Iceland s economical practical and safe outdoor power supply

Does Iceland need a long-term energy policy?

Iceland needs long-term energy policies for maintaining and enhancing energy security, specifically for electricity supply. Some options include expanding clean energy capacity. (The passage also mentions other options for energy security and economic growth, but the focus is on electricity supply in response to the question.)

Who produces electricity in Iceland?

There are three main electricity producers: Landsvirkjun, which is state-owned; Reykjavík Energy, owned by three municipalities; and HS Energy, owned by local municipalities and private investors, some of whom are foreign. There is a nascent wind power sector and some interest in developing solar power, especially for off-grid uses.

What would happen if Iceland had a non-served energy supply?

If Iceland experienced a non-served energy supply, existing secondary energy would be equal to around 147GWh (0.9% of industrial demand), and non-served energy would be approximately 30GWh. This would not only include buyback energy. Iceland would experience severe curtailments, around 50GWh, one out of eighteen years.

Should Iceland be proactive in ensuring electricity security of supply?

The Icelandic national government and regulators should be proactive in ensuring that their citizens and the companies functioning in Iceland have acceptable levels of electricity security of supply.

Is it reliable to buy electricity in Iceland?

Iceland is reliable for electricity, as it is 99.9% independent in electricity (71% hydrothermal and 29% geothermal).

How do industrial consumers deal with energy scarcity in Iceland?

Industrial consumers in Iceland handle energy scarcity by providing flexibility in the form of two types of negotiated curtailments: secondary and buyback energy. While curtailments of household demand are theoretically possible, industrial consumers are the primary users who provide this flexibility.