The intensely high temperatures at the core of the earth originated from vast masses of hot substances collapsing during the formation of the planet. Since then the heat has continued to be emitted due to radioactive decay of atoms making up the earth below. This earth-sized nuclear-reactor will likely continue to produce heat for millions and millions of years still to come, which makes it a renewable resource.

Inextricably linked to this, is water, which is essential for the steam production needed. The water that is used up is replaced in an ongoing cycle. Water is thus also regarded as being 'renewable'. Intercepting energy of this nature is important to consider, since the acid rain from this method of power generation produces 97% less acid rain, than alternative methods.

A small amount of potential pollutants e. G. Sulfur dioxide, do come up with the steam, but they are returned into well from which they came, or are changed into industrial chemicals. Because no fuel combustion is required for getting this form of energy, it is very clean, boasting a small carbon footprint. It is thus an appealing alternative to methods requiring burning, with associated greenhouse gas emissions to produce electricity.

In comparison to other power stations, like those that are fuel-driven, the technology employed to channel this subterranean steam to turbines, requires less space, with no pipelines needed to supply fuels to power machinery, since the steam comes up on its own. The steam produced by the high temperatures deep down below the surface is also a local product in every country, meaning that there is no need to depend on foreign input for any aspect of it.

Areas like Alaska and Hawaii, and some others, are conducive to geothermal power generation because steam is found near the earth's surface. It is far cheaper to tap into the wells in places like these and make use of it. Not everywhere is as easy to find vaporized water, so only certain areas can take advantage geothermal energy at present.

It is risky for companies to want to set up power generating sites in areas that have the pressurized steam available, as these areas are historically unstable, prone to both volcanoes and earthquake activity. Also, when drilling into the wells below the earth, there are no guarantees that the site will provide enough steam. They can also run dry, needing pipes to then be put into different positions to tap into other pockets near by.

A major obstacle to the use of this form of energy being used more widely is current drilling technology. Drilling in this type of environment, causes damage to equipment due to corrosion and heat exposure. Suitable equipment needs to be specially made for this purpose. At present the equipment is still exorbitantly expensive.