Geothermal — a ground source heat pump — moves heat between your house and a buried loop of pipe instead of the outdoor air. Because the ground a few feet down stays far more stable than mid-Missouri weather, the system never has to fight a 95°F afternoon or a 21°F morning. In Columbia, a geothermal system under 5 tons earns a $1,200 rebate from Columbia Water & Light; outside the city, Boone Electric Cooperative pays $750 per ton.
How does a ground source heat pump work?
Three parts: a sealed loop of polyethylene pipe buried on your property, a water solution circulating through it, and an indoor heat pump that exchanges heat with that loop. In winter it extracts heat from the ground and delivers it to the house; in summer it runs the other direction and rejects heat back into the earth. There is no outdoor condenser sitting in the weather.
| Loop type | How it's installed | Best fit |
|---|---|---|
| Horizontal closed loop | Trenched across open ground at shallow depth | Acreage and rural lots with room to excavate |
| Vertical closed loop | Boreholes drilled and grouted, headers tied back to the house | Smaller lots, established landscaping, city properties |
| Pond or lake loop | Coiled loop submerged in an adequate body of water on the property | Properties with a suitable pond — we evaluate case by case |
Who is geothermal right for?
- Property owners with land — a horizontal loop needs room, and Boone County has it
- Homes on propane. Countywide outside Columbia, roughly 17.8% of occupied units burn propane, and in Harrisburg it is 46.2%. Geothermal removes a delivered fuel from the budget
- Long-term owners — the loop is a decades-long asset, so the payback horizon has to match your plans
- High dual loads — Columbia runs 5,024 heating and 1,248 cooling degree days a year, so the equipment works both halves of the calendar
- New additions or heavy remodels where ductwork is already being opened up
- Homeowners already considering a heat pump who want the version that never loses capacity in a cold snap
What do the geothermal rebates pay?
| Program | Amount | Conditions |
|---|---|---|
| Columbia Water & Light — geothermal under 5 tons | $1,200 | City of Columbia Utilities electric customer; replacement only, not new construction; apply within six months with a final mechanical permit |
| Boone Electric Cooperative — ground source | $750 per ton | $250 from Boone Electric plus $500 from AECI; 10-ton residential cap; service must use 6,000+ kWh/year; permanent foundation on member-owned land; expires 12/31/2026 |
| Federal tax credits | None for 2026 | The 30% credit covering geothermal ended for property placed in service after December 31, 2025 |
The two programs are not interchangeable, and we never guess which one covers you. Check the utility name on your electric bill — Boone Electric serves all of Harrisburg and all of Rocheport along with much of the county, while City of Columbia Utilities serves much of the city. Once we know, we file the right paperwork, including the city rebate application when it applies.
What's included in a geothermal installation?
- Heating and cooling load calculations, then loop sizing to match
- Site survey — available land, soil and rock conditions, utilities and setbacks
- Loop field installation, whether trenched or bored, with headers and manifold
- Pressure testing, flushing and purging the loop before startup
- Indoor heat pump set, connected to ductwork and electrical
- Ductwork evaluation — a ground source system needs airflow the old furnace may not have required
- Desuperheater connection for domestic hot water where the equipment supports it
- Permits filed, and rebate paperwork submitted to the correct utility
What does the process look like?
- Feasibility visit — loads, land, access, existing ductwork and electrical service.
- Loop design — horizontal, vertical or pond, with the trade-offs laid out.
- Rebate confirmation — which utility, which tier, which documents.
- Permits filed before work begins.
- Loop installation, then the indoor equipment and connections.
- Commissioning — flow rates, pressure drop, temperature differentials and controls verified.
- Paperwork filed inside the program's deadline.
What affects the cost of a geothermal system?
- Loop type — trenching is generally less involved than drilling boreholes
- Site conditions — depth to rock, soil moisture and available open ground
- System capacity in tons, which also drives the Boone Electric rebate total
- Ductwork — whether the existing system can carry the required airflow
- Electrical service and control wiring
- Desuperheater or hot water integration
- Restoration of the yard after loop installation
Geothermal is the highest first cost and the lowest operating cost in our catalog, so the honest comparison is against a conventional heat pump or a high-efficiency furnace over the years you plan to own the house. We will run that comparison with you rather than around you.
Where we install geothermal
Geothermal fits Boone County's rural properties especially well. Ashland combines the county's newest housing stock with its highest median income, and larger lots on the south end of the county make loop fields practical. Hallsville and Harrisburg homeowners with acreage are natural candidates — especially the propane households. Inside the city, vertical loops open geothermal up to standard lots. Compare your options with our heat pump versus furnace guide, or see ductless systems and maintenance plans.
Geothermal FAQs
What geothermal rebates are available in Columbia?
Inside the city, Columbia Water and Light lists a $1,200 rebate for a geothermal system under 5 tons, for electric customers of City of Columbia Utilities, on a replacement rather than new construction. Outside the city, Boone Electric Cooperative pays $750 per ton, made up of $250 from the co-op and $500 from AECI, capped at 10 tons for residential members. Which one applies depends on who sends your electric bill.
What are the Boone Electric geothermal requirements?
The ground source rebate is $750 per ton with a 10-ton residential cap, the service has to use at least 6,000 kWh per year, and the structure must sit on a permanent foundation on land the member owns. The program expires December 31, 2026. Member Services can be reached at 573-449-4181.
Is the federal geothermal tax credit still available?
No. The 30 percent federal credit that covered geothermal ended for property placed in service after December 31, 2025 under Public Law 119-21, along with the 25C improvement credit. Any quote that still builds a federal credit into the numbers for a 2026 installation is quoting something that no longer exists. Utility rebates are what remain.
How much land does a geothermal loop need?
It depends on the loop type. A horizontal loop is trenched across open ground and needs the most room, which is why it suits acreage in Boone County. A vertical loop uses boreholes and fits a much smaller footprint, including many city lots, at a higher drilling cost. We survey the site before recommending either.
How long does a geothermal system last?
The buried loop is the long-lived part, typically rated in decades, because it is inert polyethylene pipe with no moving parts. The heat pump itself lives indoors, out of the weather, which is one reason ground source equipment tends to outlast an outdoor air-source condenser. Annual service still matters and is covered by our service agreements.
Does geothermal cool as well as heat?
Yes, and in Columbia that matters. The same loop that pulls heat out of the ground in a 5,024 heating degree day winter rejects heat into it during a 1,248 cooling degree day summer. Because it exchanges with stable ground temperatures rather than 95 degree outdoor air, efficiency holds up on the hottest afternoons.
Can geothermal replace a propane furnace?
That is one of its strongest cases in rural Boone County, where propane heats 46.2 percent of homes in Harrisburg and roughly 17.8 percent of occupied units countywide outside Columbia. Replacing a propane furnace with a ground source heat pump removes a delivered fuel from the household budget entirely. Boone Electric's per-ton rebate applies to co-op members.