Introduction
Conclusions
ICELAND
Professor Hydrogen
The idea of implementing a hydrogen economy in Iceland first appeared in 1978, long before hydrogen became the darling of the environmental movement. In his first published paper, Bragi Arnason, a chemistry professor at the University of Iceland, suggested that Iceland should use its two most abundant natural resources, geothermal heat and hydroelectricity, to generate hydrogen which could then serve as an energy carrier. At the time, Dr. Arnason’s gained little support. “People said I was being stupid,” said Arnason [1]. But over time, Dr. Arnason’s idea garnered support as environmental consciousness grew along with advances in the production, distribution and storage of hydrogen. So much so that in 2002, President Olafur Ragnar Grimsson declared that by 2050, Iceland will transformed its energy infrastructure entirely to support a hydrogen economy.
Sources
Why Iceland?
Iceland has several distinct advantages that would allow for a hydrogen economy. The first of which is Iceland’s wealth of natural energy resources. Since the beginning of the 20 th century, Iceland has used its hydroelectric resources to produce electricity. In the 1940’s, the country decided to tap into its other resource, geothermal water, to heat all of Reykjavik, Iceland’s capital and produce about 10 percent of the country’s electricity. Because of this abundance in natural resources, only one third of Iceland’s energy needs are currently supplied by imported fossil fuel.
Besides its energy resources, other qualifications for a hydrogen economy include a relatively small population, most of which is concentrated in and around Rekyavik, and the absence of a domestic fossil-fuel industry that could lobby against an effort to install a hydrogen economy. Last, but not least, Icelanders are generally very environmentally conscious and highly supportive of environmental programs as suggested by the country’s successful recycling programs and clean air and water.
The country closest towards developing a hydrogen economy is not one of the world’s wealthiest, nor its biggest or most populous. In fact, Iceland is not even reputed as the most environmentally responsible country as it had trouble for a while signing even the Kyoto Protocol because of its heavy industry. Yet, this tiny Scandinavian country, with a population of less than 300,000 and a Gross Domestic Product that ranks below that of Rwanda, Macau and Niger is planning to implement a comprehensive national hydrogen economy by 2050.
Dr. Bragi Arnason
Olafur Ragnar Grimsson, President of Iceland Source: AP/World Wide Photo
The Hydrogen Plan
Iceland’s first challenge is to convert every vehicle in the country from gasoline-powered to hydrogen-powered. For a country that has the highest per capita car ownership, this is a daunting task. Besides replacing over 180,000 cars, Iceland is also looking to install a fleet of hydrogen-powered city buses within a decade. In 2003, the first three hydrogen buses and the world’s first commercial hydrogen fueling station appeared in Reykjavik. The biggest challenge, however, will be to convert Iceland’s 2,500 strong fishing-fleet entirely to hydrogen. Storing enough hydrogen fuel to last a long voyage still remains the biggest challenge as current technologies are inadequate in storing and supplying the fuel needed for vessels. Iceland plans on completing its first demonstration project for a fuel-celled powered ocean vehicle by 2006 and to start converting its entire fleet of fishing vessels by 2015.
“Iceland is in a way serving as the model of the society of the future – the society which is environmentally sound, which is based on renewable energy and on a way of life which doesn’t destroy the life or the atmosphere or the biosystem that we have. There’s a lot at stake.” Olafur Ragnar Grimsson, Iceland’s President to BBC in 2002.
Iceland's geothermal resources.
Corporate Involvement
Since 1998, when Iceland first proposed its interests in the hydrogen economy, several of the world’s largest car and energy companies have signed on to provide the technology necessary for such a transition. The motivation for these companies is the same. Like the Icelandic government, many companies foresee the end of the fossil fuel era. They understand that if they are to remain competitive in times to come, they must be the first to invest in new technologies and to participate in emerging markets. In addition, participating in Iceland’s hydrogen experiment also helps these corporations cultivate an environmentally-friendly reputation – something that is increasingly sought after as environmental consciousness rise in developed countries. Daimler Chrysler, the large multi-national automaker, Shell Hydrogen, a subsidiary of Royal Dutch Shell and Norsk Hydro, Norway’s leading hydroelectric company are all members of the joint venture Icelandic New Energy. IN 1997, Daimler invested $450 million in the fuel cell company Ballard to develop its first fuel-cell vehicle. Today, it produces Nebushe, the hydrogen-powered buses that are on Reykjavik’s streets [2]. “We’re working with the future as well. We cannot stay behind and just die,” summed up by Margret Gudmundsdottir, spokesperson for Shell Hydrogen Iceland [3].
Nebus, a hydrogen power bus made by Daimler ChryslerForging Ahead
The world is now looking at Iceland to see if it can realize this ambitious project. Other countries with interests in developing hydrogen infrastructure themselves like the United States, those in the European Union, Canada, and Japan are keen on how this tiny island nation will fair up against such a large task. The Icelandic government, understanding the importance of this project, has the political and the economic will to make the hydrogen economy a reality. As Iceland’s President, Olafur Ragnar Grimsson told the BBC in 2002, ““Iceland is in a way serving as the model of the society of the future – the society which is environmentally sound; which is based on renewable energy and on a way of life which doesn’t destroy the life or the atmosphere or the biosystem that we have. There’s a lot at stake” [3].
