CutYourElectric

Geothermal heat pump vs. heat pump: running cost

A geothermal heat pump is cheaper to run: about $841 a year versus $920 for a heat pump at typical use and 17.99¢/kWh, a $79 difference.

Geothermal heat pumpHeat pump
Typical watts3,200 W4,000 W
Watt range2,000–6,000 W2,000–8,000 W
Typical use24 hours a day for 5 months a year24 hours a day for 5 months a year
Energy per year4,675 kWh5,114 kWh
Cost per hour23¢25¢
Cost per day$5.53$6.04
Cost per month$168$184
Cost per year$841$920
Per year in Hawaii (43.51¢)$2,034$2,225

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What drives the difference

Ways to cut either cost

Smart thermostat compatible with geothermal

Prevents unnecessary auxiliary heat staging.

See options on Amazon
Smart thermostat with heat pump support

Manages auxiliary heat and setbacks to keep the compressor doing most of the work.

See options on Amazon

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Frequently asked questions

Which costs more to run, a geothermal heat pump or a heat pump?

At typical use and the U.S. average rate (17.99¢/kWh), a heat pump costs about $920 a year versus $841 for a geothermal heat pump. That's $79 more.

How many watts do geothermal heat pump and heat pump use?

A geothermal heat pump typically draws 3,200 W (range 2,000–6,000 W). A heat pump draws 4,000 W (range 2,000–8,000 W). Watts alone don't decide cost. Hours of use, cycling and standby matter just as much.

Rates: EIA, 12 months ending 2026-07. Methodology.