geothermal eip & food production 27.10.20... · 2020. 12. 3. · vaxa hellisheidi geothermal...

Geothermal EIP & Food production

“64.17% of food price variance is explained by oil price movement”

Farhad Taghizadeh-Hesary et al. 2019

The global food system accounts for around 30% of the total energy use

FAO, 2011

The global food system:

Water Withdrawal

70% of global use

Employs

28%of the world's population

25-30% of total GHG

37% Of worlds

landmass used for agriculture

(excl. Antarctica)

4000 million t/year

produced

market size

12.24 trillion USD by

2020

Source: FAO.ORG /World Resources Institute

Living Planet Index (LPI)

▪ In 2020, the LPI shows an average rate of decline in population size of 68% between 1970 and 2016.

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“To meet the increasing demand from a growing population we will need to produce more food in the

next 40 years than has been produced in the previous 8,000 years.”

Jason Clay, Senior Vice President WWF

Population will grow to 9-11 billion

Food production must increase about 50-70%

Energy consumption will double

4.5 billion will belong to the middle class

Increased pressure on water resources

The status in 2050

Source: FAO.ORG /World Resources Institute/IPCC

The food system is changing

Global food

system

Sustainability pressure

Technology

Customer demand

Climate change risk

Food Security

Food system in crisis

How can geothermal be part of the solution?

• Cost• Environmental pressure• Policy

Food-Water-Energy Nexus

https://bush.tamu.edu/istpp/nexus/

The natural environment

Managing environmental conditions & regulations

ProcessingShipping and distribution

Sustainable resourcesOptimized

environmentProcessing

Shipping and distribution

Electricity to the grid

Geothermal Plant Post processingBio based industries

CO2Steam / hot waterElectricityWaterChemicals

Steam/hot waterElectricityWater

Increased value from local agriculture

Innovation will drive adoption to climate neutral food system

Future food system trends

Food Security

Trust and transparency

Clean and sustainable

Increased automation

Optimized resources use

Controlled environment

The competitiveness of geothermal energy for food production

The cost of heating 4 ha greenhouse

6.5

4.4

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0.9 0.6Finnland Pólland Holland Spánn Ísland

MUSD per Year

Direct use of geothermal heat vs wind energy from the grid for food processing

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Wind energy from grid (EU) Geothermal heat energy (Iceland)

EUR/MWh

Example of Mokai New Zealand

Tomatoes -11.4 hectares

Miraka milk processing plant (250.000.000 liters of milk process annually)

110 MWTuaropaki power company / Mercury Energy

VAXA Hellisheidi Geothermal plant (ON Power)

CO2

Electricity

Work with Rescearch institutions and

universities

Encourage local innovation

Shared Infrastructure & Technology

Increased value with processing