Geothermal energy: A better quality of life

New Home + Condo Guide chats with Lane Theriault, president of Subterra Renewables, about how geothermal energy systems are improving buildings around the country.

New Home + Condo Guide: To get geothermal technology in a building, do you have to build it into the construction phase? Or can you retrofit an older building in an urban area as well? How does it work?

Lane Theriault: Yes, geothermal technology can be retrofitted for older buildings, however, more commonly, geothermal systems are integrated into the design of new buildings. How these systems work is geothermal technology circulates fluid through a series of underground pipes that either absorb or dissipate heat into the ground. In the winter, heat is extracted from the earth and is used to heat the building. In the summer, the flow reverses, transferring heat from the building to the ground loops to generate cold air. Building these systems directly into a new development comes with its benefits in terms of upfront costs, which we absorb from the builder in return for running the system and charging residents a monthly fee for heating and cooling. However, Subterra Renewables is able to create unique systems customized for each individual project.

NHCG: What has been the feedback from your most recent projects?

LT: The most significant feedback from those in the development community is that they didn’t know they could ‘go green’ or build such an energy-efficient building within their anticipated budget. Given the current state of increasing construction costs, combined with the state of Vancouver’s real estate market, a lot of developers are looking for ways to reduce their construction budget. The capital savings from not installing a traditional HVAC system allows developers to meet their savings requirements. Additionally, a lot of developers look favourably upon Subterra’s model that allows for rates to be locked in for the end-user.

NHCG: How is living in a building with a geothermal system different from living in a conventional building? How does it affect strata fees?

LT: Living in a building with geothermal technology brings a better quality of life to residents than living in a conventional building. A building with one of our low-carbon energy systems offers all of the benefits of going green, not only helping developers meet their sustainability goals, but more importantly, helping the end user reduce their own carbon footprint and greenhouse gas emissions. The systems are very quiet and there is no equipment outside of the buildings. The earth loops that generate heating and cooling can last for generations, with the systems handling multiple loads simultaneously, for example, heating homes, heating pools and cooling other areas all at once. Strata fees are the same, or even slightly less than with a traditional HVAC, but obviously, with a much smaller carbon footprint per home. The residents’ rates do not fluctuate with energy hikes, and builders get points toward being LEED certified, as well as saving money.

NHCG: If the developer pays no costs for the system, does that translate to lower buying costs for homebuyers and then how does Subterra Renewables make its revenue?

LT: The developer doesn’t have any large upfront commitment costs for us to implement the geothermal system. We design, install, monitor and maintain the renewable energy system, which in turn reduces the developer’s construction budget and risk. For the building owner and residents, they pay a simple monthly fee while receiving a heating and cooling system that is superior to conventional systems - this is what we call a ‘Renewable Energy Fee’. This fee is equal to or less than what the building owner or residents would have paid for operations and maintenance if the building had a conventional HVAC system, a much better system with no extra cost.