This webinar aimed at taking benefit from the experience of Icelandic actors regarding the geothermal energy and district heating sector. Even if Iceland has a geothermal potential drastically different from that in Belgium, similarities exist in terms of enabling legal framework, environmental and social issues, implementation of projects, operations and maintenance issues, etc. Since Iceland is a step forward in the development of geothermal projects, Icelandic companies can share success keys as well as pitfalls they have encountered.
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Geothermal projects and district heating - Experience sharing from Iceland - 19 December 2023
1.
2. Geothermal projects and district heating • Experience sharing from Iceland • December 19, 2023 2
One organisation,
2 clusters
& several ecosystems
Mobility
Storage
Renewable
energy
Energy
efficiency
3. Geothermal projects and district heating • Experience sharing from Iceland • December 19, 2023 3
Heat2Net – Structural and transversal platform
for Walloon actors
Gather actors
Interface actors
and stakeholders
Activate exchanges
Objectives
5. Geothermal projects and district heating • Experience sharing from Iceland • December 19, 2023 5
Walloon actors
6. Geothermal projects and district heating • Experience sharing from Iceland • December 19, 2023 6
Innovation Fund
7.
8. General overview of the geothermal context in
Wallonia/Belgium and identification of the needs
Cluster TWEED - 19/12/2023 - Resolia
9. 1. Belgian context introduction
● Competencies such as environment, urban
planning, economy, employment / professional
training, etc. are regionalized !
● Very different (hydro)geological context across
both main regions → all type of geothermal possible
in WAL, except high t°C (>150°C)
10. 1. Belgian context introduction - Wallonia
objectives
2020 2030 objective
Renewable heat production 9,1 TWh 31 Twh
Heat Pumps (air/air and geothermal) 344 GWh 2037 GWh
Deep & mining geothermal 18 GWh 251 GWh
x6 !!
11. 2. Deep geothermal status
St Ghislain (1986)
3 wells - public
Max 5,2 km deep
Productive
between 1,5-2 km
deep
Heating only
17 MW installed
4 km district
heating
Public buildings, 1
pool, 1 gym, 3
schools, 1 hospital,
appartments
Max 72 °C
J&J Beerse (2023)
1 well - private
Productive at 2,4
km deep
Heating only
Max 85 °C
Internal 3,5 km
district heating
(factory)
Mol - Balmatt
(2019)
1 well - public
Heat & Power
Max 4,9 km deep
Productive at
3,6km
Max 125 °C
Currently stopped
to assess vibrations
12. 2. Deep geothermal potential and needs
● Estimated large potential → 1536 GWh only for Dinantian Carboniferous limestone
● Upcoming project → Geophysical public tender for detailed exploration on 4 large areas on
going until 2025
13. 3. Shallow geothermal status
Type of
geothermal
Existing projects
Closed loop system +- 2000 systems installed
+- 150/200 installation/yr
Open loop system
(aquifer injection)
Only 1 existing
+- 20 upcoming
Open loop system
(surface injection)
+- 40 existing
Mining 2 under study
16. 3. Shallow geothermal - upcoming projects
● Walloon Region call for public
tendering 2022 → 24 private and 10
public projects selected for a total of
35Mio €
● FEDER (Europe) public tender
● Interreg project
● Feasibilities studies bonuses
● Private sector (real estate, industrial,
commercial) starts to invest
massively (closed and open loop
systems)
● Private residential boom (closed
loop system)
18. 4. District heating status
→ District heating in WAL
are mainly small public
district, gaz or biomass
sourced
19. 4. District heating - upcoming projects
● Application of the new heating Regional Order (“Décret chaleur”)
● Walloon Region call for public tendering 2023 → only decarbonized districts / to be funded
for a total of 30Mio €
● FEDER (Europe) public tender
● Private sector (real estate, industrial, commercial) starts to invest massively (closed and
open loop systems)
20. 5. Growth opportunities and how to move
forward?
? 100*
employ.
> 1000*
employ.
2020
2030
* indicatives numbers
For 1% of total energy consumption in WAL
1% x 63 TWh = 630 GWh
P to install : 630GWh/2.000h = 315 MW
315MW / 40W/m = 7.875 km (closed loop)
1 machine + 2 men= 100m/jour
7.875km / 100m/man*machine = 78.750 jm
78.750 jm / 200 jours/yr = 393 yrs machine
By 2030 : growth 200%/yr
=> 200 machines
=> 400 operator
=> 1000 employment
21. 5. Growth opportunities
and how to move
forward?
