Sean Piekaar GeoFinity Manufacturing

Heat pump manufacturer (British Columbia)

Jason Pillipow Kube Solutions

Heat pump manufacturer (Nova Scotia)



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Message from the CGC

In 2005, the CGC initiated a market transformation

initiative for the geothermal heat pump industry in

Canada. CGC’s work directly led to the inclusion of

geothermal heat pumps into the ecoENERGY Retrofits

– Homes program in 2007. This resulted in hundreds

of millions of dollars invested in geothermal heat

pump installations in Canada between 2007 and 2011.

As some financial assistance programs were

scheduled to come to term in 2012, the CGC thought

it was timely to pause and consider the phenomenal

accomplishments of this industry since 2005. The idea

of engaging the industry in a roadmap exercise rapidly

emerged as an essential piece of the ongoing CGC-led

market transformation process.

After a full year of industry discussions, an amazing

number of ideas were identified to help take the

industry into the next phase of its sustainable

development. The difficult task was to go through

these ideas and pick those that best fit to help the

industry at this point in time, and translate them into

a final roadmap.

Whether they made it to the final document or not,

none of the ideas raised during the process are lost.

As we move towards implementing the actions

presented in the roadmap, we will continuously tap

into the rich and abundant source of information

contained in the working documents developed

through the initial phase.

This roadmap is different from past consultations.

Roadmap participants must be commended for their

insights as they went much further than talk about

how to address the industry’s “traditional” barriers:

high first cost, lack of training or lack of information.



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Roadmap participants discussed and identified clear

actions that can be taken by a multitude of

stakeholders. They did not create a shopping list

aimed at utilities and governments. They suggested

things that could be accomplished by the industry

itself. This is a refreshing indication of an industry

reaching a certain maturity: the debate has finally

achieved another level.

The CGC has already started implementing some of

the actions contained in this roadmap. We look

forward to working with all interested parties in

moving the Canadian geothermal heat pump industry

to new heights.

Stacey Bernier

Chairman of the Board

Canadian GeoExchange Coalition

Denis Tanguay

President & CEO

Canadian GeoExchange Coalition



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Message from the Roadmap Steering Committee Chair

As Steering Committee Chair of the Canadian

Geothermal Heat Pump (GHP) Industry Roadmap, I am

honoured to present this document and to

acknowledge the hard work of our steering

committee, workshop participants, sub-committee

groups, and CGC staff.

The Canadian GHP industry has experienced

phenomenal growth in the past five years and we

have reached a point where we must determine its

future direction. This roadmap is an industry-led

initiative that has developed a long-term vision for the

industry. It outlines the main gaps and priorities that

the industry needs to address in order to become

recognized as a mainstream solution in the heating

and cooling market by 2020.

The GHP industry is ready to take its position as a

mainstream heating and cooling solution. This

document puts forward strategies and initiatives that

can be implemented by a variety of stakeholders,

making the roadmap vision a reality.

Fraser Newton

LIMNION Geothermal Transfer Systems



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The Canadian Geothermal Heat Pump Industry

Technology Roadmap – Process Outline

November – December 2010

Preliminary phase

The roadmap proposal for the Canadian geothermal heat pump industry was discussed during the Utility and

Government Day following the CGC annual conference in November 2010. Participants agreed that a roadmap would

enable the geothermal industry and its stakeholders to reflect on and analyze the events of the last ten years, and

allow stakeholders to focus on the state of the industry, measure its progress, and evaluate its capacity while

identifying new areas of development.

January – March 2011

Planning and preparation phase

The preliminary and preparation phases of the roadmap process involved creating a detailed budget to forecast the

roadmap’s expenditures. CGC then conducted baseline research to determine what the most effective approaches

would be to meet with stakeholders from coast to coast. Different styles of interactive exercises were studied and

evaluated to ensure that the workshops would result in maximum outcomes of data and information. Finally, a

roadmap backgrounder and proposal was developed and sent to funding partners and a pre-selected Steering

Committee.

Steering Committee members were invited to a “phase one” planning workshop in order to define the strategic

environment of the geothermal industry in Canada and to determine a general vision, scope and purpose, as well as

priorities and timelines for the roadmap. Through key brainstorming exercises, participants established a medium-

term vision. The Steering Committee determined five areas of strengths, weaknesses, threats, and opportunities for

the Canadian geothermal heat pump industry: Technology/R&D, Training/Capacity Building, Marketing, Market

Analysis, and Policy/Regulation. These categories provided a starting point for in-depth consultation and discussion

with Canadian stakeholders and industry experts.

March 25th

2011

1st Steering Committee

Workshop

April 28th

, 2011

2nd

Steering Committee

Workshop

Steering Committee members were invited to a “scenario planning” or “visioning” workshop. This exercise sought to

support participants’ imagination and creativity and was intended as a means of mapping a range of viable strategies

for success. The exercise was not a vehicle for predicting the future. The purpose of the scenario planning exercises

was to: (1) mentally think through possible scenarios and prepare the mind for a future; (2) match the scenarios

(stories about what the future holds) with the roadmap vision; (3) formulate robust strategies that are resilient and

viable in the face of numerous scenarios.

June-July 2011

Regional Strategy Workshops

Based on the Scenario Planning Workshop, CGC was able to gather an extensive list of key industry drivers as the

foundation for its Strategy Development Workshops. Strategy workshops were held in British Columbia, Ontario,

Quebec and the Maritimes with CGC members and other industry stakeholders. The primary purpose of these

workshops was to develop objectives and intended strategies for the roadmap based on key industry drivers that had

been established by the Steering Committee. The secondary purpose was to encourage participants to brainstorm a

list of tactics that would enable the industry to implement the roadmap’s objectives and strategies.

August-October 2011

Working Group Discussions &

Review

Following the Strategy Development Workshops, industry stakeholders were asked to participate in one of three

working groups: Technology Development/R&D, Training/Capacity Building, and Marketing/Stakeholder Awareness.

The aim of the working groups was twofold: (1) thoroughly review each category and address any additional

objectives and strategies, (2) agree on specific strategies and action plans to be carried out by 2020. Finally, industry

stakeholders were invited to use an online content developer tool in order to contribute ideas, comments, and

editorial notes as well as review the first draft of the roadmap document.

November 2011 – March 2012

Final Roadmap Document

CGC has compiled all comments from the roadmap workshops and consultations into two final documents. These

documents establish a “big picture” vision for stakeholders in the Canadian GHP industry and provide concrete

direction on how to address the still-fragmented nature of the business. It highlights key industry needs, barriers to

be overcome, and articulates action plans for overcoming these barriers. The documents were reviewed and

approved by the Roadmap Steering Committee and the CGC Board of Directors before publication and distribution.



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Canadian Geothermal Heat Pump Industry

The Path Forward

The Canadian Geothermal Heat Pump (GHP) industry, including HVAC-R systems in retrofits and new residential

& commercial buildings, has experienced phenomenal growth since 2005, with five consecutive years showing

annual growth rates exceeding 40%. This growth is mainly due to the combined impact of the federal

ecoENERGY Retrofit – Homes program, provincial and utilities complementary financial assistance programs, as

well as the Canadian GeoExchange Coalition’s (CGC) rigorous national training, accreditation, and certification

program. The number of installed geothermal systems has increased eleven-fold since 1996. There are over

100,000 installations in Canada today, and CGC estimates that 11,500 systems were installed in 2010 alone

after a peak at more than 15,000 units installed in 2009.

The Canadian GHP industry enjoys numerous economic, technological, environmental, and capacity advantages

and opportunities. In addition to the industry’s exceptional growth, most of its economic impacts directly

benefit local and regional economies. CGC estimates that over 90% of a GHP system’s value is generated in

Canada, by Canadian industry stakeholders. That value includes job creation for Canadians and money spent on

Canadian products and services such as local drilling, design, and installation.

Canadians have played a key role in GHP innovation, from simultaneous heating and cooling and split systems,

to advanced design software. Canadian manufacturing capacity has risen in the last few years and the private

sector has shown world-class leadership in R&D activities. GHP technology development and research clusters

have been growing at Canadian universities, colleges, and government labs, but also increasingly so in the

private sector.

The GHP industry is also equipped with a trained and talented workforce. Through the CGC-led market

transformation initiative, CGC and industry partners have built world-class industry capacity. Accredited

professionals – currently more than 1,200 – and qualified companies are the collective backbone of the

Canadian GHP industry, delivering jobs, quality installations and energy savings to customers in all regions.

The Canadian industry is bolstered by a strong and growing trade-college and university educational network

that is shaping the next generation of GHP installers, designers, technicians and engineers. Together, these

institutions offer standardized training in GHP systems. This unique network, which currently comprises 18

institutions nation-wide, distinguishes Canada as a world leader in training and accreditation of GHP

professionals and illustrates the inclusive nature of the country’s market transformation initiative.

Stakeholders from industry, government, utilities, and academia

worked collaboratively to develop this roadmap in order to

overcome GHP industry barriers and seize opportunities in

technology development, R&D, training, capacity building,

marketing, and stakeholder awareness. Through a series of

workshops, consultations, and working groups, participants

developed the vision, identified the barriers to achieving the

vision, and articulated proposed actions for overcoming those

barriers. This document presents the key action items which emerged out of their collective work.

The Vision

Geothermal heat pumps will be recognized

as a mainstream solution in the heating

and cooling market by 2020.



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Three essential parts of the roadmap process are: (1) identifying industry priorities; (2) defining the role of the

involved stakeholder groups, as well as; (3) how they will collaborate towards achieving a common goal. This

document is the starting point; it provides stakeholders with a structured vision of the medium-term goals for

industry and identifies specific milestones and recommendations to achieve these goals.

The key areas addressed in this roadmap are illustrated below:

Over 150 individual actions were identified during the roadmap exercise. These actions were then grouped by

theme and in the end, 82 actions were retained for the roadmap document. These actions are presented at the

end of each subsection.

