Sultartangi Line 3

3.6.2009

The Planning Agency has approved the proposed construction of the 400 kV Sultartangi Line 3 from Sultartangi Station to Brennimelur in Hvalfjardarströnd north of Reykjavík, in accordance with all the options presented in Landsvirkjun's assessment report.

The purpose of the line is to boost transmission capacity within the electricity system to the Brennimelur subtransformer station, in connection with possible increases in power consumption in the area it serves, such as an expansion to the Nordurál smelter at Grundartangi. The line also represents an important stage in development of Landsvirkjun's 400 kV transmission network.

The Planning Agency has set a number of conditions for the project.

1. Proposed monitoring of seeding activities on land reclamation areas and the completion of tracks, pylon sites and quarries will be maintained for at least 10 years. Monitoring will aim for the seeding activities to deliver the intended results and taking of suitable action if erosion of grown land is noticed.

2. The developer shall delimit quarry areas nos. 24, 25 and 39 before development takes place in consultation with the Nature Conservation Council, in order to minimize disruption to flora in the area.

3. In consultation with the Nature Conservation Council, the developer shall assess the best arrangements for quarrying in the following areas which are listed in the EIA and this ruling: Quarry areas nos. 3.1, 8, 9, 9.1a, 9.1b, 9.1c, 11.1, 27, 28, 41, 42A and 42B. A plan for quarrying shall be presented by the developer in accordance with the Nature Conservation Act no. 44/1999 before development takes place, based on the conclusions of consultation about quarrying from the above sites.

4. An ornithologist will be commissioned to examine the best arrangements for quarrying from the proposed sites with respect to its impact on bird life. A plan for quarrying shall be presented by the developer in accordance with the Nature Conservation Act no. 44/1999, based on the ornithologist's findings.

5. The laying of tracks for installation of the transmission line will be harmonized with land usage plans of local authorities and landowners.