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National Energy Authority operates under the authority of the Ministry of the Environment, Energy, and Climate in accordance with laws and regulations pertaining to the National Energy Authority

About Us


National Energy Regulatory

Natural Resources

Energy Transition



Energy Reducing Equipment

With amendments to the laws on subsidies for home heating costs, the possibility was introduced for the government to participate in the initial costs of environmentally friendly energy production that reduces electricity heating or oil consumption. Electricity heating can be reduced through various means, including the use of heat pumps, wood heating, etc.

Apartment owners who currently receive subsidized electricity heating and wish to adopt environmentally friendly energy production and/or implement measures that lead to improved energy efficiency in heating can apply for a subsidy. This concerns a one-time subsidy for measures that result in better energy efficiency in heating.

The subsidy is calculated based on the purchase of equipment and material costs for its installation and covers half of the total material costs (excluding tax), up to a maximum of 1,429,000 ISK. The subsidies are not affected by this grant and continue according to usage, up to a maximum of 40,000 kWh/year. A contract is made for the grant, which applies for 15 years on the respective property. After that period, a similar subsidy can be applied for on the same property.