Despite the need for grouping and prioritization, none of the ideas raised and discussed during the roadmap

development phase are lost. The many documents produced during the process contain a wealth of

information and can remain a source of inspiration, during and after the roadmap deployment phase.

Many of the proposed actions have an impact on other actions or priorities. For example, a research outcome

can have an impact on capacity building and an outreach action could impact R&D decisions. This interaction

between priorities and actions creates a potential for new idea generation. All actions are listed in Appendix 1

including milestones and key stakeholders involvement.

In many areas, participants felt that the industry needed more information before proceeding with specific

strategies or recommendations, and suggested market research and analyses. These study topics are

summarized in section V of the Roadmap.

Roadmap participants also spent some time discussing the role of government in fostering the industry’s

sustainable development. Policy directions and recommendations are presented in Section IV and Appendix 2.

Specific industry

actions for

technology

development

and R&D

Specific industry

actions for

outreach

Specific industry

actions for

capacity

building



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The following is a simplified illustration of the roadmap outcome:

Technology

Development / R&D

1) Technology Improvements

2) Knowledge Sharing

Training and Capacity

Building

3) Training and Education

4) Awareness

Outreach 5) Stakeholder Engagement & Cooperation

6) Marketing

PRIORITIES

ACTIONS PROPOSED MARKET

RESEARCH

POLICY DIRECTIONS AND RECOMMENDATIONS



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SECTION I

TECHNOLOGY DEVELOPMENT / R&D

CONTEXT

Geothermal heat pump technology as a system is comprised of proven off-the-shelf technologies, and there is

a need to optimize their integration in order to realize a cost-effective and highly efficient system. Historically,

Canadians have played a key role in the development of GHP technology. In recent years, individuals in

universities, government labs, community colleges and in various parts of the industry have shown leadership

on geothermal heat pump system research and development activities. Not only are we witnessing an

increased level of GHP R&D activities in various parts of Canada, but there are clear signs of the emergence of

embryonic research clusters. This goes far beyond anything we have seen in the past.

The rationale for increased R&D is generally to reduce the high first cost of GHP systems, both in residential

and commercial applications. While everyone is concerned about high first cost, very few people recognize that

this barrier can be overcome from different angles. There is certainly an R&D opportunity to help reduce first

cost but, there is also a significant market structure opportunity, a design and installation opportunity, as well

as a regulatory opportunity, to name a few. Each of these opportunities carries a different weight in the

residential or in the commercial sectors.

Roadmap participants identified a number of opportunities, objectives and strategies where R&D resources can

be efficiently and productively invested. These opportunities can be grouped under the following broad

priorities: (1) technology improvements, and (2) knowledge sharing.

1. TECHNOLOGY IMPROVEMENTS

1.1 Heat pump components are an area where R&D resources could be efficiently and productively

invested in order to improve system performance and reduce costs. Many believe that the North

American GHP industry is too small to influence component manufacturers in adapting their products

to geothermal applications. However, roadmap participants argue that individual components – such as

compressors – need to be designed strictly for the GHP industry, and procedures need to be developed

to optimize their integration. Procedures might include how to use purpose-built solar assists in

combination with thermal storage to enhance overall COP.

Piping is also a system component where recent R&D activities produced extremely promising results.

Canadian pipe manufacturers have recently introduced new pipes that are lighter, more resistant, and

more thermally efficient. The introduction of nanotechnologies in piping material may open new GHP-

specific research and applications.

Environmentally friendly heat transfer fluid is seen by almost all stakeholders as conflicting with

performance objectives. Yet, individual researchers in Canada place great hopes in the use of newly

developed fluids or in the use of existing fluids in new applications. Because renewable technologies

will be increasingly compared based on their cost and environmental footprint, R&D resources must be

invested in heat transfer fluid research.



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Action 1.1.1: Explore opportunities for various hybrid low-carbon technology combinations that can

leverage the benefits of GHP technology; streamline the installation process in the

residential sector through greater penetration of hybrid systems; demonstrate the

feasibility of hybrid systems in various regions

Action 1.1.2 Work in cooperation with component manufacturers to design components which are

sensitive to geo demands: air coils, reversing valves, check valves, coaxial coils,

compressors, etc. Create a program for manufacturers that will aid in determining the

matching of compressors to various types of evaporators and condensers

Action 1.1.3: Establish a mechanism by which manufacturers can speed up the R&D patent process

1.2 R&D within the design strategy itself is often forgotten. Nevertheless, this is seen as an important area

where more research is needed. Careful design that emphasizes “right sizing” can be an effective

means of overcoming barriers. For instance, system design and site investigations are often poorly

matched. The level of testing is not standard for similar sized developments and investment in site

investigations is not necessarily rational.

Many geothermal systems, particularly small residential systems, could be made simpler. Also, there is

no clear definition as to whether additional test drilling is warranted, when a geologist should be

contacted, or what level of thermal response testing is necessary for a given development in a given

environment. Roadmap participants called for increased R&D within the design strategy as well as

increased emphasis on the design differences in residential vs. commercial systems. The limiting factors

of costly and less efficient units call for research to simplify system design and streamline the

installation process. This includes streamlining the process of organizing work teams who have no

reason to work together other than geothermal. Participants expressed a need for thoughtful and

structured support for a class of simplified systems. They also called for more pre-fabrication of

standard components in shop and less fabrication on site to improve quality control and reduce costs.

Action 1.2.1: Characterize and emphasize the design similarities and differences in residential vs.

commercial systems

Action 1.2.2: Develop increased standards for Formation Thermal Conductivity testing

Action 1.2.3: Intensively investigate a sample of selected systems prior to installation to determine

which tests were most useful

Action 1.2.4: CGC to work in cooperation with manufacturers to adapt its standard commissioning

report for equipment to ensure that the equipment is functioning per equipment

design

Action 1.2.5: Create a software program that will determine the best system for the site and analyze

system design versus actual system performance

Action 1.2.6: Encourage manufacturers to have more pre-fabrication of standard components and

create “boxed system” equipment

Action 1.2.7: Develop standardized project management tools and recommendations

1.3 There is a general consensus that the drilling equipment used in the GHP industry is not designed for

the purpose of drilling geothermal boreholes. Heavy and intrusive water well drilling equipment is used

on most geothermal sites. This is a major barrier to the industry development in densely populated

urban areas where access to work space is limited. Furthermore, the relatively small scale of the GHP

industry and the lucrative mining and petroleum sectors are believed to keep drilling equipment

manufacturers and drillers uninterested in geothermal drilling. But this is changing. In recent years, we

have seen lighter and smaller drilling equipment successfully enter the market. Some came from



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Europe, but some was developed here in Canada. Roadmap participants discussed the need to attract

and leverage Canada’s immense drilling talent and expertise in order to improve drilling methods and

decrease costs within the GHP industry.

Action 1.3.1: Put in place well funded, carefully targeted, deftly coordinated research that can

attract interest of the best drilling talent

Action 1.3.2: Reach existing drillers of all types to explore industry opportunity and help deploy

lower-cost drilling technology adapted for GHP

1.4 Groundwater and aquifer protection is an issue that must be dealt with. Groundwater can be affected

by drilling and borehole construction practices, by heat transport away from geothermal systems, by

loss of working fluids, as well as by the poor design and operation of open loop systems. For this

reason, the industry is attracting ever more scrutiny relating to environmental practices. Without

adequate awareness, care, and attention to groundwater protection and other environmental

protection concerns, the industry is at risk of constraining itself to the permanent margin. R&D

resources must be invested in monitoring as well as developing better subsurface characterization and

site investigations that protect aquifers.

Action 1.4.1: More consistently apply tools and techniques for standardised subsurface

characterizations and testing routines, scientifically-based site investigation guidelines

leading to logical environmental regulations, and logical drilling regulations that protect

groundwater aquifers

Action 1.4.2: Engage further with provincial groundwater associations to establish critical concern

for aquifer protection and define R&D needs

Action 1.4.3: Intensively monitor a few sites to determine how site investigations match expected

long-term performance

Action 1.4.4: Conduct environmental monitoring around selected sites to establish environmental

impacts or lack thereof

Action 1.4.5: Continue to build regulatory summary document for each province and continue work

with provincial governments to define best regulatory practices across provinces



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2. KNOWLEDGE SHARING

2.1 There is a lack of dissemination of research results both in industry and academia. Stakeholders suggest

that research should encourage partnerships between the industry and R&D organizations and

expressed the need to create bridges between the industry and the research community.

Action 2.1.1: Establish a mechanism to better identify and publicize the technical innovations that

decrease the cost of systems

Action 2.1.2: Provide accessible tax consultant services for companies to claim innovation tax credits

Action 2.1.3: Make an inventory of R&D efforts in Canadian and US labs; develop a R&D library;

make an inventory of R&D fund providers and establish who is funding what; establish

a process to determine where R&D is needed

Action 2.1.4: Create a network of technical information for all stakeholders and a national

committee for the dissemination of knowledge; create activities to share innovations

and disseminate information (ex: technology contest)

Action 2.1.5: Continue to encourage industry co-funding of R&D activities and leverage matching

fund programs

Action 2.1.6: Continue to encourage academics to attend CGC & industry events

Action 2.1.7: Emphasize market-ready R&D and technologies developed by industry and more

creative research from academia

2.2 Technology improvements tend to stagnate in the GHP industry. Most of the R&D at research

organizations takes years before reaching commercialization and market adoption. Technology

improvements emerging from industry also take years before being tested and validated by scientists in

controlled environments and under established research protocols. The industry must take more

leadership in guiding the research process in order to achieve market-ready objectives.

Action 2.2.1: Engage all national and extra-territorial research organisations in coordinated R&D

activities with the objective of fostering long-term partnerships with industry or

associations where research is deployed

Action 2.2.2: Create bridges between the GHP industry and R&D organizations and hold joint events;

create bridges between the GHP industry and engineering associations

2.3 Some geology and engineering faculties in Canadian universities are studying specific components of

GHP systems. We are seeing emerging research in such areas as loop field configuration, ground

conditions and soil conductivity, DX applications, and technology integration. Furthermore, business

school students and faculty are showing an interest in the financial perspective of GHPs, and are

analyzing financing models and opportunities. Canadian community colleges are also actively engaged

in the delivery of courses on design and installation of GHP systems, sometimes through existing

building technician or engineering technician programs. Many are equipped with GHP systems used for

teaching and R&D activities. Roadmap participants call for partnerships between the industry and R&D

at colleges and universities which facilitate communication and foster a more practical emphasis.

