One of the major advantages of space colonization by the use of free space habitats instead of planetary “space” colonies, is the separation of functions. Gerard O’Neill already advocated that residence, agriculture and heavy industry should be separated from each other, i.e. that agriculture and heavy industry should not be done in the same structure where most residences are located.
In regard of the separation of agriculture and residency, O’Neill gives two main arguments. First, in a space settlement we have full control over both climate and day length. However, the climate preferred by most citizens is not necessarily the most optimal climate for the cultivation of crops. Second reason is pest control. If in an isolated space farm a pest will occur, it will be easy to deal with it by sterilizing the farm by increasing temperature above the limit life cannot survive. It’s quite obvious that we cannot do this, in a space habitat populated by humans.
For the separation of heavy industry and residency, the arguments are even more straightforward. Heavy industry impose a great danger to health and safety through its pollution and potential of explosion and similar disasters. By banning heavy industries from space habitats, we create a clean and save environment for people to live.
A second argument put forward by O’Neill is related to his proposal to divide space settlements over three time zones, with a 8-hour difference between each successive zone. Because heavy industry is located outside any space habitat, they can be in continuous operation. And if the industry hires shifts from different time zones, night work which is considered as unpleasant by most, will be avoided.
O’Neill imagined that space settlers employed in heavy industry, would commute each day between their home and their workplace. But technology has improved much since the mid 1970s, that nowadays much work can be automated and where people are still needed teleoperation will allow workers to run factories without leaving their space habitats or even their homes.
Besides the desire the avoid night work, there’s another reason for dividing space settlements among different time zones (which surprisingly is not mentioned by O’Neill). The principal power source of space settlements will be solar power. And since there’s no night in space (in space settlements night has to be created by covering the windows), space based solar power plants will run continuously and hence have a continuous output. But the demand for power is not continuous over the day, causing surpluses at some moments and shortages at others.
If we divide the population of three time zones with an 8-hour difference, the power demand curve will be flattened. This because if one settlement is facing a power shortage at some point, it’s likely that another settlement has a surplus since their population is experiencing another phase of the day.