Faroese government to ease green energy transition for low-income households

The Faroese government plans to make it easier for low-income households to participate in the green energy transition, though the specifics remain unclear, according to a report by Kringvarp Føroya (KVF).

Eyðdis Hartmann Niclasen, the minister responsible for energy affairs, confirmed the intention but did not outline how these households would gain better access to large investments in green energy.

Current subsidy schemes are being phased out. Support for electric heat pumps began decreasing in 2025, with the repayment rate dropping from 50% this year to 25% next year before ending entirely in 2028. Subsidies for electric vehicles, introduced last year, will also be eliminated by 2028.

Niclasen suggested that increased competition among suppliers could provide more affordable solutions for consumers.