Sustainable Utilisation

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Iceland is one of the few countries in the world to generate nearly all of its energy from renewable resources such as hydropower, geothermal energy and wind power. Landsvirkjun is owned by the Icelandic state and operates 14 hydropower stations, two geothermal power stations and two wind turbines. Landsvirkjun is at the forefront of environmental matters and is committed to the responsible utilisation of the natural resources it has been entrusted with. Landsvirkjun’s key objective is to generate energy in harmony with the environment and society.

A commitment to the environment

Landsvirkjun’s operations have an inevitable impact on the environment. The construction of new power stations causes disruption to the environment and human intervention in nature can have an effect on the ecosystem and society. Landsvirkjun is acutely aware of this and is therefore committed to sustainable energy generation in harmony with the environment and in consensus with society. Extensive research, monitoring and a clear environmental policy are all crucial factors in reducing the negative impact of operations.

Landsvirkjun operates according to an ISO 14001 certified Environmental Management System.

The system requires the Company to outline clear policies on environmental issues and to identify the potential impact of its operations. The Company aspires to become a leader in environmental matters and the Company intends to become carbon neutral.

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Landsvirkjun’s Environmental Policy

  • Landsvirkjun is at the forefront of environmental issues and supports sustainable development within society.
  • Landsvirkjun is committed to increasing expertise and monitoring on the environmental impact of its operations and purposefully seeks out measures to reduce this. The Company strives to do better and therefore continually monitors certain environmental aspects with a view to consistently improving its efforts.
  • Landsvirkjun ensures that every legal requirement relating to the environment is fulfilled and sets more stringent requirements upon the Company, as appropriate.
  • Landsvirkjun ensures that its employees and all contractors employed by the Company have the expertise and ability to adhere to the Company’s Environmental Policy.
  • Landsvirkjun’s environmental objectives are open to the public. The Company outlines its progress in environmental matters and in doing so supports open and constructive dialogue on these matters.

 

Landsvirkjun’s objectives in environmental matters

  • Operation without environmental incident
  • Operation in harmony with the natural ecosystem
  • Better use of resources
  • Reduced greenhouse gas emissions
  • Reduced waste
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The monitoring and control of environmental aspects

In order to fulfil the environmental policy and its objectives, significant environmental aspects within Landsvirkjun’s operations are monitored and the ‘control methods’ are defined. Environmental aspects are divided into three main categories: Natural resources, emissions, effluents & waste and the natural environment and visual aspects.

Landsvirkjun monitors and steers environmental aspects in the operation of its hydropower and geothermal power stations and in the operation of its wind turbines at Hafið.

  • 1 Utilisation of the water resource

    Landsvirkjun strives to utilise water, for electricity generation purposes, in the most efficient manner possible. The water is mainly sourced from Iceland‘s glaciers and accumulates in the Company’s reservoirs where it is subsequently utilised by the power stations to generate electricity. Landsvirkjun conducts extensive research on glaciers that are important for the Company’s operations, monitoring long-term changes and glacial melt.
  • 2 Erosion and sedimentation

    Changes to the water flow in rivers and the water levels in reservoirs, as well as the effects of wind, water and tide can lead to the erosion of river channels and river banks. Bed load transport from glacial rivers can accumulate in the reservoirs. Landsvirkjun does its best to regulate the water flow in river channels to minimise erosion. Regular monitoring on erosion and sedimentation is carried out and mitigation measures are implemented when and if they are needed.
  • 3 Water management

    Hydropower stations are operated by steering the water supply from the reservoirs into the power stations, therefore utilising the natural resource in the most efficient manner possible. This can also prevent abnormal fluctuations in river channels and rapid changes to water levels in the reservoirs which can negatively affect the soil, ecosystem and society. Landsvirkjun strives to reduce any unforeseeable water level changes and has set limits with regard to water levels, within certain water channels, which cannot be deviated from.
  • 4 Effects on the ecosystem

    All construction work carried out by Landsvirkjun and all its operations are accompanied by unavoidable disturbance to the natural environment and to the ecosystem. Extensive research and monitoring is carried out in the affected areas of power stations. The objective is to assess if and how operations affect the environment and how any negative impact on the environment can be minimised. The most extensive monitoring carried out by Landsvirkjun includes reindeer monitoring, freshwater ecology and birdlife. Research is carried out in cooperation with the various universities, research institutes and independent experts.
  • 5 Reservoir emissions

