The Blue Lagoon

Photo Source: Diamanx

Outside of a geothermal power plant is Iceland’s Blue Lagoon.   The lagoon was created by accident in the 1970’s.  The power plant discharged water rich in salt, algae and silica, which turned into a kind of caulk.  Heated, bacteria free pools started to form in the lava fields and after locals jumped in they discovered the liquid helped cure skin ailments.   Today, the heated lagoon has become Iceland’s largest tourist’s destination for some 400,000 people a year, and generates $21 million for the country’s small economy.  More information on the lagoon and its surrounding hotel and spa can be found here.

Iceland’s Blue Lagoon is just another added benefit for a country that decades ago switched to renewable energy.  Choosing to harness the power of its surroundings of glaciers and volcanoes, the country’s setting is ideal for geothermal and hydroelectric power.  To replace the traditional home heat from oil in the 60’s Iceland power companies took a big gamble.  They drilled wells to tap into underground hot water, and then built a system of pipes throughout the entire city to circulate this hot water through radiators in homes and offices.  Estimates say that without geothermal it would cost residents 5 times to heat their homes today using oil.

Iceland’s energy policy has become the envy of the world.  While other countries are aiming for a 20% renewable portfolio by 2020, Iceland currently is around 80%.  All of Iceland’s electricity comes from geothermal and hydroelectric.  The only fossil fuels used in the country power cars and fuel the fishing fleet.