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€
☺
⬿
22. 5. Growth opportunities - the missing link in
REPowerEU
Geothermal District heating
20% district heating to unlock the long term
potential !!
24. IMPORTANCE OF GEOTHERMAL ICELAND
Facts and figures
• Island – middle of the Atlantic
Ocean
• Size 103.000 Km2
• Population
~ 380.000
• GDP $55-60.000 ppp pr cap
12/164
• SPI score 89,54/100 5/169
• Yrs of Geothermal Power
production 1969 (54yrs)
• Installed capacity ( ~ 800 Mwe)
• 100% of our house heating with renewable energy
sources
• Basis of quality of Life in Iceland
• Improved public health and economic growth
• Not only heating, electricity platform too
• Expertise and Experience
• Our utilizations across diverse sectors
www.energycluster.is
25. IMPORTANCE OF GEOTHERMAL ICELAND
Facts and figures
• Island – middle of the Atlantic
Ocean
• Size 103.000 Km2
• Population
~ 380.000
• GDP $55-60.000 ppp pr cap
12/164
• SPI score 89,54/100 5/169
• Yrs of Geothermal Power
production 1969 (54yrs)
• Installed capacity ( ~ 800 Mwe)
• Power generation
• District heating
• Pools and spas
• Greenhouses
• Fish farming
• Algee production
• Cosmetics
• Food supplements
• Food drying
• And more….
www.energycluster.is
26. Cluster Organisation
IREC was founded formally in
February 2013 first as a
geothermal cluster after 3 years of
mapping and implementation.
2018 it changed into IREC and is
focusing on all energy sources in
Iceland;
2
0
1
3
-
2
0
2
2
2 0 1 0
4
2 0 1 8
2 0 2 3
HISTORY
www.energycluster.is
27. Cluster Organisation
Private driven cluster
organization of the whole
energy sector
Nonprofit organization with over
50 members, from both public
and private sector.
All who want to improve its role
and impact in the society
2
0
1
3
-
2
0
2
2
5
2 0 2 3
Members
of IREC
www.energycluster.is
28. GLOBAL PRESENCE AND TALENTS
I
c
e
l
a
n
d
i
c
e
x
p
e
r
t
i
z
e
6
Power transmission
system
Geothermal
Energy
Hydropower
Energy related
projects in ~30
locations
Offers Worldwide
services all around
the globe.
Icelandic
expertize
29. It is important to
know where the
need is and what
you can learn and
work together with
our expertise, partly
or wholistically.
T
h
e
B
r
i
d
g
e
B
u
i
l
d
e
r
7
How can we
work together?
www.energycluster.is
30. er nd r e
or er
n ern on
m r e
Cluster Organisation
Through our values we can build
bridges not only internally, but
also internationally by
- Building up collaboration
between
our members
- Knowledge sharing and
educate
- the you will be seeing the
progress & development
required.
T
h
e
B
r
i
d
g
e
B
u
i
l
d
e
r
8
2 0 2 3
The Bridge
Builder
www.energycluster.is
32. Innovation for Sustainability
Profitability in a Green
Economy
Sustainable
Society Building
CONFERENCE HIGHLIGHTS
Explore the innovative
frontiers of geothermal
technology and research.
Witness how
groundbreaking
innovations are shaping
the future of energy and
society, driving us towards
a more prosperous and
sustainable future.
Uncover the economic
viability and profitability of
geothermal ventures in
the green energy sector.
Learn about investment
opportunities, business
models, and financing
strategies that make
sustainability a profitable
venture..
Geothermal is more than
energy; it's a catalyst for
change. Discover how
geothermal can help build
resilient, clean, and
prosperous societies for
generations to come. Explore
its applications in urban
development, industry, and
beyond.
Climate
Resilience
Dive into discussions about
how geothermal energy is a
vital tool in combatting
climate change as a
renewable resource.
Discover its role in reducing
greenhouse gas emissions,
securing a stable energy
supply, and creating a
sustainable tomorrow.
Diversity
Geothermal is for all, and it
knows no boundaries.
Whether you're a seasoned
industry expert, an investor
looking for opportunities, or a
visionary shaping the future,
this conference is your
platform to connect,
collaborate, and redefine our
future society.
www.igc.is - email: igc@energycluster.is
10
WWW.IGC.IS
34. Coming together is
the beginning.
Keeping together is
progress. Working
oge er e .”
Henry Ford
• www.energycluster.is
rosbjorg@energycluster.is THANK YOU
36. ENABLING LEGAL AND REGULATORY
FRAMEWORKS FOR THE DEVELOPMENT OF
GEOTHERMAL RESOURCES
Webinar
19th of December 2023
WWW.BBAFJELDCO.IS // BBAFJELDCO@BBAFJELDCO.IS
37. / Our Energy
BBA//Fjeldco advises clients on legal issues relating to harnessing Natural Resources in various countries.