    Vegetation and soil submerged by reservoirs decomposes into organic matter which emits GHG‘s, carbon dioxide and methane. Landsvirkjun has conducted research on GHG emissions from its reservoirs and this information is registered and accessible.
  • 6 Visual impact and landscaping

    All construction work carried out by Landsvirkjun and all its operations are accompanied by unavoidable disturbance to the natural environment and larger projects can have a significant visual impact. The effects vary and are determined by the type of landscape involved and the effect on the public. Landsvirkjun places an emphasis on creating a balance between its manmade structures, the landscape and the natural environment.
  • 7 General waste

    The landfilling of waste results in the anaerobic decomposition of its organic content, emitting GHGs that contribute to climate change. Landsvirkjun is committed to increasing recycling and reuse in its operations which will reduce the quantity of waste disposed of via landfill. The Company is active in creating areas for waste sorting and waste storage in all of its operational areas and a record is kept on waste disposal.
  • 8 Hazardous waste

    There are specific regulations and requirements pertaining to the disposal of containers and surplus materials labelled as hazardous materials. Hazardous waste can be flammable, irritant, corrosive and hazardous to health and the environment. All hazardous waste from Landsvirkjun’s operational areas are collected and stored in special containers. The quantity is recorded and handed over to an authorised disposal expert.
  • 9 SF6 emissions from electrical equipment

    Sulfur Hexafluoride (SF6) is used as an isolation material for electrical equipment. SF6 is one of the most potent GHG’s known. Pure SF6 is not poisonous but its by-products can have a negative impact on health. Landsvirkjun monitors SF6 leakage from electrical equipment and information on emissions is registered and accessible.
  • 10 Hazardous materials

    Hazardous materials are defined as such because of their potentially dangerous effects on organisms and humans. These materials must not be released into the environment. Substances with hazardous labelling are substances that fall under the regulations on sorting, labelling and the handling of hazardous materials and hazardous products. Landsvirkjun uses these substances for cleaning purposes, in factories and for various research and development purposes. Landsvirkjun registers its use of all hazardous materials and aims to reduce their use as much as possible.
  • 11 Fuel

    Fossil fuels are a non-renewable resource and the burning of fossil fuel leads to the release of greenhouse gases (GHG‘s) and other substances that are a health risk. Landsvirkjun is committed to minimising the emission of GHG‘s by reducing the consumption of fossil fuels in its operations. Landsvirkjun also monitors the handling of fossil fuels ensuring that transport, storage and refuelling measures do not harm the ecosystem and the natural environment. Landsvirkjun registers all fossil fuel consumption in its operations and releases information on GHG emissions as a result of consumption.
  • 12 Disturbance to land as a result of development and operations

    Disturbance to the land as a result of development, construction and operations can have an effect on the ecosystem and the natural environment. Disturbance to land can be caused by material extraction, the construction and location of reservoirs, facilities construction and the construction of dams and waterways. Landsvirkjun is committed to keeping disturbance to the land to a minimum in all stages of development and finishing work is completed once construction work ceases in order to return the land to its former state.
  • 13 Land reclamation and re-forestation

    Landsvirkjun has been involved in extensive land reclamation and re-forestation in the affected areas of its power stations. The objective of land reclamation is to restore land, reduce disturbance to vegetated areas and to impede vegetation destruction, soil erosion and to restore soil. Increased knowledge on climate change has led to an increased emphasis on land reclamation and re-forestation by Landsvirkjun to facilitate carbon binding. Landsvirkjun has been involved in specific projects with regard to carbon binding.
  • 14 Effluents

    Landsvirkjun’s effluents consist of all runoff water containing suspended particles. This includes runoff water from drilling platforms, tunnel excavation, car parks, factories and storage facilities as well as sewage from power stations and work camps. Sedimentation tanks, oil separators and septic tanks all serve a purpose in reducing the environmental impact of effluents by separating pollutants from the water. The efficiency of this equipment is closely monitored and tanks are regularly emptied by authorised disposal experts.
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Research and monitoring provide essential knowledge on the diverse impact that operations can have. Research provides information on natural resources, the natural environment and the ecosystem. It also offers insight into future developments which could affect the design of future projects. The monitoring and steering of environmental aspects make it possible for Landsvirkjun to generate electricity more efficiently and to support sustainable utilisation.

