Most developed countries around the world are seeking ways to reduce their reliance on fossil fuels and increase their use of green energy sources. Not so for Iceland. That small, beautiful, and staunchly self-reliant country is already powered 100% by renewable energy.
Hydropower supplies 75% of Iceland’s electricity with the rest provided by the country’s vast wealth of geothermal energy. The hot rock and water beneath the surface of Iceland supplies 87% of its heat and hot water needs.
Iceland has used its unique energy resources to attract large energy users. Energy-intensive manufacturers like Alcoa and Globe Specialty Metals now have facilities in Iceland. The country is aggressively trying to lure operators of large data centers, with the promise of cheap and clean energy.
Last summer, the Icelandic and UK governments signed a memorandum of understanding to explore a proposed high-voltage interconnect cable that would export clean geothermal electricity to Britain. This could help the UK meet its renewable energy goals.
For Icelanders, this ambitious plan presents a quandary. Do they want to export their abundant clean energy and help their damaged economy heal more quickly, or do they want to keep the resource at home to attract more industry to Iceland and keep domestic energy prices low for future generations?
Some say that the abundant supply of natural gas in the U.S. will create a similar quandary for us. In the meantime, Icelanders must figure out how to deal with their embarrassment of green riches.
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Photo, taken on July 17, 2012, courtesy of IHA Central Office via Flickr.
Earth Wise is a production of WAMC Northeast Public Radio. Support for Earth Wise comes from the Cary Institute of Ecosystem Studies in Millbrook, NY, with partial support from the Field Day Foundation.