Study on the exploitation, utilization and cooperation of geothermal energy between Iceland and China

Abstract

Iceland has a long history of geothermal resource utilization and gains successful experiences in the exploitation and management of geothermal resources. Although China has abundant geothermal resources, the utilization rate is not high, and its management mechanism is not perfect yet. There is still much to improve. Through the comparison of geothermal resource utilization and management between Iceland and China, combining with the evolutionary game model of energy cooperation, this paper draws a conclusion: although both sides can gain corresponding benefits by strengthening energy cooperation, the urgency of cooperation between them is not very strong and the cooperation is in a still mode. With the increasing proportion of China’s clean energy usage and pressure on traditional energy security, as well as the promotion of China-Iceland free trade zone in bilateral economic and trade cooperation, their willingness for energy cooperation is very likely to be strengthened. Therefore, both sides should be forward-looking when formulating energy strategies, establish a geothermal enterprise alliance, share knowledge and information, actively deepen the co-development of unconventional geothermal energy.