Reykjavík Energy (Orkuveita Reykjavíkur), the public utility serving Iceland’s capital, received approval today for its financial forecast covering the years 2027 to 2031. The plan includes a significant investment programme totalling 218.7 billion Icelandic krónur for the period, according to a report by mbl.is. The investment programme could affect consumer bills, service levels, jobs and local infrastructure.
The board’s approved forecast projects an increase in annual revenues of 22.2 billion krónur over the five-year period. The company’s financial strategy was finalised and approved earlier today.
Alongside the financial plan, a mandate has been approved enabling actions that could result in a change of ownership for Ljósleiðarinn, a Reykjavík Energy subsidiary. Details of the potential ownership changes were not specified in the report.
Background: Energy sector investment and related industries
Reykjavík Energy is a major utility company in Iceland, providing electricity, heating, and other services across Reykjavík and the surrounding area. The capital, Reykjavík, is Iceland’s largest city and the centre of economic activity in the country. The region has seen ongoing infrastructure upgrades, both by local utilities and the international data-centre industry.
The data-centre industry, which includes three international companies operating seven data centres in Iceland, has also expanded rapidly, with investments of 57 billion krónur planned for this year alone. These data centres, which are mostly foreign owned, have a significant impact on the Icelandic economy, according to RÚV. The latest analysis on the data-centre sector was produced by Óskar Hrafnsson.
Sources
- mbl.is (first reported) in Icelandic
- RÚV in Icelandic
Image: Ray Swi-hymn from Sijhih-Taipei, Taiwan / Wikimedia Commons (CC BY-SA 2.0) · licence, original (resized) Illustrative image.
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