Company Name : Generic Source : Bloomberg

India’s Gujarat state is drafting a policy to promote geothermal energy, the Economic Times reported, citing Chief Minister Narendra Modi.

The Ministry of New & Renewable Energy has identified Gujarat as one of the states with potential for setting up geothermal power plants, according to the report.

Geothermal energy is produced by tapping heat contained in rocks and water deep underground. Gujarat set a policy in January 2009 for developing solar energy. The state has awarded 716 megawatts in solar projects to companies, according to the website of the Gujarat Energy Development Agency.