Most of the people in Iceland heat their homes with hot water - often obtained directly from geothermal sources. Electricity comes mostly from hydroelectric or geothermal sources. Less than 1% of the electricity comes from fossil fuels - more than enough to power all of the air conditioners (which are almost non-existent)

Geothermal Power plant

The little ball in near the center is the location of the bore hole. The pipes carry very hot water back to the central facility in the field where it is used to heat fresh water to about 85 degrees C (nearly 200 degrees F)

Then the hot water is piped to the city or towns for use in radiators for heating

The Blue Lagoon, a very popular tourist destination, exists near the airport in Reykjavik.

Here the waste hot water flows into a pool suitable for swimming and steam baths for tourists. The water is about 38 degrees C (99 degrees F)

The Blue Lagoon of the North near Myvatn

Pipe transporting hot water at about 84 degrees C (190 F) used for heating homes and businesses.

Hydroelectric power plant

Another view of same power plant