OKLAHOMA CITY (AP) - Oklahomans who buy geothermal heat pumps for their homes or businesses would receive a 5 percent state tax credit under a proposal unveiled Thursday by state House Speaker Chris Benge.

Benge, R-Tulsa, announced his proposal outside a new Habitat for Humanity home in a northeast Oklahoma City neighborhood where 31 houses were built earlier this year using geothermal technology.

"It will take an all-of-the-above solution to help wean our state and our country from our dependence on foreign oil, and geothermal is a local technology that can move us in that direction," said Benge, who earlier this year proposed tax credits to encourage the use of compressed natural gas to power cars and other vehicles.

Benge said he's not sure how much his latest proposal would cost.

"We'll have to work out those details over the next couple of months," he said.

Geothermal technology involves the use of heat pumps and buried pipes to take advantage of the earth's temperature to deliver heat in the winter and cool air in the summer.

Dan Ellis, president of Oklahoma City-based ClimateMaster, said the cost to install a geothermal system in an average home is about $8,500, compared to about $4,500 for a standard gas furnace and air conditioning unit.

But Ellis said the cost savings realized through lower utility costs would be recouped within three years compared to a propane heating unit and about eight years versus a standard natural gas furnace.

"A state tax credit would encourage those home and business owners to invest in technology that over the long run will more than pay for itself through utility bill savings, while also growing a locally available energy alternative," he said.

Ellis said the geothermal industry already is a major player in Oklahoma, employing about 4,500 people.

Kim Willison, a single mother who lives in a Habitat for Humanity home with a geothermal heat pump, said she's seen her utility bills cut in half since she moved into the house.

Benge said he will continue to place an emphasis on an "all-of-the-above" solution to promoting alternative energy sources in Oklahoma, including wind, nuclear and coal-fired power.

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