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18.4 Market Development, Stimulation and Constraints 18.4.1 FinancialConstraintsandIncentives Deep geothermal energy is a new concept for Norwegian society, which at the moment provides small incentives for companies who try to establish themselves as pioneers in this business. The main constrains are relatively cheap electricity and low geothermal gradients. Development of pilot and demonstration plants on Norwegian soil is therefore economically very risky and requires financial incentives from both the Government and investors. So far, the only financial incentive was granted to Rock Energy Company by the governmental organisation Enova. Enova‘s main mission is to contribute to environmentally sound and rational use and production of energy, relying on financial instruments and incentives to stimulate market actors and mechanisms to achieve national energy policy goals. The issue is different for shallow geothermal (heat pumps), where the government encourages the use heat pumps in private homes and commercial installations such as hospitals, airports and shopping centres. The governmental organisation Enova supports private homes with up to US$ 2,000 in funding per installed brine to water heat pumps. Larger installations are supported on a case by case basis in the Enova programme ―Local Energy Centres‖. 18.4.2 EnvironmentalConstraints There are presently no serious environmental issues connected with deep geothermal as today there is only one pilot installation (Rock Energy) under planning. The environmental issues related to shallow geothermal installations are not presently serious matters. The example from Akershus hospital (discussed above) shows that the borehole heads are completely underground, and the farmer is using the field to grow crops. However, some environmental issues can be related to the following: Spillage of water from the well drilling (mud) into surface water Damages around the borehole top due to freezing of clay In addition, recently some concerns have been raised related to a high density of GSHPs in certain residential areas in Oslo. There are, however, some obstacles in designing and building groundwater based heat pumps and cooling systems such as in Oslo airport Gardermoen, e.g., iron or calcium in the ground may result in clogging of the heat exchangers which have a detrimental effect on such systems. When the ground water is exposed to the air, iron oxide formation occurs, and acts like a powder which deposits in heat exchangers and wells, etc. It is therefore important to undertake water analysis before establishing a ground water based cooling and/or heat pump system. Extra caution has to be taken when the underground water reservoir is also a source of drinking water. 18.5 Status of Geothermal Industry Statoil has an ambition to gradually build a position in renewable energy production. In addition to the established interest within offshore wind, geothermal has been identified as a potential business area for further growth. Statoil is focusing on geothermal project development, and next generation technologies, e.g., enhanced geothermal systems, EGS, may provide a game-changing option for future electricity 205PDF Image | Geothermal Research and Tech IEA
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