Iceland is at the forefront of geothermal development worldwide, and at BBA//Fjeldco, we have advised some
of the leading companies in the space in countries including the Philippines, Indonesia, China, Abu Dhabi, Nepal,
and Ethiopia.
Our project advisory scope extends to securing terrain for geothermal research, advising on Power Purchase Agreements and Project
Agreements, and dealing with governments and energy authorities concerning licenses, feasibility studies, exploration drilling,
construction of facilities, and more.
We have advised governments, inter-governmental agencies, and development banks such as the World Bank,
UNDP, the European Union, and the Turkish Development Bank on regulatory aspects of renewable energy.
We have reviewed and drafted laws and regulations in Iceland, France, Turkey, Djibouti, Kenya, Ethiopia, Kazakhstan, and the Comoros
Islands. We also participate in international research and development projects in renewable energy.
In cooperation with several first-class law firms in the world, we created the Geothermal Transparency Guide,
providing an overview of the geothermal regulatory framework in 17 countries – see http://www.geothermal.bba.is/.
The firm is expanding the Guide scope to include between 30 and 40 countries.
38. Attract investment
Resource protection and management
Takes into account technical specificities
of geothermal resource
Provides mechanisms to facilitate social acceptance
/ What is an enabling legal framework?
39. WWW.BBAFJELDCO.IS // BBAFJELDCO@BBAFJELDCO.IS
/ Legal aspects of geothermal projects
Licencing procedure
and types of licences
Definitions
of resources
Ownership
of resources
Environmental
obligations, social
acceptance and
sustainable use
Licencing authority
(one-stop-shop)
Cascaded use
of resources
Information
sharing
Access to
networks and
grid connection
Incentives
and risk sharing
Access to
land/resources
Monitoring
and surveillance
De-commissioning
40. / Topics covered in the presentation
Importance of state policy
Cascaded use of resources
Environmental issues and social acceptance
42. / The importance of state policy
Most countries which are successfully developing their geothermal resources, have established and followed
a clear and realistic policy relating to the harnessing of geothermal resources
Policies need to consider both the short-term and long-term goals of the government in respect of exploration
and exploitation of resources
n order o e b me n ngf po e , r o nder nd e o n ry‘ po en re o r e , we
the success or failure of existing projects
T erefore, e o e on of d nd e re on of „geo erm “ n mpor n pe of e b ng
and maintaining a viable state policy on the use of geothermal reservoirs
Policies need to take into account environmental issues and the potential impact on communities and municipalities
44. Blue
Lagoon
Spa
Carbon
Recycling
International
Orf Genetics
/ The Resource Park (Svartsengi)
Blue Lagoon
5 Star Hotel
Blue Lagoon
Health Spa
Blue Lagoon
R&D
Northern Light
Inn Hotel
HS Orka
Power Plant
Svartsengi
The companies in the Resource Park were built next to the power
plants to be able to utilize the effluent resource streams from the plants.
Each of the companies of the Resource Park is held by different, private entities
and individuals, and (via agreements with HS Orka) uses certain by-products from
the production of electricity or direct use, from geothermal reservoirs.
The location of the companies is no surprise – their production needs to be
located close to nearby HS Orka.
45. *Precipitated Silica
Hot Water
Production
/ The Resource Park (Reykjanes)
Stolt Sea Farm
Sea Wells
HS Orka
Powerplant
Reykjanes
Laugafiskur
The companies in the Resource Park
were built next to the power plants to
be able to utilize the effluent resource
streams from the plants
* potential new ventures
*Verticial Farming
*Algae Farm
Haustak
46. / Cascaded use – issues to be covered in legislation
Multiple licenses for one resource
Clearly define the activities allowed under the licenses
(direct use, power generation etc.)
Clearly provide for the possibility to extract by-products
such as minerals or CO2
Shared liability of the users
Ownership of the resource or right of use
48. / Environmental and social issues
Environmental impact assessment
Social impact and impact on local communities
Sharing and allocation of environmental liability
Waste management
49. / Icelandic Master Plan for Nature Protection & Energy Utilization
Goals
• reconcile the often competing interests of nature conservation and energy utilization
• on a national scale
• at the earliest planning stages
Methodology – classification of power plants options into 3 categories
• Utilization
• On hold
• Protection
Applies to hydro, geothermal and wind power
Two to three rounds of public consultations
52. Private & Confidential
CONTENTS
1. Arctic Green Energy
2. Importance of Heating
3. Adopting to old distribution networks
4. Investment Capacity
30
53. Private & Confidential
Who we are & What we have accomplished
Arctic Green Energy with origin in Iceland, with Icelandic majority ownership, Icelandic leadership and benefits
from Iceland´s 100 years of successful geothermal development history.