  • 1 Visual impact and landscaping

    All construction work carried out by Landsvirkjun and all its operations are accompanied by unavoidable disturbance to the natural environment and larger projects can have a significant visual impact. The effects vary and are determined by the type of landscape involved and the effect on the public. Landsvirkjun places an emphasis on creating a balance between its manmade structures, the landscape and the natural environment.
  • 2 Effects on the ecosystem

    All construction work carried out by Landsvirkjun and all its operations are accompanied by unavoidable disturbance to the natural environment and to the ecosystem. Extensive research and monitoring is carried out in the affected areas of power stations. The objective is to assess if and how operations affect the environment and how any negative impact on the environment can be minimised. The most extensive monitoring carried out by Landsvirkjun includes reindeer monitoring, freshwater ecology and birdlife. Research is carried out in cooperation with the various universities, research institutes and independent experts.
  • 3 Gases from geothermal power stations

    Geothermal fluid, a blend of steam, geothermal water and geothermal gases, is extracted from boreholes during the utilisation process. The gas is mainly composed of carbon dioxide, hydrogen sulphide and hydrogen. Carbon dioxide causes GHG emissions and hydrogen sulphide can corrode equipment and can be a health risk. Landsvirkjun records the quantity and composition of gases released from geothermal power stations and releases information on GHG emissions and hydrogen sulphide concentration levels in the atmosphere from the same source.
  • 4 Noise levels

    Noise from Landsvirkjun’s operations primarily stems from active geothermal wells and from wind turbines. Noise levels can affect the enjoyment of nature and constant noise can have a detrimental effect on health. Landsvirkjun monitors noise levels and reduces noise by using mufflers/silencers on all well heads at its geothermal power stations.
  • 5 Land reclamation and re-forestation

    Landsvirkjun has been involved in extensive land reclamation and re-forestation in the affected areas of its power stations. The objective of land reclamation is to restore land, reduce disturbance to vegetated areas and to impede vegetation destruction, soil erosion and to restore soil. Increased knowledge on climate change has led to an increased emphasis on land reclamation and re-forestation by Landsvirkjun to facilitate carbon binding. Landsvirkjun has been involved in specific projects with regard to carbon binding.
  • 6 Disturbance to land as a result of development and operations

    Disturbance to the land as a result of development, construction and operations can have an effect on the ecosystem and the natural environment. Disturbance to land can be caused by material extraction, the construction and location of reservoirs, facilities construction and the construction of dams and waterways. Landsvirkjun is committed to keeping disturbance to the land to a minimum in all stages of development and finishing work is completed once construction work ceases in order to return the land to its former state.
  • 7 Fuel

    Fossil fuels are a non-renewable resource and the burning of fossil fuel leads to the release of greenhouse gases (GHG‘s) and other substances that are a health risk. Landsvirkjun is committed to minimising the emission of GHG‘s by reducing the consumption of fossil fuels in its operations. Landsvirkjun also monitors the handling of fossil fuels ensuring that transport, storage and refuelling measures do not harm the ecosystem and the natural environment. Landsvirkjun registers all fossil fuel consumption in its operations and releases information on GHG emissions as a result of consumption.
  • 8 Hazardous materials

    Hazardous materials are defined as such because of their potentially dangerous effects on organisms and humans. These materials must not be released into the environment. Substances with hazardous labelling are substances that fall under the regulations on sorting, labelling and the handling of hazardous materials and hazardous products. Landsvirkjun uses these substances for cleaning purposes, in factories and for various research and development purposes. Landsvirkjun registers its use of all hazardous materials and aims to reduce their use as much as possible.
  • 9 Hazardous waste

    There are specific regulations and requirements pertaining to the disposal of containers and surplus materials labelled as hazardous materials. Hazardous waste can be flammable, irritant, corrosive and hazardous to health and the environment. All hazardous waste from Landsvirkjun’s operational areas are collected and stored in special containers. The quantity is recorded and handed over to an authorised disposal expert.
  • 10 General waste

