District heating systems - what we do

The role of the National Energy Authority

The role of the National Energy Authority (NEA) in relation to the operation of district heating utilities in Iceland is largely related to data collection, processing and dissemination of information. The NEA collects information on thermal consumption by district heating utilities, whether geothermal or other systems, and publishes these figures, see here.  

The NEA also deals with subsidizing heating costs for housing that is not connected to a geothermal district heating utility, see here.  

The largest thermal energy utilities in Iceland have a monopoly license, issued by the minister, to operate in their utility area, or part of it, and operate according to regulations. This authorization is based on the conditions set by the Energy Act no. 58/1967 and subsequent amendments. Most of the thermal energy they provide is obtained from geothermal areas, but quite a few electric district heating utilities operate in the Westfjords and East Iceland. These district heating utilities supply 95% of the population with hot water. It is estimated that around 200 smaller geothermal heat sources are operating throughout the country's more scattered settlements and supply both homes and businesses with heat.