31
DEVELOPER, OWNER AND OPERATOR, from Resource to Customer, an
unbroken chain of clean heating and energy systems in over 70 municipalities
across Asia and Europe
INDUSTRY LEADER with proven track record of developing profitable
geothermal projects
ENERGY TRANSITION PIONEER having proved on a massive scale that
geothermal is the most environmentally friendly and profitable method of providing
cities with clean heat
80 million m2
Connected
capacity
950+
Wells drilled
900+
Heat pumps in
operation
700+
Heat centrals in
operation
120+
Patents
registered
4.2 million T
CO2 saved in 2022
16 million T
CO2 saved from
2007
8+
Waste Heat
projects
54. Private & Confidential
Arctic Green Energy around the world
32
Arctic Green and its JVs form the wor d’ rge nd f e grow ng geo erm d r e ng omp ny on a
mission to bring green geothermal energy to cities across the world
Global operations covering producing 6.5 GWth of clean thermal energy for house heating in Asia and Europe
with a Knowledge Center in Iceland
CHINA
Heating & Cooling
SINGAPORE
HQ
HUNGARY
Electricity & Heating
**NEW OFFICE**
ICELAND
Knowledge Center
The Energy House, Reykjavik
Fortune Finance
Center
Beijing
Ocean Financial
Centre
Singapore
55. Private & Confidential
The Importance of Clean Heating & Cooling
33
Without Transition to Clean Heating & Cooling the World will not reach declared Net Zero Goals
Source: REN21, IEA, IPCC, IRENA, WHO estimates
Total Global Energy Usage*
6x
more demand for
building heating &
cooling anticipated by
2050
Rapid transition to
Renewables
Slow transition to
Renewables
99%
of humanity breathe
unhealthy air
Transport
Electricity
32%
17%
51%
85%
of heating & cooling is
generated by fossil fuel
consumption
7 million
estimated annual
premature deaths from air
pollution
Heating &
Cooling
56. Private & Confidential
How we do it?
We transform Suffering Cities into Breathing Cities with clean air and
healthier ecosystems one block and one neighborhood at a time
Public Health
Quality of life
increase
dramatically
34
We drill typically 2 km into the ground, a pair
of wells, one for extraction and the other for
reinjection of the used brine
HOW WE DO IT
Our district heating or cooling systems then
deliver heated or cooled water to the
communities
Our decentralized solutions can be
implemented in new construction or in existing
infrastructure woven into the urban landscape
Within the closed loop we extract the heat
through heat exchangers or absorption chillers
for heating & cooling Carbon Savings
by taking down
the chimneys
Direct Use of
Geothermal
57. Private & Confidential
Adapting to existing infrastructure
35
Geothermal resource: 1500m depth, good permeability, 85°C
Existing District Heating grids: operating with 110°C forward and 70°C return
62. Private & Confidential
Europe’s significant geothermal potential
Europe’s natural resources have great potential for both geothermal district heating and electricity. This natural
potential is met with positive political tailwinds of decarbonization and energy security
40
Per the European Geothermal Council, potential in Italy, France, Germany,
Netherlands, Ireland, United Kingdom, Slovakia, Slovenia, Czech
Republic, Romania, Bulgaria, Poland, Denmark, and Hungary
VAST GEOTHERMAL POTENTIAL ACROSS EUROPE
1/3
of E op ’ pop a on can
be served by its geothermal
heating resources today, and
potentially more in the future
6,000
district heating systems
exist in Europe today,
providing the infrastructure
needed to implement
geothermal
40%
of E op ’ a mpo
are from Russia 75% of
which is used for heating (2/3
residential heating and 1/3
industrial heating)
240
geothermal-based district
heating systems exist,
opening tremendous potential to
convert the other 5,700+ into
GeoDH systems
POTENTIAL BY THE NUMBERS
63. Private & Confidential
From source to city pipelines
20 km long
900 mm diameter
1450 kg/s gravity flow
2250 kg/s
w/10 bar pump pressure
Slide 41
69. About Verkís
Consulting engineers in energy since
1932, the oldest and most experienced
firm in Iceland.
Verkís’ core business is to create value
for our customers and support
development of the society and its
infrastructure by providing professional
consultancy and design.
