Geothermal Development in Iceland 2020-2022

Abstract

Geothermal energy is used for both electricity generation and direct heat applications in Iceland.The share of geothermal energy in the nation’s primary energy supply is 68%. Eight geothermal power plant are in operation in the country with a total installed capacity of 755 MWe. The annual electricity production is about 6 TWh, which is around 30% of the electricity produced in the country. Three of the geothermal power plants are co-generation plants that produce both electricity and heat for district heating. The largest power plant is at Hellisheidi (303 MWe), which has been in operation since 2006, and the newest one is at Flúdir, 0.6 MWe binary power plant. Space heating is the most important direct utilization of geothermal energy in Iceland, covering over 90% of all energy used for house heating in the country. Other sectors of direct use are swimming pools, snow melting, industrial process heat, greenhouses, aquaculture and soil warming. The geothermal fluid is also a source of silica and salts for skin care products and liquid carbon dioxide (CO2) for soft drinks, greenhouses and industry. In parallel with increased tourism several new geothermal spas have been established around the country. The total direct use of geothermal energy in Iceland is estimated to be about 35,000 TJ annually.