    The landfilling of waste results in the anaerobic decomposition of its organic content, emitting GHGs that contribute to climate change. Landsvirkjun is committed to increasing recycling and reuse in its operations which will reduce the quantity of waste disposed of via landfill. The Company is active in creating areas for waste sorting and waste storage in all of its operational areas and a record is kept on waste disposal.
  • 11 Utilisation of groundwater, cooling water

    Landsvirkjun utilises groundwater for general use and to cool equipment used in geothermal energy generation. The groundwater is one of Iceland‘s most important natural resources and Landsvirkjun therefore closely monitors the groundwater table with the aim of reducing any negative impact on the environment.
  • 12 Effluents

    Landsvirkjun’s effluents consist of all runoff water containing suspended particles. This includes runoff water from drilling platforms, tunnel excavation, car parks, factories and storage facilities as well as sewage from power stations and work camps. Sedimentation tanks, oil separators and septic tanks all serve a purpose in reducing the environmental impact of effluents by separating pollutants from the water. The efficiency of this equipment is closely monitored and tanks are regularly emptied by authorised disposal experts.
  • 13 Condensate and separated water

    Condensate and separated water from geothermal power stations is either re-injected into the geothermal reservoir or released at the surface where it mixes with the groundwater. Condensate and separated water contains heavy metals and nutrients which can have a negative impact on the ecosystem and the environment. Landsvirkjun monitors the quantity of condensate and separated water; released at the surface and re-injected.
  • 14 Utilisation of the geothermal resource

    Geothermal fluid, a blend of steam, geothermal water and geothermal gases, is extracted from boreholes during the utilisation process. Extraction can have an effect on various factors within the geothermal system including pressure levels within the geothermal reservoir, surface geothermal activity and seismic activity. The surface disposal of water and steam can also have an effect on the environment but this is reduced by re-injection measures. Landsvirkjun monitors the quantity of geothermal fluid extracted from the geothermal reservoir and the quantity re-injected back into the system. The pressure level in geothermal wells is also monitored.
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The main results of monitoring research on environmental aspects are outlined in this Environmental Report. More information and extensive data can be found in the numerical data section.

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Role and objectives

Landsvirkjun’s role is to maximise the potential yield and value of the natural resources we have been entrusted with, in a sustainable, responsible and efficient manner. In order to fulfil its role, Landsvirkjun has outlined a clear policy on efficient energy generation and on creating support and consensus, via open and transparent communication.

Landsvirkjun believes in consensus and cooperation with its stakeholders, both in operational areas and in areas under development as the Company believes that open and informed dialogue is the way forward.

Landsvirkjun is committed to the sustainable utilisation of natural resources and operates in accordance with recognised international corporate practices.

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Working in harmony with society

Our CSR Policy is to create value, take care when working with the natural resources we have been entrusted with and to share the knowledge we acquire to contribute to a better society. 

Corporate social responsibility (CSR) is about maximising the positive impact of business on society and the environment, and diminishing the negative. It is about creating a business environment where transparency facilitates stakeholder engagement. Landsvirkjun has set clear objectives in fulfilling its CSR Policy.

Three key objectives, pertaining to social responsibility in environmental matters, were the focus of work carried out in 2013. They included increasing knowledge on the environmental impact of geothermal utilisation, the improvement of communication and consultation with regard to environmental matters and ongoing work on decreasing GHG emissions.

Work will continue on these objectives in 2014. New objectives for the coming year include the more efficient utilisation of natural resources, a more comprehensive action plan on the reduction of GHG emissions and on Landsvirkjun’s transport policy.

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Support for the field of research

The Energy Research Fund’s goal is to strengthen research in the fields of environmental and energy affairs and to award grants to students, university research projects, institutions, companies and individuals researching these areas.

In 2013, a total of 60 million ISK was awarded to 32 projects, researching environmental and energy affairs. Amongst these was research on the fate of hydrogen sulphide from geothermal power stations, research on surface changes on Icelandic glaciers, the ecological relationship between fresh water discharge to the sea and the development of the ecosystem in the Húnavatn Municipality throughout the last few thousand years.

Landsvirkjun’s Energy Research Fund has awarded a total of 319 million ISK to doctoral and masters students, as well as other research, since it was launched in 2008.