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Abstract: Rapid industrialization, increasing population urbanization, and improved living standards have all contributed to greatly increasing greenhouse gas (GHG) emissions in urban areas of developing countries. This situation is especially true for China, where fossil fuel depletion is a critical issue from its contribution to GHG emissions, and in terms of resources being consumed. To address these issues the Chinese government has supported application of ground source heat pumps (GSHP) technology. This focus is meant to alleviate the dependence on fossil fuels and improve the country''s energy structure. Several Chinese cities have embraced GSHP technology, and currently achieved some results. Shenyang, in Liaoning province, is one pioneering municipality. The city has become a champion of GSHP projects. However, the international energy research community has not been made aware of this important regional effort. The aim of this paper is to introduce and review the progress of GSHP technology diffusion within this region of China. This practical review will include policies, benefits and challenges facing the region and their adoption of GSHP technology. Recommendations for improvement of regional application on GSHP technologies given regional conditions are also made. These recommendations include strong leadership, appropriate policy incentives, effective enforcement mechanisms, and roundtable-based management. Relevant experience and lessons learned can be shared by other, globally locations, to help in GSHP technology diffusion. [Copyright &y& Elsevier]