Action 2.3.1: Develop a research fund managed by CGC and supported by industry member

contributions; expand bursary programs; joint internship between universities and

industry partners

Action 2.3.2: Component manufacturers to fund a lab where industry can improve design and test

new technologies that would work in the GHP industry: gases, compressors, heat

transfer liquids, pumps, piping types, controls etc



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Action 2.3.3: Facilitate communication between university researchers and the industry by staging

an R&D summit involving CGC stakeholders/ members and representatives of various

research organizations

Summary of CGC Current R&D Activities

� Ongoing metering project on commercial and residential buildings throughout Canada

� A comprehensive analysis of various grouts for permeability and thermal conductivity

� Maintenance of the world’s largest database of residential geothermal heat pump systems –

16,000 systems to date

� Ongoing development of state of the art design software intended to help installers and small

manufacturers

� Commercial design software to be released in 2012

� Integrated GIS mapping and database capabilities to conduct scientifically rigorous environmental

impact analysis, using proprietary GHG analysis tools and algorithms

� In-house market based research abilities and data collection tools



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SECTION II

TRAINING & CAPACITY BUILDING

CONTEXT

Thanks to the joint efforts of the Federal Government and electric utilities such as Hydro-Québec, Manitoba

Hydro, BC Hydro, SaskPower and Yukon Energy, the CGC developed and deployed the most advanced and

diversified training program for GHP practitioners in the world. Since the deployment of the Global Quality

GeoExchange Program in 2007, over 6,000 individuals have been trained in Canada by Canadians and to

Canadian standards. Of these trainees, CGC has accredited 700 residential installers and 500 residential

designers.

Since 2006, 18 colleges and universities have joined the CGC Education and Training Network as a means to

bring the next generation of industry practitioners into the GHP industry. Today, hundreds of college students

have passed the CGC Installer’s Course and the CGC Residential Designer’s Course. The CGC training curriculum

is increasingly incorporated by colleges and technical schools into their programs as stand-alone courses or

within existing courses.

Training and education of industry practitioners is the cornerstone of industry growth. But working on the

supply side of skilled workforce is not sufficient. Barrier removal depends largely on capacity building for a

whole set of stakeholders such as regulators, municipal and building inspectors, customers and others who all

play a role in promoting or regulating GHP technology.

Roadmap participants identified a number of opportunities where capacity building efforts can be effectively

focused. These opportunities fall under two overarching priorities affecting two broad groups of individuals: (1)

training and education, and (2) stakeholder awareness.

3. TRAINING AND EDUCATION

3.1 Although quality training for active industry practitioners has come a long way, roadmap participants

expressed the need to re-evaluate and expand GHP training in order to address current gaps ranging

from more regional variations to increased emphasis on hands-on training. They also expressed the

need to mandate and enforce quality training.

Action 3.1.1: Continue the development of continuing education courses for industry (geology,

thermal conductivity testing, software design, business management, municipal

inspections, etc.)

Action 3.1.2: CGC to work with manufacturers and installers to develop industry “Technical

Education Units” program

Action 3.1.3: Encourage people to stay trained and up to date through initiatives like industry

association-driven conferences & regional training as continuing education credit



17

3.2 Securing and increasing skilled labour in the geothermal industry is an opportunity where training and

capacity building efforts can be effectively focused. This includes establishing stronger ties with trade

associations and obtaining recognition of required skills for all parties involved, increasing

opportunities to obtain these required skills (including transferrable skills), and increased knowledge

dissemination in order to provide a deeper understanding of the industry.

Action 3.2.1: Establish formal linkages with trade associations to offer continuing training sessions to

their members

Action 3.2.2: Working in conjunction with CGC members and CGC Qualified Companies to provide

more practical hands-on training through an apprenticeship-like program where

students are visually stimulated and have the opportunity to draw on different

competencies

3.3 The recognition of geothermal as a skilled trade is a delicate issue when dealing with training and

capacity building. On one hand, in establishing a trade, the industry is trying to include content into

what is already a crowded trade program, and people would be required to obtain additional

knowledge and skills that they do not need in order to perform their job. On the other hand, some

stakeholders maintain that geothermal must become a Red Seal trade in order to establish its

reputation as a stand-alone profession.

Action 3.3.1: Review and update the GeoExchange Installer National Occupational Standard

developed in 2009 by the CGC and industry stakeholders as needed

Action 3.3.2: Building on work done by the CGC and the Electricity Sector Council, define the scope

of the trade; feed the results into policy recommendations and further actions

Action 3.3.3: Address the labour challenge of specialized drilling workers and drilling companies who

are not attracted to the GHP industry while wages and revenues in the mining and

petroleum sectors are soaring

Action 3.3.4: Put mechanisms in place that ensure workers can build on their existing skills as the

markets change. Make sure that the absence of regulations or the lack of regulatory

enforcement does not harm current industry workforce. Secure and increase skilled

labour for the geothermal industry

3.4 Canadian community colleges and universities are actively engaged in training on design and

installation of GHPs, and many institutions also have teaching facilities with GHPs at their disposal.

They benefit immensely from the industry’s training infrastructure and can, in turn, provide essential

feedback on course content and further development. Colleges and universities need increased support

in determining how they fit into the overall industry training framework in order to support the

industry.

Action 3.4.1: Create an industry/college/university task group to develop and put in place a feedback

mechanism to keep colleges/universities up to date on industry needs

Action 3.4.2: Identify champions in colleges/universities with the goal of expanding & reinforcing the

CGC Education and Training Network



18

3.5 Adequate training and recognition of competent registered professionals such as engineers and hydro-

geologists is a growing industry concern. GHP industry stakeholders – including insurance executives

and others such as professional engineer organisations – have increasingly expressed concern about

private designations delivered to non-engineers or other legally recognized professionals. This situation

confuses the industry and customers, encourages disrespect for existing regulation, and enables under-

qualified parties to undercut the fees of fully certified professionals, illegally competing against them.

Action 3.5.1: Clarify and promote legislative and regulatory requirements regarding ground loop

design for commercial projects in each province

Action 3.5.2: Finalize the guidelines of the CGC Commercial Designer Accreditation and deploy

Action 3.5.3: Provide and promote more installer and designer training courses geared towards

architects, engineers and geoscientists involved in GHP projects

CGC Training within the Global Quality GeoExchange Program

� CGC – Installers' Course (3 days or 45 college hours)

� CGC – Residential Designers' Course (3 days or 45 college hours)

� CGC – Commercial Designers' Course (4 days or 45 university hours)

� CGC – Municipal Inspectors’ Course (2 days)

� CGC – Direct Expansion Installer’s Course (2 days)

� CGC – Geology Workshop (2 days)

� CGC – Commercial Loop Installation Course (4 days – Upcoming spring 2012)

� CGC – Conductivity and Soil Thermal Response (2 days – Upcoming 2012)

� CGC – Thermal Storage (2 days – Upcoming 2012)

� CGC – District GHP Energy Systems (2 days – Under development)

� CGC – Materials Handling and Safety (1 day – Under development)



19

4. AWARENESS

4.1 Ensuring consistent, clear requirements for

municipalities is a key opportunity raised by

stakeholders. Given the investment in

system installation and its extent in

commercial, institutional, and municipal

settings, it is imperative that there be

systematic inspections of geothermal

systems, clear monitoring and efficiency

criteria, as well as a distinct mechanism and

understanding of how municipalities employ

building inspectors. There is a clear need

identified for capacity building for municipal

employees, specifically building officials and

inspectors, so they can play a meaningful

and positive role in the deployment of GHP

technology.

Action 4.1.1: Building on the training MOU between the CGC and OBOA, establish relationships with

municipal inspector organizations in all provinces and offer the CGC municipal

inspector course

Action 4.1.2: Complete the development specific educational tools for municipal inspectors and

deploy

Action 4.1.3: Engage CGC staff in specific municipal outreach activities including visits and

conferences

4.2 It will be exceedingly difficult to label geothermal engineering as a specific profession. Furthermore,

there is no regulation of specific engineering or geo science disciplines in most cases; professionals are

expected to practice within their own area of expertise and not beyond it. Nevertheless, there are

steps that can and should be taken to legitimize engineering professional expertise for geothermal

work.

Action 4.2.1: Design sound implementation practices for commercial installations that teach

multidisciplinary teams how to get organized and work together

Action 4.2.2: Incorporate GHP streams or programs into more university engineering faculties

(geology, mechanical, civil engineering)

Action 4.2.3: Establish closer relationship with Engineers Canada and Geoscientists Canada to define

GHP industry requirements

Action 4.2.4: Develop an understanding between the CGC and engineering /geoscience organizations

to ensure that proper training delivered by recognized professionals and additional

certification are available to these professionals

4.3 GHP systems represent significant investment for homeowners. Yet, when time comes to sell their

house, homeowners may not get the full value of this investment as realtors working for the seller and

the buyer may not have a full understanding of the advantages offered by the system. Realtor training

and capacity building is seen by many as a key element of preserving GHP system value while

contributing to general public awareness. There is a need to build realtor confidence in geothermal

systems and make them advocates of the technology.

CGC Municipal Toolkit Available Now

� A model inspection routine for building

inspectors

� A 50-page document with prioritized

recommendations for municipal policymakers

document to adopt GSHP technology

� A model municipal bylaw for Canadian

municipalities

� A two-day training course specifically

designed for municipal inspectors



20

Action 4.3.1: Develop and deploy nation-wide specific workshop for realtors and work with the

Canadian Real Estate Association to include GHP in the Multiple Listing Service®

research tools

4.4 Roadmap participants concluded that there is a general lack of knowledge about GHP within the

population in general but also within many stakeholder categories. This lack of awareness is largely due

to the absence of adapted materials to fit the needs of a variety of backgrounds, skills and interests in

GHP. For example, there could be huge benefits for the industry in teaching GHP basics to business

students & businesses as a means to increase their general awareness about the benefits of the

technology. Architects and construction managers were also identified as key stakeholders.

