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Jun 1

Welcome!

Welcome to Askja Energy, the Icelandic Energy Portal.

This new website provides information on the Icelandic energy sector. The aim is to offer our readers a clear and concise understanding of Icelandic energy issues. We will be covering all topics relating to Icelandic energy, presented in plain language with relevant maps, photos, charts and other visual explanations.

Whether you are a business director, university professor, venture capitalist, entrepreneur, student, or simply have an interest in issues related to energy, we hope you will find the site both informative and enjoyable.

When browsing the site you can choose the relevant subjects from the main menu at top and/or search for specific topics. Under each category of the main menu, you have several sub-categories. For a more detailed index please go to our sitemap.

Your comments and suggestions are always welcome. You can contact us directly by sending message through our contact-form.

May 30

Attractive Prices

Electricity prices for industries in Iceland are substantially lower than the prices offered in the USA or Canada. In comparison with Europe, Iceland becomes even more competitive.

Thus, Iceland is a very economical location for firms that have electricity as an important cost factor. This fact has for decades drawn energy-intensive industries such as aluminum smelting to Iceland. With rising energy prices around the world and especially in the countries within the EU, new types of industries and services are finding Iceland an increasingly attractive location.

Currently, Iceland’s main power producer is offering long term electricity contracts at a fixed price of 43 USD/MWh. You can read more about the energy related business opportunities in Iceland in our investing section.

May 30

Engineering Expertise

Icelandic engineers and technicians are known for their world-class expertise.

Icelandic engineering and consulting firms have up to 50 years experience in development and construction of hydro- and geothermal power plants and related areas, such as power transmission and infrastructure. Their projects are all around the world, covering wide range of services, including engineering, procurement, construction and maintenance.

For more information about the Icelandic engineering sector go to our pages on engineering & technology. You can also explore more related information, such as the main industries in Iceland and possibilities for foreign investment, under the invest category in the Main Menu.

May 30

Energy Security

Iceland’s stable renewable energy sources and secure and reliable electricity supply create competitive advantage and strong incentives for industries to locate in Iceland.

As Iceland is a member state of the European Economic Area (EEA), the energy business environment is based on the EU’s regulatory framework. This means that the arrangements applying to the single European market extends to Iceland.

Therefore EU and EEA firms can invest, for example, in industries and/or energy production in Iceland. Iceland is also participating in EU’s carbon trading scheme and has same kind of legal framework as the EU member states regarding electricity production and distribution.

Because of Iceland’s unharnessed renewable energy sources, it may be feasible to link Iceland and Europe with a green high voltage electricity cable. Recently, the world has been experiencing fast advancement in HVDC-transmission technologies, making this a real and an interesting possibility.

You will find more information about the technology and the business model behind such a connection under the transmission menu. Also, you may be interested in our investment section.

May 30

Reliable Hydropower

The glacial rivers in Iceland are the source of some of the most cost-efficient hydropower stations in the world.

By sustainable utilization of this renewable natural resource, Iceland now generates more electricity per capita than any other nation. The Icelandic power stations also rank among the worlds best regarding secure electricity supply.

By sustainable utilization of this renewable natural resource, Iceland now generates more electricity per capita than any other nation. Icelandic power stations also rank among the world’s best in terms of secure and reliable electricity supply.

For more information about Iceland’s hydropower, go to our hydro- and geothermal pages.

May 30

Geothermal Leader

Unique geophysical conditions in Iceland offer numerous possibilities for low cost utilization of geothermal power.

Besides electricity generation, this for example includes direct central heating in Icelandic private homes, harnessing geothermal resources for spas and swimming pools, use of greenhouse farming and aquaculture, and even heating some of the streets in Reykjavik during winter to keep them from freezing over

Thus, it is not surprising that geothermal power utilization is a fast-growing industry in Iceland. Additionally, due to its cool climate, very competitive electricity prices and new cable connections, Iceland may become an especially interesting location for data centers.

The photo shows the Krafla Power Plant in Northeast Iceland that has a current capacity of 60 MW.  An expansion is expected to make it twice as large within a few years. For more information about the Icelandic geothermal sector please visit our geothermal pages.

May 30

Positive Winds

Iceland may be a perfect setting for extensive utilization of wind energy.

Wind farms in Iceland can be expected to be almost 100% more efficient than in Europe or USA (according to early research). Due to low population density and extensive areas of land with few natural or manmade barriers, there is plenty of space for large wind parks.

Large-scale wind power utilization in Iceland may be especially attractive in connection with a subsea electrical HVDC-cable between Iceland and Europe. Instead of constructing very expensive offshore wind farms outside the coast of countries like Denmark, Germany, Netherlands and United Kingdom, investing in wind power in Iceland may be both less costly and offer lower political thresholds.

You can find information about wind energy potentials in Iceland on our wind page.

May 30

High-Tech Society

With its successful educational system and one of the world’s highest scores  for entrepreneurship, Iceland is an excellent location for numerous modern industries and services.

In recent years, new enterprises such as biotechnology firms and data centers have found Iceland a profitable and promising place to locate their businesses.  When looking towards the future, Icelandic high-tech society, solid engineering expertise, and natural conditions offer interesting possibilities in advanced green energy development. These advantages  apply to bio-energy, wind power, and marine energy technology, among others.

For more information about life & prosperity in Iceland, you can check out OECD’s Better Life Index and  the Legatum Prosperity Index. You will find more information about Iceland industries in our investment section.

May 30

Forthcoming Projects

The Icelandic government has recently worked out a comprehensive Master Plan for Hydro and Geothermal Energy Resources in Iceland.

The new Master Plan is a pathway towards new renewable energy projects. At the same time it aims at protecting numerous areas from development.

According to the plan, several new hydroelectric and geothermal power plants can be expected to be constructed in Iceland in the forthcoming years. The upcoming power projects are further described under our renewable sources menu.

Environmental consciousness is always an important factor regarding utilization of renewable energy sources in Iceland. For more information about environmental protection in Iceland go to our environmental page.

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