LOGOS

As in most European countries, energy legislation in Iceland has developed rapidly in recent years. The country’s leading position in the development of geothermal and green energy, along with changes in how energy is produced and consumed, has had a major impact on the Icelandic energy market. As a result, legislation has had to adapt to the rapidly changing environment, taking into account legislation from the EU concerning energy. These changes have given LOGOS a leading role in advising power-intensive companies as well as local energy companies.

With over a century’s experience in providing Icelandic legal advice, our team has both a deep understanding and a broad experience of the functioning of Iceland’s energy laws. A number of our lawyers have strengthened their understanding of energy legislation through their lengthy engagement with the largest Icelandic energy companies. We have assisted our clients in the preparation of an environmental impact assessment and other communications with the relevant authorities, such as the National Energy Authority, the Environment Agency of Iceland, the Icelandic Construction Authority and the Icelandic National Planning Agency.

Our energy team has provided legal advice with respect to power purchase agreements, electricity transmission agreements, energy production and regulatory affairs, both in terms of hydro and geothermal power. We were also involved in the granting of licences for the prospecting, exploration and production of hydrocarbons whereas two areas on the Icelandic Continental Shelf are thought to have the potential for commercial accumulations of oil and gas. We have also been involved in potential wind farm projects in Iceland.

There continues to be a discussion in Iceland in respect to a possible power interconnector between UK and Iceland (sometimes referred to as IceLink) and our team continues to follow the possible development of such a project.

As an example, our work in this practice area includes: 

• Drafting, reviewing and negotiating power purchase agreements, transmission agreements and other relevant agreements.
• Providing advice on compliance with energy legislation and other regulatory affairs.
• Regulatory matters, including permits and registration requirements.
• Investments and state aid.
• Financing and security.
• Tax.
• Dispute resolution before Icelandic courts and arbitration panels.