Cool, Secure and Full of Icelandic Green Energy

Cool, Secure and
Full of Icelandic
Green Energy
The Perfect Place for
Your Data Center
ON Power
The Nature of
Icelandic Energy
World Leader in Green Energy
ON Power is a leader in the Icelandic electricity market. We supply green and
sustainable power, mainly produced by geothermal energy, to more than half of the
population of Iceland.
The Company is a world leader in the utilisation of geothermal energy and owns and
operates one of the largest geothermal heating utilities in the world. ON has a longstanding experience of maintaining successful and rewarding working relationships with
large international companies.
ON is a subsidiary of Reykjavik Energy.
Green Power Plants
ON owns and operates the two largest geothermal power plants in Iceland. We have
built upon almost 100 years of experience in harnessing Iceland’s abundant geothermal
resources.
Our power plants at Hellisheiði and Nesjavellir symbolise of the vast experience that has been
built up in the field of geothermal energy in Iceland. In addition, we operate one hydroelectric
power plant.
The combined output of our operations:
• 450 MW of electrical power
• 1,100 MW of thermal power
All our energy
production is
certified green,
sustainable and
renewable
Cold Facts
about Iceland
Top 10 reasons to choose an Icelandic location:
• Green image and zero carbon footprint
• One of the world’s most reliable power infrastructures
• High level of education and flexible labour market
• Cool climate location between the USA and Europe
• Access to markets in the USA and Europe
• Free trade agreement between Iceland and China
• Favourable business environment with official support,
low taxes and legislative framework
• Economic gain through cost efficiencies
• European and Scandinavian regulatory framework
• Political and social stability and low crime rates
Clean Natural Environment
Iceland is a world leader in the use of green and renewable energy as almost 100 per cent of
electricity in the country is produced using geothermal and hydro resources.
Free Cooling
The natural cool ambient weather conditions in Iceland provide year-round free air cooling and
therefore make the country an ideal location for data centers. In an industry where half of the
power cost goes toward cooling this is a clear advantage.
By lowering the total energy consumption and relying only on renewable resources On Power - ON
offers an appealing option for both your budget and the environment.
Cut cost and
minimise your
carbon footprint
Competitive
Advantage
For a 10,000 m2 data center on a 15-year horizon, a site in Iceland provides a
competitive advantage. Iceland represents close to a €45 million cost advantage over
the US and €120 million when compared to the UK.
The competitive advantage is attributable to the advantageous power rates and
attractive labour market conditions in euro terms.
•
•
ICELAND vs. UK = €120 million
ICELAND vs. US = €45 million
Favourable Business Environment
Iceland focuses on maintaining a favourable environment for business in general,
including low corporate tax, availability of land, a streamlined business environment and a
new incentives regime.
As a member of the European Economic Area, Iceland is part of the European internal
market with European legislation, including a comprehensive data protection act, and tariff
free access to the European Union.
A new effective incentive regime for new direct investments in Iceland has been introduced,
offering a range of benefits.
Present value of total capital investment and 15 year operating
expenditure by country (discount factor 12%)
Present value of total capital investment and 15 year operating
expenditure by country (discount factor 12%)
600,000
350,000
300,000
500,000
250,000
Thousands €
Thousands €
400,000
300,000
200,000
150,000
200,000
100,000
100,000
-
50,000
IC UK USSW
-
IC UK USSW
Locations
Locations
Present value
Source: Price Waterhouse Coopers Belgium, comparative research, 2012
Present value capex
Present value opex
Gain the
Competitive
Edge with ON
Competitive power prices with long term contracts
The low production cost of electricity in ON´s geothermal power plants gives us a definite
competitive edge in a world of ever rising energy prices.
ON offers:
• The most competitive power prices in Europe
• Long term contracts that are negotiable on commercial terms
• Site location in close proximity to Reykjavik and the international airport
• Quality with regard to voltage and frequency fluctuation
• Renewable, green energy
• Solid EU data transmission
• A quality power grid, among the world’s top 3
• A skilled and educated workforce
• 100 years of experience using geothermal resources
100 years
of experience
using geothermal
resources
Possible Locations
There are several excellent locations for your data center close to the city of Reykjavik:
Esjumelar
The distance from Reykjavik city centre is 19 km. The distance from Keflavik Airport
is 60 km.
Keflavik Airport
Situated right by Iceland’s international airport and 46 km from the city of Reykjavik.
Lambhagavegur
Only 13 km from the Reykjavik city center and 55 km from Keflavík Airport.
Hádegismóar
Located 53 km from Keflavík Airport and 11 km from the Reykjavík city center.
Hólmsheiði
The distance from Reykjavík city centre is 13 km and 53 km to Keflavik Airport.
City Center
Esjumelar
Lambhagavegur
Hádegismóar
Hólmsheiði
Keflavík Airport
Over 200,000 people live in the
greater Reykjavik area - 2/3 of the
Icelandic population.
The Farice network
Latency from Iceland to:
London
18.9 ms
Amsterdam
17.8 ms
Copenhagen
14.9 ms
Hamburg
15.1 ms
New York
40.6 ms
Halifax
33.7 ms
Montreal
58.8 ms
Source: Farice
Farice
8,000 GBIT/S
Danice
20,000 GBIT/S
Iceland’s National Grid
One of top 3 most reliable
power systems in the world
Transmission system
Power plants
Power intensive users
All utilities and power intensive users
are directly connected to the main grid
Control centre
Corporate users
Utilities/distributors
Consumers
Power plants
All power plants 70 MW and larger are
directly connected to the main grid
ONS-U-250 -02
ON Power | Bæjarháls 1, 110 Reykjavik | Tel.: +354 591 2700 | www.on.is | energy@on.is