Action 4.4.1 Identify market segments in need of adapted educational and awareness material

Action 4.4.2: Develop adapted training modules for different market segments

CGC Education and Training Network

� Durham College (2008)

� St-Lawrence College (2008)

� Lakeland College (2008)

� Cambrian College (2008)

� Mohawk College (2009)

� Centennial College (2009)

� Collège communautaire du Nouveau-Brunswick (CCNB) (2009)

� Vancouver Island University (2009)

� New-Brunswick Community College (2009)

� SAIT Polytechnic (2010)

� Nova Scotia Community College (NSCC) (2010)

� Conestoga College (2010)

� Northern Lights College (2010)

� SAIT Polytechnic (2010)

� Okanagan College (2010)

� British Columbia Institute of Technology (BCIT) (2010)

� Sault College (2010)

� CEGEP de Sherbrooke (2010)

� Holland College (2011)



21

SECTION III

OUTREACH

CONTEXT

The Canadian GHP industry is small but dynamic. Canada has come a long way in marketing and raising

awareness of GHP technology. Thanks in part to education and promotion, the industry has experienced

phenomenal growth in the last five years. The number of installed GHP systems annually has increased eleven-

fold since 1996 – there are over 100,000 installations in Canada today – and CGC estimates that over 15,000

systems were installed in 2009 and 11,500 in 2010.

As the Canadian GHP industry is small, stakeholders have to be careful not to promote private interests over

industry-wide needs. Currently many technical and financial resources are wasted in duplicative and un-

coordinated activities within the GHP industry. Although GHP technology is much more widely recognized and

respected than it was a decade ago, there is a lack of engagement and collaboration between stakeholders. A

more collaborative approach is bound to foster the growth of the industry.

Roadmap participants identified a number of opportunities where outreach efforts can be effectively focused.

These opportunities fall under two overarching priorities: (1) stakeholder engagement & cooperation, and (2)

marketing.

5. STAKEHOLDER ENGAGEMENT & COOPERATION

5.1 Roadmap participants see a need to engage stakeholders and foster collaboration through strategic

alliances with capable organisations. This can be achieved through cooperation with like-minded

independent organizations with a demonstrated track record of professional behaviour. The objective

is to further the advancement of geothermal knowledge, implementation, best practices, innovation,

and education.

Action 5.1.1: Complete a scan of the construction and energy sectors to identify GHP industry key

strategic partners who show adequate capabilities and resources to engage with a clear

value-added business proposal

Action 5.1.2: Engage or re-engage with potential partners to define strategic plans and coordinated

market interventions with clear objectives in place for each stakeholder’s involvement

Action 5.1.3: Foster strategic alliances with stakeholders in other renewable energy industries, to

have them be advocates of geothermal energy, and advertise GHP alongside solar &

wind energy

Action 5.1.4: Update the business proposal for GHP (residential and commercial applications) in all

Canadian provinces using current market data and covering all economic and

environmental aspects of GHP

Action 5.1.5: Based on the updated business proposals, engage formal discussions with utilities and

governments in all provinces to develop and adapt market intervention strategies to

consolidate current market transformation efforts

Action 5.1.6: Increase cooperation and coordination with provincial groundwater associations



22

5.2 Another area of opportunity involves consistent messaging to all stakeholders and clear

communication to all customer groups. This can be applied throughout the value chain; from the

moment a client begins researching the technology, to the moment their GHP is fully operational.

Action 5.2.1: Mapping of inter-related stakeholder groups on both the design and installation side

(technical associations, regulators, trades groups, suppliers, etc.) and owner/operator

side (developers, real estate, financial, etc.)

Action 5.2.2: Develop long-term relationships with retailers, lenders, credit unions and financial

institutions to create GHP-specific advantages: mortgages, rates, inclusive broader risk

coverage, etc.

Action 5.2.3: Foster collaboration between builders, real-estate agents, designers, installers, and

engineers

5.3 Historically, the majority of GHP systems in Canada have been installed in the residential sector.

However, participants see an increasing level of activity in commercial applications and larger buildings.

Roadmap participants argued that broader stakeholder engagement and collaboration is increasingly

important when considering their potential impact in municipal, commercial, and institutional markets,

including district energy systems. They also called for a unified and consistent message.

Action 5.3.1: Assist CGC members and CGC Qualified Companies in fostering honest relationships

with customers, including informing customers of actual cost & timeframe of

installation, and clearly & honestly identifying potential energy and financial savings

Action 5.3.2: Create and propose a credible business case for developers to use GHP systems as a

primary heating and A/C source for new homes

Action 5.3.3: Create specific business cases, technical cases (especially hybrid systems) and

messaging tools for the industry to work in sync with other stakeholders when

targeting municipal, commercial, institutional and district energy systems in addition to

residential homes (including new construction)



23

CGC Strategic Partnerships and Cooperation Agreements

Throughout the years, CGC has engaged in strategic alliances and partnerships with a number of

organisations, companies and governments with the purpose of leveraging and pooling resources

to expand GHP technology awareness in Canada and abroad.

CGC actively participated in the Energy Dialogue Group (dismantled in 2008) an association of 19

national energy industry associations with a focus to encourage a broader debate about energy

policy across the political spectrum as well as other groups including energy officials, regulators

and stakeholders. CGC successfully positioned GHP technology as a strategic energy option for

Canada.

CGC is a founding member of the Canadian Renewable Energy Industry Network (CREIN) along

with the Canadian Hydropower Association, the Canadian Wind Energy Association and the

Canadian Solar Industry Association. The four associations work together under a common banner

to promote renewable sources of energy and to contribute to renewable energy policy-making,

whilst maintaining their respective independence and autonomy as national organizations.

CGC has been an active member of QUEST (Quality Urban Energy Systems of Tomorrow) since its

inception and introduced GHP technology as one of the key energy supply and demand options for

sustainable urban energy systems. QUEST started as a group of like-minded independent

organizations agreeing on a vision for communities in Canada. QUEST recently moved forward in

establishing itself as a not-for-profit corporation in order to effectively move the agenda forward

and facilitate communication with stakeholders and governments.

CGC also has ongoing relationships, cooperation agreements, and training memoranda of

understanding with the following independent organizations:

� Association québécoise pour la maitrise de l’énergie (AQME)

� Canadian District Energy Association (CDEA)

� Canadian Geothermal Energy Association (CanGEA)

� CleanEnergy Developments

� Corporation des entreprises de traitement de l’air et du froid (CETAF)

� Corporation des maîtres mécaniciens en tuyauterie du Québec (CMMTQ)

� Canadian Water and Wastewater Association (CWWA)

� GeoSmart Energy

� Government of Gangwon Province, Republic of Korea

� Groupe Master

� Heating, Refrigeration & Air Conditioning Institute of Canada (HRAI)

� MENA Geothermal (Ramallah, Palestine)

� Northern Heat Pump

� Ontario Building Officials Association (OBOA)

� WADE Canada

� WaterFurnace Renewable Energy



24

6. MARKETING

6.1 An increasing number of Canadian individuals and companies are aware of GHP technology and its

benefits. However, a public will not demand a technology if they have not heard of it, do not

understand it, or cannot clearly see the business case for it. Increased education through schools,

training programs, events, lobbying, and media strengthen the case for the technology and stimulates

further market penetration.

Action 6.1.1: Create more educational tools on GHP geared towards homeowners

Action 6.1.2: Develop a communication campaign to confirm and reaffirm the support of all levels of

government on the importance of the technological developments and economic

benefits of GHP technology

Action 6.1.3: Encourage educators to take a proactive role in awareness-raising and program

development in schools; foster awareness of GHP from the elementary school to

college/university levels

Action 6.1.4: Establish a strong business case & marketing strategy enabling colleges/universities to

attract students and justify the investment of setting up a curriculum

6.2 Another area of interest revolves around semantics. Many Canadians do not easily distinguish ‘ground

source heat pump’ from ‘geothermal power’, ‘geothermal heating’, or ‘geoexchange’. Roadmap

participants expressed the need to ensure customers can differentiate between a GHP and geo-power

electricity production.

Action 6.2.1: Put together a unified marketing strategy, with a comprehensive sales pitch and

consistent message that promote our Canadian industry

Action 6.2.2: Define and market GHP as a renewable source of energy along with wind, solar and

biogas; equate installing GHP with environmental and social responsibility; produce

specific factsheets

Action 6.2.3: CGC to publish more case studies and showcase installations for magazines and

newspaper features

Action 6.2.4: Create a database that records the GHG emissions avoided per annum per province

and federally

6.3 Scarce or conflicting information can de-legitimize a technology and/or industry. Stakeholders see a

need for a ‘one-stop-shop’ process for the customer as a means of propelling the industry to the status

of mainstream solution in the heating and cooling market.

Action 6.3.1: Create a centralized source of information for all stakeholders, particularly customers

Action 6.3.2: Focus on municipal, commercial, institutional and district energy systems in addition to

residential homes

Action 6.3.3: Develop more national promotional material and educational tools

Action 6.3.4: Develop advertising campaigns that feature industry standards, energy efficiency, and

the green aspect of the industry

Action 6.3.5: Develop a customized procurement process that falls outside current construction

procurement practices



25

6.4 There are many ways of designing and installing a GHP system. Because of the many options available,

there is often a wide variation in system pricing which creates confusion for customers. There is a need

to better inform customers of the technical and regulatory reasons why such apparent contradictions

exist. Discussion centered on enabling a seamless installation process for the customer.

