While Japan grapples with growing concerns over the impact of high crude oil prices on energy costs, Iceland stands out as a successful model for tapping into its abundant geothermal resources, painting a starkly different energy picture.
Iceland, an island nation straddling the Mid-Atlantic Ridge, has become one of the world's leading renewable energy powerhouses by maximizing its unique geological advantages. With dozens of volcanoes and natural hot springs, Iceland has developed an efficient geothermal extraction system that supplies clean energy for the majority of its electricity and heating needs.
The lessons from Iceland are expected to help Japan—a country with significant yet underutilized geothermal potential—find new directions in its energy security strategy. Despite sitting on the Pacific Ring of Fire with rich geothermal sources, Japan remains heavily reliant on imported fossil fuels, leaving it vulnerable to international oil price fluctuations.
Learning from Iceland goes beyond extraction technology; it also encompasses policy approaches and long-term investment in renewables, aiming to reduce risks from the global energy market and pursue sustainable development goals.
