Iceland is an island just south of the Arctic Circle, perched directly atop a rift where two tectonic plates are drifting apart, exposing the magma below. It is a small country (physically about the size of Kentucky, with a population a little larger than Cleveland, Ohio’s), but what it lacks in size it makes up for in drama. It is a land of glaciers and volcanos, ice and fire, wind and rain and snow — and deep heat that makes them bearable.

I was there for four days last week, meeting with sustainability-related businesses, hearing about everything from micro-algae to grid monitoring to carbon recycling to using 100 percent of the fish. There’s an incredible amount of innovation going on there, and to my unending delight, a great deal of that innovation is in some way or another in a symbiotic relationship with geothermal, the heat and power that Icelanders pull from underground.

Iceland’s electricity is entirely carbon-free — roughly 70 percent hydropower and 30 percent geothermal — and so is its heating, 90 percent of which is geothermal. Overall, 85 percent of its energy consumption is carbon-free, and it is aiming for 100 percent by 2040.

To hear more about all this, I visited the Reykjavik office of Halla Hrund Logadóttir, who runs Iceland’s National Energy Authority, overseeing the country’s electricity system. She used to teach at the Iceland School of Energy at Reykjavik University and now teaches at the Harvard Kennedy School, where she co-founded the Arctic Initiative and founded the Arctic Innovation Lab.

There’s no one with a better sense of the overall state of Iceland’s energy situation. We talked about the country’s history with geothermal, its current energy mix and policies, and its race to become the world’s first fully carbon-neutral nation.

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What's the deal with Iceland?

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