Action 6.4.1: Create consumer awareness through basic education using social media such as

Twitter, YouTube and Facebook; look to other clean technology companies that have

succeeded in using these methods

Action 6.4.2: Develop customer literature to market GHP as an investment, not an expense, with the

focus on the free energy produced by the loop

CGC Customer Oriented Products and Activities

� Consumer loan financing program through TD Financial Services since 2008.

� Publication in 2009 of a 32-page document to help customer in their decision to acquire a GHP

system: A Buyer’s Guide for Residential Ground source Heat Pump Systems.

� A 24-week national marketing campaign on The Weather Network and MétéoMédia helping

installation companies offer their services locally within national marketing strategy framework. A

total of 8,339,000 potential customers were reached each week in 1,100 regional markets across

Canada.



26

SECTION IV

GEOTHERMAL HEAT PUMP TECHNOLOGY POLICY

While the industry has known some success in the recent past, it is still by many markers in its infancy. Policy

remains scattered or disjointed, and by and large does not address GHP industry needs systematically across

provinces or sometimes even within provinces. Companies currently undergo a very high transaction cost in

many areas. An analysis of these transaction costs is outside the scope of the present document but remains a

high priority for the industry.

Throughout the period since 2007, governments generally did a good job at not harming industry growth or

choosing winners. However generally governments have not taken comprehensive steps based on best-

available thinking, either. Without adequate information, most governments have acted with prudence.

The policy innovation that most – but not

all – Canadian governments have

supported has been to require CGC’s

industry led quality program (i.e.

requiring CGC System Certification) for

work executed in their jurisdiction.

Concurrently with this requirement, and

subsidies, Canada’s GHP installation rate

growth usually led the world.

Today the industry is supported by 474

CGC qualified companies who employ

about 1,145 CGC accredited professionals.

This qualified workforce now installs

thousands of GHP systems every year, all as the result of an industry-led market transformation initiative

supported by NRCan and two or three key provincial government partners. In addition to their important

investment in training and education, contractors, distributors and manufacturers nationwide have invested

tens if not hundreds of thousands of dollars in the promotion and marketing of GHP products.

After years of integrated, coherent and solid market transformation activities, CGC statistical analysis implies

that the industry still needs to be somewhat supported by grants, funding and policy changes. Enlightened

government decisions from all levels can maintain or restore confidence to Canadian companies and

homeowners in the wake of many of these programs, and keep the industry healthy and growing.

Today, GHP technology is emerging strongly as a viable option to traditional methods of heating and cooling.

While much has been done, a lot remains to be accomplished if we are to call our common market

transformation effort a full success.

GHP technology is unique, with efficiencies ranging from 250 % to over 400 % for an affordable homeowner

investment. Since GHP systems are a source of clean and renewable energy, we believe that they should also

be treated on a level playing field along with other renewable sources such as solar and wind. The

environmental and economic benefits of installing a GHP system in new and existing buildings alike are positive

all over Canada.

86%

12%2%

Yes

No

Don't know

Do you think the CGC should maintain its Global Quality Program (training,

accreditation and company qualification) despite the end of the ecoENERGY

program?

CGC National GHP Industry Survey 2011



27

A comprehensive study released by the

CGC in April 2010 demonstrates that GHP

systems have a significant GHG emissions

reduction potential. The results of the

study confirm the recurring advantages in

GHG emission reductions arising from the

conversion of a conventional heating

system to a GHP system. For example, if

only 2% of Canadian single-family homes

were to convert to a GHP system for their

heating needs, a potential country-wide

emissions reduction of 376,000 tons of

CO2 eq. would be possible. This is

equivalent to removing nearly 112,000

automobiles from our roads.

More importantly, GHP systems can also play a key and strategic role in the new built environment. Although

the construction industry has developed the capacity to build highly efficient homes, the installation of heat

pump and other renewable energy systems will be required in order to move those homes higher on the

EnerGuide scale. Although a system of high efficiency labels for new homes will create a market driven

incentive, a financial assistance program to help implement renewable technologies in new homes would likely

accelerate this market transformation and enhance the labeling system.

Perhaps the time has come to implement a specific program for GHP technology under the “renewable energy”

umbrella for both retrofits and new homes. We are convinced that this could help governments reach their

renewable energy objectives, particularly in the context of energy efficient buildings, and simultaneously

address the concerns and needs of our industry.

CGC members and industry stakeholders have witnessed, with satisfaction, the efforts that were deployed by

governments to improve the efficient use of our energy resources. They have regularly expressed their hopes

that governments will expand their programs to consolidate our emerging yet fragile renewable energy

industry. They have shared a number of issues and fears. However, they have also identified numerous

interesting ideas which we feel could assist governments in fostering economic growth while preserving and

creating jobs in the renewable industry sector everywhere in Canada.

24%

69%

8%

Yes

No

Don't know

Do you think there should be a separate accreditation and certification

program for utilities, provincial and federal assistance programs?


CGC Global Quality GeoExchange Program – Highlights

� Over 16,000 residential systems certified since 2007

� Close to 6,000 individuals took CGC training since 2007

� 659 individuals are currently listed as CGC Accredited Installer

� 486 individuals are currently listed as CGC Accredited Residential Designers

� 474 companies are fully qualified under the CGC Program



28

The recommendations presented in

Appendix 2 emerged from the roadmap

process as well as from other CGC

national consultations conducted in

recent years. They are organised into

actionable recommendations for federal,

provincial and municipal governments as

well as utilities. They are deliberately

presented without prioritization.

92%

6% 2%

Yes

No

Don't know

Do you think there should be an extension of the ecoENERGY program for

residential retrofits and a new national financial assistance program similar

to the ecoENERGY program but for new homes?


84%

10%

6%

Yes

No

Don't know

Do you think there should be a new financial assistance program for

commercial applications?




29

SECTION V

PROPOSED MARKET RESEARCH

During the roadmap development process, participants felt that the industry needed better information and

analysis covering a variety of topics and issues. The scope of such studies and market research often goes

beyond the narrow focus of the individual strategies and actions identified throughout the roadmap document.

Topics have been synthesized and grouped as follows.

Study 1 Complete an exhaustive study regarding drilling capacity within the Canadian GHP industry. The scope of

the proposed study includes: (1) comparing the capital and operating costs of different drilling technologies

and their relation to the cost of GHP systems; (2) assessment of the current and potential market for

specialized drill rigs; (3) scoping analysis for R&D to reduce drilling costs; (4) exploring and understanding

the interest of drillers in working (or not) in the GHP sector in order to target specific R&D areas; (5) assess

the need to define a specific geothermal drilling sub-sector.

Study 2 Conduct a detailed cost analysis of GHP system major components (drilling, digging, installation, design)

including energy distribution (ductwork, hydronic) for all system types by loop type.

Study 3 Conduct a thorough systems analysis (financial and technical) of both the heat pump and the range of

applications under which it is expected to operate to identify which components/areas need improvement.

Study 4 Complete a study of GHP economic benefits for Canada: R&D, spin-offs, jobs, taxes, etc.

Study 5 Make a complete inventory of regulatory (municipal, provincial and federal) requirements for different

GHP systems and applications. The purpose of this study would be to provide guidelines, instructions and

rules to which the installer would be subject prior to bidding.

Study 6 Complete a thorough economic analysis of existing residential and commercial energy prices, rates and

tariffs throughout Canada to establish where GHP sits at a range of electricity prices compared to the cost

of heating, oil, natural gas, propane, etc. Extend the analysis to the dynamics of regional electricity markets

to see what effects fluctuations in relative energy prices have on GHP development and to identify areas

where high electricity prices are most problematic.

Study 7 Complete a study of different financial models such as public benefits charges, local improvement charges,

mass purchases combined with lease arrangements, etc. Contrast the result of this study with an analysis

of relative energy prices in order to assess the total resources allocation and costs of the different financial

options. Present options for discussions with developers, municipalities and utilities.

Study 8 Conduct human health and ecological risk assessments on various antifreeze and heat transfer fluids used

in the GHP industry in order to get a multi-stakeholder common understanding of the issues.

Study 9 Complete a market analysis to determine circumstances where hybrid systems are most suitable with the

goal to encourage coordinated support of innovative combinations.

Study 10 Address total system integration by looking at how GHPs fit into the overall energy supply system from

primary energy production through to the actual services provided, including potential synergies.



30

Study 11 Develop a ‘model’ that provides a real measurement of the energy produced by a GX system more to a

standard measure such as kW (for capacity) and kWh (for energy) to facilitate easy comparison to other

energy forms.

Study 12 Conduct a mapping exercise in urban areas to determine favourable geological conditions for GX

installations (high thermal conductivity and ease of drilling).

Study 13 Complete an extensive labour study on required core competencies for all work related to the design and

installation of GHP systems in all market segments and in all Canadian provinces. The study should include

specific focus on: (1) defining the linkages in refrigeration, controls, cooling, heating, sheet metal, etc..; (2)

analysing the different types of training available (and needed) including skilled trades, engineer and

manufacturer training and assess future requirements; (3) analysing what other organizations in other

jurisdictions are covering in training requirements and, more importantly, what they are not covering.

Study 14 Perform comprehensive market research to determine the factors governing heating system selection for

home owners. Research how marketing and awareness-building is done in each province. The study would

include: (1) market research in order to determine our stakeholder demographic (students, installers,

customers); (2) which organizations have a stake in the area and have not been involved. Determine which

markets we need to penetrate, and retain an environmental marketing firm to develop overall public

engagement / marketing strategy.



