| Abstract |
ON Power has in recent years encouraged diverse utilization of the variety of geothermal value streams available within the area of Hellisheidi Geothermal Power Plant, Iceland’s largest of its kind and among the largest in the world. To this end, ON Power has established a 106 hectare eco-industrial zone developed to encompass various operations optimizing use of the sustainable geothermal resource harnessed at the plant. The park is located 30 kilometers from ReykjavÃk, the capital of Iceland and is developed in cooperation with the local municipality of Olfus. To support entrepreneurship and research in the field of geothermal application, and to stimulate business development for the eco-industrial park, an innovation center allowing pilot studies for use of value streams has been established. The innovation center has been the home of various R&D projects in recent years, e.g. microbiology research by the University of Iceland, extraction of silica from the geothermal water for food supplements, hydrogen production and carbon dioxide capture from ambient air followed by subsurface mineralization. In August 2018, ON Power and Algaennovation signed the first contract for operations in the eco-industrial park for the cultivation of algae. The experimental growth of algae at the innovation center was a key enabler for the consequent step of Algaennovation initiating industrial-scale cultivation in the geothermal eco-industrial park. The algae hatchery will be served renewable electricity directly from the power plant, cold water from nearby springs, in addition to by-products from the geothermal power plant’s processes including heat in the form of hot water and the geothermal gas carbon dioxide. By utilizing those in the algae cultivation process, by-product synergies ("waste-to-feed" exchanges) are exploited, enhancing the utilization of the resources and allowing for shared economic benefits. By taking advantage of similar opportunities for diverse utilization of Iceland’s natural geothermal resource, the eco-industrial park is considered to provide an essential opportunity for innovative business development in the country while at the same time supporting the accomplishment of climate goals. This paper will describe the business development for the eco-industrial geothermal park. The paper provides an overview of the key process steps and milestones in its establishment and discuss some key questions such as: what shared service elements can support shared benefits in such an industrial cluster? How can a company like ON Power support innovation and the evolvement of start-ups in a cost effective, low risk manner? How should the economic and environmental benefits from such new operations be measured? Finally, the paper will share key reflections and learnings from the development of the park and the construction of the first operational facility. It is the objective that the paper will provide both inspiration as well as practical insight to other geothermal heat and power procedures. |