Higher construction emissions, lower emissions from energy generation

Carbon intensity from Landsvirkjun's energy generation was 2.1 grams of CO2 equivalent per kilowatt-hour generated in the first half of 2026, a decrease of 27% year-on-year. The decrease was mainly due to a 37% reduction in emissions from geothermal power generation, following a scheduled maintenance shutdown at Krafla Geothermal Station. Geothermal power generation is the largest source of direct emissions from our operations.

Emissions from reservoirs also decreased, by 24% year-on-year. These emissions are affected by weather conditions and depend on the number of days that reservoirs are covered in ice.

Total greenhouse gas emissions from Landsvirkjun‘s operations, including both energy generation and construction activities, amounted to 7.6 g CO₂-eq/kWh, an increase of 49% year-on-year. In absolute terms, emissions increased by 36% to 47,400 tonnes of CO₂ equivalent, of which approximately 13,400 tonnes were attributable to energy generation.

The increase in total emissions was largely due to increased construction activity. We are currently building Iceland’s first wind farm, Vaðölduver, and carrying out preparatory work for the Hvammur hydropower project. The carbon footprint per unit of energy, i.e. emissions net of carbon sequestration, was 4.6 g CO₂-eq/kWh. In absolute terms, the carbon footprint was 28,604 tonnes of CO₂ equivalent, while carbon sequestration carried out on behalf of the company amounted to 18,800 tonnes, or 5,400 tonnes of CO2 equivalent more than emissions from energy generation.

Avoided emissions from Landsvirkjun’s electricity generation in the first half of the year amounted to approximately 1.4 million tonnes of CO₂ equivalent.

Our energy generation remains aligned with global efforts to limit warming to 1.5°C, and total emissions remain below the 9.1 g CO₂-eq/kWh benchmark for carbon neutrality among energy companies, as set out in our Climate and Environmental Action Plan.

Each year, we publish half-year climate accounts presenting quantitative information on emissions from the company’s operations during the first half of the year. The accounts are prepared in accordance with the methodology of the Greenhouse Gas Protocol (GHGP), the international corporate standard for greenhouse gas emissions reporting.