With 350 employees, we provide integral
engineering consulting services.
THE COMPANY
VISION
OUR EXPERTS
70. EXPERIENCE
Extensively involved in all development
stages of geothermal projects in Iceland
and numerous projects around the world
since the 1960s
EXPERTISE
SERVICES
Verkís covers all technical aspects related
to the exploitation of geothermal
resources
Verkís provides integral consulting and
engineering services at all phases of
projects
Geothermal experts
71. AGENDA
1. Development of geothermal projects
2. Examples of O&M issues
3. Operation and maintenance management
4. Operation and maintenance contracts
73. GEOTHERMAL UTILIZATION – BROAD SPECTRUM
POWER
Electricity production
at temperature
>150°C
HEAT
Any direct use
(heating, food
production and
conservation,
industry…
At any temperature
POWER BY-
PRODUCTS
Freshwater, gas,
heat…
MINERAL AND GAS
EXTRACTION
Lithium, Manganese,
CO2, H2S…
83. TYPICAL (SIMPLIFIED) GEOTHERMAL DEVELOPMENT PLAN
1 2 3 4 5 6 7 8 9 Years
Resource
reconnaissance
Planning &
preparation
Implementation
Operation
Exploration license
Surface Exploration
ESIA (Drilling)
Pre-feasibility study
Drilling)
ESIA (Power plant)
Feasibility study
Design and power plant construction
Commissioning and start-up
Operation
Decision to proceed
>30 years
85. FIRST YEAR OF OPERATION
• Well decline
• Enthalpy change
• Gas content change
• Chemistry
• Scaling
• Corrosion
• Wear and tear
• Training and operation skills not in place
86. STEAM PIPES LEAKS
• Corrosion starts inside the pipe, typically
in the bottom part of the pipe
• Cracks, due to low quality material, rapid
heating up/cool down cycles and other
pipe stress episodes
• Corrosion from the outside, due to water
ingress in the insulation
87. SCALING
• Due to high content in two phase flow ppm
of SiO2,Ca,Cl, scaling typically start at
flashing point.
• Reduced flow from production well to
separator
• Pipe cleaning with high water pressure jet
up to 3000 barg
• Possibility to install inhibitor systems
91. OPERATION
• Staff on site to monitor the operation of
the plant
• Observe malfunction of operating system
and report
• Check sensors and actuators and report
• Take over automatic control to avoid
“accidents”
• Minor repair
92. ROUTINE MAINTENANCE
• Conducted regularly, as part of routine
maintenance procedure
• Routine maintenance
• Leaks
• Noise
• Examples of routine maintenance of resource
gathering system:
• Weekly visit:
• Check for leaks
• Control valve movement test
• Check instrument and compare to actual value with manual meter.
• Monthly visit:
• Check condition of the sliding support for supply pipe brine and steam
93. PREVENTIVE MAINTENANCE
• Preventive Maintenance is performed while
the equipment is still working, so that it
does not break down unexpectedly.
• Key element for long run operation and
high performance
• PM is an action based on analyzed
function of the system, predicts system
function and possible failure
• Feedback from operation
94. PLANNED MAINTENANCE STOP
• Minor, annually, 1 week
• Major, every 3-4 years depending on the
system
• All units shut down and cool down
• Wellhead control valve taken off for inspection
and cleaning
• Steam supply pipe inspected for scaling inside
with pipe camera.
• Isolation valve check for conditions open and
close.
• Separator open for inspection
• Instrument equipment inspected and
recalibrated.
• Control valve taken off for inspection and
cleaning.
• Steam pipe proceed pressure test with water up
to design pressure
96. OPERATION AND MAINTENANCE COST
• Operation & maintenance costs highly
dependent on:
• Type of geothermal direct use application
• Its size
• Its features: such as chemical composition,
temperature, equipment selected…
• Typical components:
• Personnel
• Spare parts and consumables
• Scheduled maintenance
• Overhead and insurances
• Well replacement
97. TYPE OF OPERATION MANAGEMENT
• Organized by developer
• Hire an experience Chief of operation
• Training of operators from other types of
plant
• All operation by external service company
98. TYPE OF MAINTENANCE MANAGEMENT
• Organized by developer
• Hire a chief of maintenance
• Training of workers from other types of plant
• Minor maintenance
• Inhouse 40%
• Contractor 60%
• Major overhaul
• In house 10%
• Contractors 90%
• Maintenance by external service company
99. CHUMATANG, INDIA
DO, WHAT YOU CAN, WITH WHAT YOU HAVE, WHERE YOU ARE
Theodore Roosevelt President of USA, 1901-1909
Thank you!