31

Recent Studies, Market Analysis and Articles Prepared by

the CGC Research Unit

� Marketing Geothermal Heat Pump Systems to Residential Customers (2011 – 8 pages)

� Global Perspectives on GSHP Technology, Markets and Applications: A Bright Future for a

Flexible Technology (2011 – 10 pages)

� Evaluating Environmental Benefits of Ground Source Heat Pumps: The Strengths and

Weaknesses of COP and SCOP (2011 – 10 pages)

� The Effectiveness, Efficiency and Burden of Regulation in a Market Transformation Process:

the Case of Canada (2011 – 11 pages)

� GSHP Market Growth in Canada: Future Opportunities, Incentive Programs and Labour

Market Strategies (2011 – 12 pages)

� Legislative/regulatory note on recent tax code changes (2011 – 3 pages)

� An Analysis of the Environmental Impact of Heat Transfer Fluids Used in the Canadian

Geothermal Heat Pump Industry (2010 – 40 pages)

� Codes, Standards and Regulations in the Canadian GeoExchange Industry: Report of a

National Consultation Conducted by the Canadian GeoExchange Coalition. (2010 – 201

pages)

� Comparative Analysis of Greenhouse Gas Emissions of Various Residential Heating Systems

in the Canadian Provinces (2010 – 64 pages)

� State of the Industry 2010 - Statistical Report and Analysis (2010 – 69 pages)

� Clarification Regarding HDPE Pipes (2010 – 4 pages)

� Safe Operating Procedure for Handling Ethanol (2010 – 4 pages)

� A Marketing Research Report to Outline Challenges Concerning Consumer Awareness and

Brand Equity (2009 – 43 pages)

� Analysis of Consumer Decision Making Process (2009 – 10 pages)



32

Conclusion

This roadmap process responds to government, utility, and industry requests for a more detailed strategy

regarding the future of the Canadian GHP industry. It outlines a vision, a set of strategic goals, and actions to

reach higher levels of market penetration by 2020. However, this document is not a finished product, and the

roadmap process does not end with its publication. The next seven years will involve CGC’s regularly evolving

process that takes into account new breakthroughs in research and development, new types of policies and

collaborations, and new marketing and awareness-raising programs for customers. Actions for the industry

have been designed with milestones that allow stakeholders to focus on the state of the industry, to measure

its progress, and to evaluate its capacity. These milestones also provide a mechanism to help forecast, plan,

and coordinate industry developments, and enable policy makers and the industry to develop further.

To ensure co-ordinated efforts towards reaching the roadmap goal, stakeholder groups ideally will clearly

understand their best role in helping industry, avoid duplication and commit to achieving our common industry

goals. Roadmap participants and industry stakeholders must also continue to collaborate and pool their

resources. As a first step towards implementing roadmap actions, and to ensure constant progress, the CGC

will create and activate the following permanent member and partner committees:

� CGC Technology and R&D Committee

� CGC Capacity Building Committee

� CGC Outreach Committee

� CGC Roadmap Implementation and Monitoring Committee

The committees will work together in an ongoing fashion and undertake specific data collection, analysis,

implementation, monitoring, and co-ordination activities.



33

Appendix 1: Action Items Summary for Industry

Actions Descriptions Milestones Stakeholders

1.1.1 Explore opportunities for various hybrid low-carbon technology

combinations that can leverage the benefits of GHP technology;

streamline the installation process in the residential sector through

greater penetration of hybrid systems; demonstrate the feasibility of

hybrid systems in various regions

Technical assessment made by 2012 Q4

Document existing hybrid projects by 2013

Q2

Demonstrate new projects as needed 2013

and beyond

CGC Research Unit, CGC Technology and

R&D Committee, system designers, private

and public labs, utilities, universities

1.1.2 Work in cooperation with component manufacturers to design

components which are sensitive to geo demands: air coils, reversing

valves, check valves, coaxial coils, compressors, etc. Create a program for

manufacturers that will aid in determining the matching of compressors to

various types of evaporators and condensers

Stakeholder engagement by end of 2012 Q4

Define specific issues by end of 2013 Q2

Develop action plan as needed

Manufacturers, distributors, labs, CGC

Technology and R&D Committee

1.1.3 Establish a mechanism by which manufacturers can speed up the R&D

patent process

Consult concerned stakeholders by end of

2012 Q4 and define specific needs

Develop mechanism as needed

CGC staff with support from CGC

Technology and R&D Committee, patent

consultants

1.2.1 Characterize and emphasize the design similarities and differences in

residential vs. commercial systems

Initiate discussions in 2012 Q4

Define project parameters by 2013 Q2 and

final outcome by end of 2013 Q4

CGC Technology and R&D Committee, CGC

Capacity Building Committee, CGC Research

Unit, other interested parties

1.2.2 Develop increased standards for Formation Thermal Conductivity testing Assess existing material at CGC. Engage

stakeholders by 2013 Q1

Define standards outline by 2013 Q3

Develop guidelines by 2014

CGC Technology and R&D Committee

1.2.3 Intensively investigate a sample of selected systems prior to installation to

determine which tests were most useful

Engage stakeholders by 2013 Q1 and

develop specific action plan by 2013 Q3

Link with action 1.2.2

CGC Technology and R&D Committee, labs,

other interested parties

1.2.4 CGC to work in cooperation with manufacturers to adapt its standard

commissioning report for equipment to ensure that the equipment is

functioning per equipment design

Consult with concerned parties by 2012 Q3.

Adapt existing reports / program

requirements as needed by end of 2012 Q4

CGC staff, manufacturers, distributors

1.2.5 Create a software program that will determine the best system for the site

and analyze system design versus actual system performance

Software already exists: GeoAnalyser

Commercial version upcoming by end of

2012 Q4

CGC Research Unit and university partners



34

1.2.6 Encourage manufacturers to have more pre-fabrication of standard

components and create “boxed system” equipment

Engage stakeholders by 2012 Q4

Define needs by 2013 Q2

Develop action plan by 2013 Q4

Manufacturers, CGC Technology and R&D

Committee

1.2.7 Develop standardized project management tools and recommendations Initiate project assessment by 2013 Q1 and

propose management tool parameters and

recommendations by end of 2013 Q4

CGC Research Unit, CGC members and CGC

Technology and R&D Committee members

1.3.1 Put in place well funded, carefully targeted, deftly coordinated research

that can attract interest of the best drilling talent

Explore stakeholders’ interest by 2012 Q4

and assess need for further actions

CGC Technology and R&D Committee,

training institutions, research centers, other

stakeholders

1.3.2 Reach existing drillers of all types to explore industry opportunity and help

deploy lower-cost drilling technology adapted for GHP

Explore stakeholders’ interest by 2012 Q4

and assess need for further actions

Drilling equipment manufacturers, CGC

Technology and R&D Committee

1.4.1 Develop tools and techniques for standardised subsurface

characterizations and testing routines, scientifically-based site

investigation guidelines leading to logical environmental regulations, and

logical drilling regulations that protect groundwater aquifers

Complete needs assessment by 2013 Q2



industry associations / research groups,

provincial ministries of the environment

1.4.2 Engage with national and provincial groundwater associations to establish

critical concern for aquifer protection and define R&D needs

Consult and assess industry interest by 2012

Q4

CGC staff, provincial groundwater

associations, provincial ministries of the

environment

1.4.3 Intensively monitor a few sites to determine how site investigations match

expected long-term performance

Refine the issue and define project

parameters by 2012 Q4

Define partnership and project resources by

2013 Q1

Engage site investigations starting 2013 Q2


research institutions, universities, labs

1.4.4 Conduct environmental monitoring around selected sites to establish

environmental impacts or lack thereof

Define project parameters by 2012 Q4

Define partnership and project resources by

2013 Q1

Engage site investigations starting 2013 Q2

CGC Technology and R&D Committee, other

associations, provincial ministries of the

environment

1.4.5 Continue to build regulatory summary document for each province and

continue work with provincial governments to define best regulatory

practices across provinces

Ongoing as of 2012 Q1 CGC Research Unit, provincial ministries

2.1.1 Establish a mechanism to better identify and publicize the technical

innovations that decrease the cost of systems

Explore different avenues for information

gathering, analysis and action by 2012 Q4

Propose mechanism by 2013 Q2

CGC staff, CGC Outreach Committee, other

interested parties



35

2.1.2 Provide accessible tax consultant services for companies to claim

innovation tax credits

Consult concerned parties and complete

needs assessment by end 2012 Q3

Deploy service pending positive assessment

CGC staff

2.1.3 Make an inventory of R&D efforts in Canadian and US labs; develop a R&D

library; make an inventory of R&D fund providers and establish who is

funding what; establish a process to determine where R&D is needed

Initiate R&D scan through 2012 Q4 and

prepare formal inventory by 2013 Q2

Establish R&D needs process with

concerned stakeholders by 2013 Q4


R&D Committee, CGC Outreach Committee,

research organizations, other research

focused associations, colleges and

universities, labs

2.1.4 Create a network of technical information for all stakeholders and a

national committee for the dissemination of knowledge; create activities

to share innovations and disseminate information (ex: technology contest)

Creation of the CGC Technology and R&D

Committee

Creation of the CGC Outreach Committee

CGC staff, other industry associations

2.1.5 Continue to encourage industry co-funding of R&D activities and leverage

matching fund programs

Engage interested stakeholders by end

2012 Q2

Define R&D activities goals and expected

outcome by 2012 Q4

Design mechanism to co-fund projects by

2013 Q2

CGC Technology and R&D Committee

2.1.6 Continue to encourage academics to attend CGC & industry events Ongoing All interested parties

2.1.7 Emphasize market-ready R&D and technologies developed by industry and

more creative research from academia

Complete scan of current R&D clusters (in

private sector and academia) by end of

2012 Q4

Concurrently Identify market ready

technologies by end 2014

CGC staff, CGC Technology and R&D

Committee

2.2.1 Engage all national and extra-territorial research organisations in

coordinated R&D activities with the objective of fostering long-term

partnerships with industry or associations where research is deployed

Prepare list of organisations by end of 2012

Q3

Assess interest of parties in cooperation by

2013 Q2


CGC staff, all interested parties

2.2.2 Create bridges between the GHP industry and R&D organization and hold

joint events; create bridges between the GHP industry and engineering

associations

Complete scan of potential interested

parties by end of 2012 Q3

Engage interested parties by end of 2012

Q4 pending interest

Develop program / events / activities by

end 2013 Q4

CGC staff, other associations, labs,

universities and research centers



36

2.3.1 Develop a research fund managed by CGC and supported by industry

member contributions. Expand bursary programs, joint internship

between universities and industry partners

Scan the market for potential sources of

funding by end of 2012 Q4 and report to

CGC Board of Directors and potential

partners for further action / decision

CGC staff, CGC members, manufacturers

and distributors, other interested parties

2.3.2 Component manufacturers to fund a lab where industry can improve

design and test new technologies that would work in the GHP industry:

gases, compressors, heat transfer liquids, pumps, piping types, controls

etc.

