Geo Heating- Geothermal Heating and Cooling Solutions

With memories of last year's fuel price hikes still fresh in their minds, people aren't waiting around to see if this year's winter heating bills will continue their upward climb.

Chad Peek, sales manager for E&V Energy Co., recommends people explore replacing older furnaces for more efficient appliances.

“Anything not 90 percent efficient, I would take a hard look at replacing,” Peek said. With energy prices rising, the payback time is sooner than before because the price of furnaces has not increased in proportion to oil.

He estimates the payback at 200 to 300 times sooner. The same furnace that costs $3,200 now, had a price tag of $2,800 five years ago. During that time, fuel costs have tripled.

The federal Energy Information Administration says the heating costs for both natural gas and fuel oil users averaged about $1,000 for last year, which was a 35 percent jump for natural gas from the winter of 2004-2005.

Fuel oil heated homes paid an increase of 23 percent more last year.

As long as new furnaces undergo

regular maintenance, they will remain efficient. As technology progresses, however, furnaces may not have to burn as hot, can recover air going out of chimneys and have two speeds to save electricity.

Some appliances now reach 95 percent efficiency.

But some people are looking into a whole other approach.

Performance Systems Contractor is building a custom-designed home in Union Springs with a geothermal system, photovoltaic (PV) solar electric system and with Energy Star label.

“Certainly, there's a growing interest in new construction to have (alternative energy). I have more and more customers asking about PV and geothermal,” said Peter Arena, sales manager for Performance Systems.

The Ithaca-based company installs PV in existing homes as well as new structures.

Arena encourages homeowners to research different energy sources and heat distributing appliances because there are a lot of misconceptions about geothermal systems.

He said some potential buyers wonder if the system only works near volcanoes - of which New York falls short. Arena assures his clients that the system will work perfectly here. Midwestern states have invested in the technology for years.

A small amount of water and a biodegradable antifreeze-like substance runs through a series of vertical pipes deep in the ground in the loop field. By the time it makes its rounds, the water accumulates heat, which is compressed and sent through the house.

A new energy efficient boiler or top-of-the-line furnace is 94 percent efficient, Arena said.

“That means for every dollar you put in to the fuel, you get 94 cents back in heat,” he added.

Geothermal systems run on electricity so it's not affected by oil costs.

“We are experiencing a steady ratcheting upward in cost of fossil fuels. It climbs up, sometimes it goes back down, but then it goes higher than where it was. The upward prices have a direct correlation with people having interest in (alternative energy),” Arena said.

“We've come from the dark side of the moon,” Arena said. Contractors have installed the geothermal systems for half a century and have proved it a “tried and true” method to keep people toasty during the winter and refreshed during summer, he said.

Midwestern states utilize the system well because they have extreme temperatures and inexpensive electric costs.

People have to ask questions to make the best economic decisions for their homes. Arena calls the best option a mixed bag which likely contains PV, a solar thermal system and geothermal appliances.

“What we do is provide them with a context to make these decisions ... We give them a full assessment and give them the tools to make the right decisions,” Arena said.

Company representatives inform homeowners about the payback of adding insulation to their attics, reducing air leaks and replacing old water heaters.

“It boils down to the most cost efficient method is appropriate installation and air sealing. That's the foundation of energy conservation,” Arena said.

He points to the Union Springs home as a perfect model. The elements in the home will make it zero energy, with electricity and energy being used for other uses.

Because the house will earn the label of Energy Star, the homeowners will receive additional state rebates. If the PV system meets the requirements, they will get an additional 50 cents per watt. They plan to install a 6 kW system, which will pull in $27,000 because it's bumped up to $4.50 per watt.

In addition, they are going to earn a tax credit from state and federal taxes, to the tune of about $7,000 in both state and federal. That's helps offset the cost of the system a great deal.

The homeowners will use natural gas for the water heater and cooking, but the geothermal system with help produce hot water. Three solar panels will stand on steel pipes on a concrete slab in their yard. Arena calls the 12-foot panels his sunflowers.

