We offer energy solutions to our customers that reflect current global trends. We are committed to providing our customers with a high standard service and competitive products to meet their energy needs.
We sell 85% of our energy to energy-intensive users and generated a total of 14.8 TWh of energy this year.
Today's fast-growing data center industry
The number of data industry customers has increased alongside the demand for high performance computing (HPC) and specialist services in block chain technology.
Data centers in Iceland serve large international companies who use these services for advanced scientific calculations, simulations and modelling. Data centers in Iceland perform crash tests on cars and drug effect simulations.
Landsvirkjun signed power contracts with both Advania Data Centers and Etix Everywhere Iceland in 2018. Verne Global is already a valued customer.
PCC BakkiSilicon’s silicon metal plant in Húsavík began operations this year. Landsvirkjun's now has a total of ten energy-intensive customers.
Landsvirkjun and Advania Data Centers signing the contract
Division of electricity sales
Advania Data Centers
Advania Data Centers is a high-tech company that began operations in 2014. Advania offers a diverse range of data services including HPC Cloud services. The company’s operations at Steinhella in Hafnarfjörður and Fitjar in Reykjanesbær are the largest of their kind in Iceland. Landsvirkjun provides Advania with a portion of the electricity it requires.
The smelter in Reydarfjordur is Iceland's newest and largest aluminium plant, producing 346,000 tonnes per year. The smelter is one of three in Iceland and became fully operational in 2008. Landsvirkjun supplies 100% of the electricity required.
The Elkem ferrosilicon (FeSi) plant at Grundartangi became operational in 1979 and initially produced 60,000 tonnes per year. The capacity of the plant was increased in several stages and today the plant produces 120,000 tonnes per year, a large part of which is speciality FeSi. Landsvirkjun supplies 100% of the electricity required.
Etix Everywhere Iceland
Etix built a data center in Blönduós in 2018 and also runs a data center in Reykjanesbær. Operations have grown rapidly in recent years. Landsvirkjun is the Blönduós Data Center’s main electricity supplier.
The Norðurál aluminium plant in Grundartangi became operational in 1998 and produced 30,000 tonnes of aluminium at the time but rapidly increased its capacity to 60,000. The plant's capacity is now at 300,000 tonnes per year. Landsvirkjun currently supplies approximately one-third of the electricity consumed by the plant.
PCC BakkiSilicon’s new silicon metal plant in Bakki near Husavik began operations in 2018. The facility produces 33,000 tonnes of silicon and Landsvirkjun supplies 100% of the electricity required.
Rio Tinto Alcan
The Rio Tinto Alcan aluminium plant in Hafnarfjordur became operational in 1969 and initially produced 33,000 tonnes of aluminium per year. The smelter's annual capacity has been increased in stages since then. Landsvirkjun renewed its power contract with the company in 2010 and its capacity has now been increased to about 211,000 tonnes. Landsvirkjun supplies 100% of the electricity required.
TDK Foil Iceland
TDK FOIL (previously Becromal) produces aluminium foils for electrolytic capacitors. The company began operations in Akureyri in 2008 and Landsvirkjun supplies 100% of the electricity required.
Verne Global's data center in Ásbrú in Reykjanesbær began operations in 2010 and was the first of its kind in Iceland. Landsvirkjun provides Verne Global with all its power in Iceland.
United Silicon previously operated the silicon metal plant in Helguvík. The company went into bankruptcy in 2018 and the company Stakksberg, which is owned by Arion Bank, took over that same year. Stakksberg’s objective is to carry out various improvements.
The wholesale electricity market is where electricity is traded between producers and suppliers.
Landsvirkjun sells electricity to its wholesale customers who then sell the electricity to homes and businesses.
Landsvirkjun sells approximately 15% or 2.3 TWh of its electricity to the wholesale market. A new type of wholesale contract was introduced in 2017 resulting in lower power supply commitments and an increase in short-term electricity purchases. The new contracts were designed to improve the utilisation of the electricity system, thereby protecting natural resources.
These shorter, more flexible agreements facilitated the entry of new market players and increased competition. The companies Íslensk orkumiðlun and Orka heimilanna are newcomers to the wholesale market and are now part of our client base. Our other suppliers include Orkusalan, ON Power, HS Orka, Fallorka, Westfjord Power Company and Rafveita Reyðarfjarðar.
Green certificates are provided by us for all sales on the wholesale market to prove that the electricity has been produced using renewable energy sources.