Link to market scan in action 2.3.1

Report assessment to CGC Board of

Directors

CGC staff, CGC members, manufacturers

and distributors, other interested parties

2.3.3 Facilitate communication between university researchers and the industry

by staging an R&D summit involving CGC stakeholders/ members and

representatives of various research organizations

Create task group / committee to define

summit goal and objectives by 2012 Q3

Explore the opportunity to stage the

summit in conjunction with IEA Heat Pump

Conference in 2014 Q2

CGC staff, universities, researchers, industry

3.1.1 Continue the development of continuing education courses for industry

(geology, thermal conductivity testing, software design, business

management, municipal inspections, etc.)

Deploy at least one (1) continuing

education course in each of 2012, 2013 and

2014

CGC staff, other interested parties

3.1.2 CGC to work with manufacturers and installers to develop industry

“Technical Education Units” program

Engage discussions with stakeholders by

2012 Q4 and complete needs analysis by

2013 Q3

Develop units and deploy as needed

CGC staff, manufacturers, other interested

parties

3.1.3 Encourage people to stay trained and up to date through initiatives like

industry association-driven conferences & regional training as continuing

education credit

Assess the relevance of linking CGC Quality

Program to some form of continuing

education scheme by end of 2012 Q4

CGC staff, CGC Capacity Building Committee

3.2.1 Establish formal linkages with trade associations to offer continuing

training sessions to their members

Target at least six (6) trade associations in

six (6) provinces and offer at least one

continuing training session per association

before the end of 2013

CGC staff, provincial / national trade

associations

3.2.2 Working in conjunction with CGC members and CGC Qualified Companies

to provide more practical hands-on training through an apprenticeship-like

program where students are visually stimulated and have the opportunity

to draw on different competencies

Establish three (3) programs in at least

three (3) provinces before the end of 2013

CGC staff, CGC members, CGC qualified

companies

3.3.1 Review and update as needed the GeoExchange Installer National

Occupational Standard developed in 2009 by the CGC and industry

stakeholders

Link to Bright Futures Initiative as

appropriate

CGC staff, Electricity Sector Council, CGC

members, CGC Capacity Building Committee



37

3.3.2 Building on work done by the CGC and the Electricity Sector Council, define

the scope of the trade; feed the results into policy recommendations and

further actions

Link to Bright Futures Initiative as

appropriate

CGC staff, Electricity Sector Council, CGC

members, CGC Capacity Building Committee

3.3.3 Address the labour challenge of specialized drilling workers and drilling

companies who are not attracted to the GHP industry while wages and

revenues in the mining and petroleum sectors are soaring

Consult concerned parties and assess the

labour shortage issue in sector by 2013 Q1

CGC Capacity Building Committee, training

institutions,

3.3.4 Put mechanisms in place that ensure workers can build on their existing

skills as the markets change. Make sure that the absence of regulations or

the lack of regulatory enforcement does not harm current industry

workforce. Secure and increase skilled labour for the geothermal industry

Consult provincial and national trade

associations by end of 2013 Q2 and

establish action plan as needed

CGC Capacity Building Committee, training

institutions, Electricity Sector Council

3.4.1 Create an industry/college/university task group to develop and put in

place a feedback mechanism to keep colleges/universities up to date on

industry needs

Task group created by 2013 Q1 CGC Capacity Building Committee, CGC

Education and Training Network

3.4.2 Identify champions in colleges/universities with the goal of expanding &

reinforcing the CGC Education and Training Network

Scan education network and complete

champion list by end of 2013 Q1

CGC Capacity Building Committee, CGC

Education and Training Network

3.5.1 Clarify and promote legislative and regulatory requirements regarding

ground loop design for commercial projects in each province

Update internal research at CGC by end of

2012 Q2

Share results with industry by end 2012 Q3


R&D committee, CGC members

3.5.2 Finalize the guidelines of the CGC Commercial Designer Accreditation and

deploy

Done while preparing this roadmap CGC staff

3.5.3 Provide and promote more installer and designer training courses geared

towards architects, engineers and geoscientists involved in GHP projects

Continue to establish relationships and

awareness with professional associations

Actively deploy the CGC Commercial

Designer’s Course throughout Canada

starting in 2012 Q2

Adapt training material for new clientele by

end 2012 Q4

CGC staff

4.1.1 Building on the training MOU between the CGC and OBOA, establish

relationships with municipal inspector organizations in all provinces and

offer the CGC Municipal Inspector course

CGC to establish relationships with

municipal inspector organizations in four

(4) other provinces by end of 2013 Q2 and

five (5) others before the end of 2014 Q4

CGC, municipal associations, CGC caucus

and other associations

4.1.2 Complete the development of specific educational tools for municipal

inspectors and deploy

Package existing material and adapt as

needed for deployment by end of 2012 Q4

CGC Research Unit

4.1.3 Engage CGC staff in specific municipal outreach activities including visits

and conferences

Organize two (2) regional workshops for

municipal audience by 2013 Q2

CGC staff, CGC members, municipal

associations



38

4.2.1 Design sound implementation practices for commercial installations that

teach multidisciplinary teams how to get organized and work together

Establish project guidelines by 2012 Q3

Design intervention tools by 2013 Q4


R&D Committee, CGC members, other

interested parties

4.2.2 Incorporate GHP streams or programs into more university engineering

faculties (geology, mechanical, civil engineering)

Develop targeted communication plan by

end of 2013 Q2


colleges and universities

4.2.3 Establish closer relationship with Engineers Canada and Geoscientists

Canada, to define GHP industry requirements

Formally engage discussion by end 2012

Q3

Define cooperation guidelines, goals and

expected outcome by 2013-Q2

CGC staff, specialized associations

4.2.4 Develop an understanding between the CGC and engineering /geoscience

organizations to ensure that proper training delivered by recognized

professionals and additional certification are available to these

professionals

Inform all professional engineer

associations in Canada of the CGC

Commercial Designer Accreditation

program and related training in 2012 Q1.

Develop common messaging to reinforce

the regulatory requirements in commercial

design activities by end of 2013 Q1

CGC staff, CGC Capacity Building

Committee, specialized associations

4.3.1 Develop and deploy nation-wide specific workshop for realtors and work

with the Canadian Real Estate Association to include GHP in the Multiple

Listing Service® research tools

Workshop content finalized as of 2012 Q1

Deployment starting 2012 Q2

CGC staff

4.4.1 Identify market segments in need of adapted educational and awareness

material

Complete initial assessment by end of 2012

Q4

CGC Capacity Building Committee

4.4.2 Develop adapted training modules for different market segments Adapt / develop training modules

Deploy in at least three different market

segments starting in 2013 Q1

CGC Capacity Building Committee, other

interested parties

5.1.1 Complete a scan of the construction and energy sectors to identify GHP

industry key strategic partners who show adequate capabilities and

resources to engage with a clear value-added business proposal

Scan to be completed by end of 2012 Q4

CGC Research Unit, CGC members

5.1.2 Engage or re-engage with potential partners to define strategic plan and

coordinated market interventions with clear objectives in place for each

stakeholder’s involvement

Ongoing CGC staff, other capable organizations

5.1.3 Foster strategic alliances with stakeholders in other renewable energy

industries, to have them be advocates of geothermal energy, and advertise

GHP alongside solar & wind energy

Reaffirm the strategic partnership with

CREIN members by end 2012 Q2

Engage discussion to include other

renewable energy associations by end of

2012 Q4

CGC staff, other independent associations in

the renewable energy sector



39

5.1.4 Update the business proposal for GHP (residential and commercial

applications) in all Canadian provinces using current market data and

covering all economic and environmental aspects of GHP

Building on current CGC market research

activities, update statistical report by end

of 2012 Q4

Publish updated business propositions by

end of 2013 Q2

CGC Research Unit

5.1.5 Based on the updated business proposals, engage formal discussions with

utilities and governments in all provinces to develop and adapt market

intervention strategies to consolidate current market transformation

efforts

Follows completion of action 5.1.4

2013 Q2 and beyond

CGC staff, CGC members, utilities,

governments

5.1.6 Increase cooperation and coordination with provincial groundwater

associations

Initiate discussions in 2012 Q2 and assess

desire for cooperation.

Pending positive response, jointly assess

areas of potential cooperation by 2013 Q2

CGC staff, provincial groundwater

associations

5.2.1 Mapping of inter-related stakeholder groups on both the design and

installation side (technical associations, regulators, trades groups,

suppliers, etc.) and owner/operator side (developers, real estate, financial,

etc.)

Present mapping results by end of 2013 Q2 CGC Research Unit, CGC members

5.2.2 Develop long-term relationships with retailers, lenders, credit unions and

financial institutions to create GHP-specific advantages: mortgages, rates,

inclusive broader risk coverage, etc.