“This is what people are talking about when they say closing the energy loop. This (home) isn't going to waste the heat that is produced,” he said.

Staff writer Jessica Soule can be contacted at 253-5311 ext 267 or

With memories of last year's fuel price hike still fresh in their minds, people aren't waiting around to see if this year's winter heating bills will continue their upwards climb.

Chad Peek, sales manager for E&V Energy Co., recommends people explore replacing older furnaces for more efficient appliances.

"Anything not 90 percent efficient, I would take a hard look at replacing," Peek said. With energy prices rising, the payback time is sooner than before because the price of heating units has not increased in proportion to oil.

He estimates the payback at 200 to 300 times sooner. The same furnace that costs $3,200 now, had a price tag of $2,800 five years ago. During that time, fuel costs have tripled.

The federal Energy Information Administration the heating costs for both natural gas and fuel oil users averaged about $1,000 for last year, which was a 35 percent jump for natural gas from the winter of 2004-2005. Fuel oil heated homes paid an increase of 23 percent more last year.

Those numbers are going to continue to rise, though not as dramatically as before.

As long as new furnaces undergo regular maintenance, they will remain efficient. As technology progresses, however, furnaces may not have to burn as hot, can recover air going out of chimneys and have two speeds to save electricity.

He suggests to homeowners interested in buying wood-burning stoves to consider the maintenance required against that of an higher efficiency furnace.

"Everyone tools around with the idea of getting a wood stove. It usually lasts a year or two. With the amount of work that's involved, they usually give it up," Peek said. "A good unit costs around $2,000 to $3,000. For that, you can upgrade to a high efficient furnace, and not have the headache of splitting wood."

He also pointed to the fact that wood, like most other fuels, is increasing in cost.

Those homeowners looking to invest in a new furnace should look at their current heat distributors' ages and conditions.

"If the furnace is determined at 75 percent efficient, 25 percent of my bill is going up the chimney," Peek said. "That's 25 cents for every dollar."

Some appliances now reach 95 percent efficiency.

But some people are looking into a whole other approach.

Performance Systems Contractor is building a custom-designed home in Union Springs with a geothermal system, Photovoltaic (PV) solar electric system and with Energy Star label.

"Certainly, there's a growing interest in new construction to have (alternative energy). I have more and more customers asking about PV and geothermal," said Peter Arena, sales manager for Performance Systems.

The Ithaca-based company also installs PV in existing homes as well as new structures.

Arena encourages homeowners to research different energy sources and heat distributing appliances because there are a lot of misconceptions about geothermal systems.

Some potential buyers wondered if the system only works near volcanoes - of which New York falls short. Arena assures his clients that the system will work perfectly here. The midwestern states have invested in the technology for years.

A small amount of water and a biodegradable antifreeze-like substance runs through a series of vertical pipes deep in the ground in the loop field. By the time it makes its rounds, the water accumulates heat, which is compressed and sent through the house.

An new energy efficient boiler or top-of-the-line furnace is 94 percent efficient, Arena said.

"That means for every dollar you put in to the fuel, you get 94 cents back in heat," he added.

Geothermal is an electric appliance. It operates 300 percent efficient so for dollar spent on electricity, homeowners get back $3 to $4, he said.

"We are experiencing a steady ratcheting upward in cost of fossil fuels. It climbs up, sometimes it goes back down, but then it goes higher than where it was. The upward prices have a direct correlation with people having interest in (alternative energy)," Arena said.

"We've come from the dark side of the moon as I call," Arena said. Contractors have installed the geothermal systems for half a century and have proved it a "tried and true" method to keep people toasty during the winter and refreshed during summer, he said.

The midwestern states love the system because they have extreme temperatures and inexpensive electric costs.

People have to ask questions to make the best economic decisions for their homes. Arena calls the best option a mixed bag which likely contains PV, a solar thermal system and geothermal appliances.