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104 finally in 2003 to the Iceland Geosurvey. In addition an energy fund was established in 1967 from which loans and grants were allocated for geothermal exploration and drilling. This fund has continued to the present under the Icelandic National Energy Authority (Orkustofnun, 2006b). Following the oil crises of the 1970s the Icelandic government altered its energy policy to actively expand its domestic geothermal heat use. New resources were sought, district heating grids constructed, and transmission pipelines (often 10-20 km long) were built. This expansion was accompanied with an increase in the utilization of geothermal heat from 43% of energy used for space heating in 1970 to 89% in 2005 (Figure 53). The rate of new geothermal resource exploitation for space heating however has slowed since the 1980s despite the significant remaining resource potential. Figure 53 Energy source mix for space heating in Iceland between 1970 and 2005 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 1970 1975 1980 Source: Orkustofnun, 2005. Oil Electricity Geothermal Figure 54 Use of geothermal heat energy in Iceland in 2006 Swimming pools 4.4% Snow melting 4.4% Industry 3% Fish farming 6% Greenhouses 3% Source: Orkustofnun, 2006a. Electricity generation 20.2% 1985 1990 1995 2000 2005 Space heating 60% The government’s long term R&D investment has contributed to the continued development of the geothermal resource so that the utilization of the heat has become more cost competitive. As a result, the government now takes a lesser role in further exploitation and power companies are now taking the lead.PDF Image | RENEWABLES FOR HEATING AND COOLING
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