Initiate outreach in 2012 Q4 with at least

three (3) different stakeholders

CGC staff, targeted stakeholders

5.2.3 Foster collaboration between builders, real-estate agents, designers,

installers, and engineers

Develop a working model with selected

stakeholders in 2012 Q2 and Q3

Adapt, expand, and promote the model as

needed starting in 2012 Q4 and beyond

CGC staff, interested parties and

stakeholders

5.3.1 Assist CGC members and CGC Qualified Companies in fostering honest

relationships with customers, including informing customers of actual cost

& timeframe of installation; and clearly & honestly identifying potential

energy and financial savings

Define and implement CGC Quality

Program improvements by end of 2012 Q2

Develop and provide business-customer

relation tools per Quality Program updated

rules by end of 2012 Q2

CGC staff, CGC members and CGC qualified

companies

5.3.2 Create and propose a credible business case for developers to use GHP

systems as a primary heating and A/C source for new homes

Publish business case by end of 2012 Q4 CGC Research Unit, CGC Outreach

Committee



40

5.3.3 Create specific business cases, technical cases (especially hybrid systems)

and messaging tools for the industry to work in sync with other

stakeholders when targeting municipal, commercial, institutional and

district energy systems in addition to residential homes (including new

construction)

Prepare and publish two (2) business cases

by end of 2012 Q4

Publish two (2) additional business cases in

2013

Publish another two (2) additional business

cases in 2014

CGC Research Unit, CGC Outreach

Committee, other interested parties

6.1.1 Create more educational tools on GHP geared towards homeowners Design and deploy at least one product by

the end of 2012 and one more for each of

2013 and 2014


Committee

6.1.2 Develop a communication campaign to confirm and reaffirm the support

of all levels of government on the importance of the technological

developments and economic benefits of GHP technology

Develop communication plan by end of

2012 Q4

Seek resources and deploy anytime

thereafter

CGC Outreach Committee, other interested

parties with consultation of CGC

Technology and R&D committee and CGC

Capacity Building Committee

6.1.3 Encourage educators to take a proactive role in awareness-raising and

program development in schools; foster awareness of GHP from the

elementary school to college/university levels

Initiate dialogue by 2012 Q4 with at least

one school district and design a pilot project

of at least one school in one province for

2013 Q3

CGC Outreach Committee, CGC members,

CGC qualified companies

6.1.4 Establish a strong business case & marketing strategy enabling

colleges/universities to attract students and justify the investment of

setting up a curriculum

Engage stakeholders and interested parties

by end of 2012 Q4

Define the strategy by 2013 Q4

Engage faculties in 2014 Q1 and beyond

CGC Outreach Committee, CGC Education &

Training Network, other interested parties

6.2.1 Put together a unified marketing strategy, with a comprehensive sales

pitch and consistent message that promote our Canadian industry

Finalize a communication plan by 2012 Q4

Seek resources for deployment thereafter

CGC Outreach Committee, all stakeholders

6.2.2 Define and market GHP as a renewable source of energy along with wind,

solar and biogas; equate installing GHP with environmental and social

responsibility; produce specific factsheets

Produce five (5) specific factsheets before

end of 2012 Q4

CGC Research Unit

6.2.3 CGC to publish more case studies and showcase installations for magazines

and newspaper features

Conduct research through end of 2013 Q1

and write at least 10 case studies

Disseminate case studies as of 2013 Q2


Committee

6.2.4 Create a database that records the GHG emissions avoided per annum per

province and federally

Update past CGC research to current GHG

emissions formulas by end of 2012 Q3

Create and make database available by end

of 2012 Q4

CGC Research Unit



41

6.3.1 Create a centralized source of information for all stakeholders, particularly

customers

Re-engineer the CGC website by end of

2012 Q4 as the ultimate portal for GHP

information in Canada

CGC staff

6.3.2 Focus on municipal, commercial, institutional and district energy systems

in addition to residential homes

Complete market scan by end of 2012 Q4

Develop tools by end of 2013 Q4 and deploy

as needed

CGC Outreach Committee, interested

parties

6.3.3 Develop more national promotional material and educational tools Pending adequate resources, develop and

deploy material as needed


parties

6.3.4 Develop advertising campaigns that feature industry standards, energy

efficiency, and the green aspect of the industry

Pending adequate resources, deploy by

2013 Q2


parties

6.3.5 Develop a customized procurement process that falls outside current

construction procurement practices

Define project needs by end 2012 Q4

Develop and publish model by end 2013 Q4

CGC Capacity Building Committee

6.4.1 Create consumer awareness through basic education using social media

such as Twitter, YouTube and Facebook; look to other clean technology

companies that have succeeded in using these methods

Scan for successful campaigns and adapt

model

Develop intervention plan by end of 2012

Q4


Committee

6.4.2 Develop customer literature to market GHP as an investment, not an

expense, with the focus on the free energy produced by the loop

Initiate development and deployment in

2012 Q2

CGC Research Unit, CGC Capacity Building

Committee, CGC Outreach Committee,

other interested parties



42

Appendix 2: Policy Directions and Recommendations

NB: Policy directions are not linked to specific industry actions in Appendix 1, but may be by policymakers.

A. Market Enabling Interventions Items Descriptions Federal

government

Provincial

governments

Municipal

governments

Utilities

A1 Consider writing the CGC Global Quality GeoExchange Program in to all programs and specifications /

requirements for public procurement

√ √ √ √

A2 Promote effective emissions trading scheme or carbon tax, to help close the gap between gas and

electricity prices

√ √

A3 Implement a procurement policy at government departments (eg Public Works, Dept of National

Defence, other major owner / operators), which changes the operational vs capital budget structure to

reward high-efficiency investments by our institutions. Specifically promote geothermal heat pump

technology for these programs. Require CGC Certification / Accredited professionals in all specifications,

as best practise

√ √ √ √

A4 Promote CGC System Certification in any new mechanisms whether regulatory or subsidy or other √ √ √ √

A5 Promote own/operate models by utilities for district geothermal systems. Encourage the installation of

external infrastructure (loop fields) by municipalities or utilities

√ √

A6 Identify opportunities to utilize existing billing and collection resources to communicate the advantages

associated with GHP systems

√ √

A7 Establish a progressive community renewable energy requirement in which community developers must

include number of GHP projects.

√ √ √

A8 Use the validation from academic research to raise the profile of GHP to governments √ √ √ √



43

B. Regulatory Streamlining and Adaptation

Items Descriptions Federal

government

Provincial

governments

Municipal

governments

Utilities

B1 Get recognition from all levels of government that GHP is a green / renewable technology √ √ √ √

B2 Promote cooperation with relevant environmental regulatory bodies √ √

B3 Unify the standards approaches for renewable energy technology – the current CSA is broken and can’t

or won’t fix itself. Either eliminate CSA (C-448) or severely restrict the standard to safety issues only

√ √ √ √

B4 Encourage provinces to work more closely and actively together to get all trades requirements lined up

and eliminate a lot of the “credential confusion”

√

B5 Mandate routine inspections of installations and existing systems while the system is being installed.

Fund municipalities specifically to consistently inspect renewable energy systems, and help protect the

industry’s honest players.

Consider requiring the Global Quality GeoExchange Quality Program / CGC System Certification, for all

residential GHP systems and promote coherent and consistent regulation

√

B6 Outreach to all regulatory officials to ensure all renewables including GHP are treated fairly and have

adequate resources to establish and enforce an inspection and permit routine

√ √ √



44

C. Education and Best Practices Promotion


government

Provincial

governments

Municipal

governments

Utilities

C1 Help consumer and builder to set out a clear path around the different financial models √ √ √ √

C2 Invest in trades people – union or non-union – to get skilled up on GHP technology and techniques, as a

fast-impact way to increase access to the GHP industry

√

C3 Promote awareness and practice of effective and practical groundwater protection measures in relation

to all types of closed and open loop GHP systems

√ √ √

C4 Work with individual provinces to incorporate regional requirements into the training curriculum, with

emphasis on provincial regulations and building codes.

√

D. Technical Orientations


government

Provincial

governments

Municipal

governments

Utilities

D1 Establish efficiency criteria for systems, not only equipment / components as current system does √ √ √ √

D2 Promote the technology through hard data in order to illustrate the amount of energy saved and bolster

the business case for GHP

√ √ √ √

D3 Create or designate (and finance) a laboratory for testing Canadian GHP products √ √ √



45

E. Funding Mechanisms and Financial Assistance Programs


government

Provincial

governments

Municipal

governments

Utilities

E1 Dedicated and sustained funding directed to companies focused on the development/advancement of

geothermal technologies

√ √ √

E2 Create GHP specific programming that offer incentives for homeowners √ √ √

E3 Establish a grant or tax credit to the contractor based on a building’s improved performance rating √ √ √ √

E4 Tie any and all incentives to performance standards, measured in joules (kWh) per square meter √ √ √ √

E5 Offer a dedicated provincial fund to support CGC activities in my province and link with national goals

and objectives √ √

E6 Put an electric heat replacement program in place everywhere, to lower electricity peaks / usage √ √ √

E7 Seek clear direction from provinces and regional utilities with regards to what constitutes favourable

conditions for GX and then encourage tailoring the electric rates to encourage such development

√ √

E8 Tailored rate structures for encouraging appropriate electric heating, while recognizing that heating with

electricity may not be appropriate depending on the GHG intensity associated with the regional electric

grid

√ √

E9 Provincial incentive for communities, cities, regional groups (linkage/stakeholders = builders, developers,

city planners, engineers, etc. that align with financial incentive projects like preferred homeowner

advantage)

√ √

E10 Create mechanisms by which installers can afford to purchase their own drill rigs and become more

competitive in the market. Provide government grants to drillers that are competitive in pricing; develop

a grant program for drillers to adapt their technology and equipment to GX systems

√ √



46

Appendix 3: References

Geothermal Industry Roadmap Strategy Development Report. Regional Consultations: Vancouver, Toronto,

Quebec & Maritimes. CGC, July 2011.

Marketing & Stakeholder Awareness Sub-Committee Report. CGC, August 2011.

Scenario Planning: Report of the Second Steering Committee Workshop. CGC, May 2011.

Strategy Development: Maritimes Web Conference. CGC, June 2011.

Strategy Development: St-Hyacinthe Workshop. CGC, May 2011.

Strategy Development: Toronto Workshop. CGC, May 2011.

Strategy Development: Vancouver Workshop. CGC, June 2011.

Statement of Purpose: Report of the First Steering Committee Workshop. CGC, March 2011.

Technology Development/R&D Sub-Committee Report. CGC, August 2011.

The State of the Canadian Geothermal Heat Pump Industry 2010: Industry Survey and Market Analysis. CGC,

November 2010.

Training & Capacity Building Sub-Committee Report. CGC, August 2011.

CGC RESEARCH UNIT

Industry Information Paper

CGC-RU-IIP-2012/02E

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