In the 21st century, many countries are starting to use geothermal energy (GTE) as a new energy source. Serbia also has the potential to use it as a renewable energy source. The complex geological structure of its terrain has given rise to a large number of thermomineral springs and geothermal wells. Based on the existing measurements, the geothermal heat flow density in Serbia ranges from 80 to 120 mW/m2, which is above Europe's average (60 mW/m2). Currently, there are 66 projects in Serbia that directly use geothermal energy. There are an estimated 1005 geothermal heat pump units. Their power varies between 10 kW and 40 kW and they operate for 2860 full load hours per year. This paper deals with the development, current state and perspectives of geothermal energy utilization for heating in Serbia. To illustrate the current state of geothermal energy utilization in Serbia, spa settlements Vranjska Banja and Gornja Trepča, as well as the Bogatić Municipality have been singled out as examples of good practice. The presented analysis includes determining the available amount of geothermal energy and its utilization for district heating or heating of selected public facilities. The concept and methodology of the presented research are based on data collection through literature review, surveys and field research. The analysis confirms the cost-effectiveness of using geothermal energy and reveals numerous ecological advantages over other energy sources. However, it was concluded that аlthough there is potential, geothermal sources, as a renewable energy source, are used negligibly in Serbia.