Orkubú Vestfjarða wins licence for 9.9 MW power plant
Saturday 8th August 2026 on 21:30 in
Iceland
Orkubú Vestfjarða has received a licence to build the 9.9 megawatt Kvíslatunga power plant in Selárdalur, Strandabyggð, with the project expected to increase the company’s annual production capacity by 67 percent, mbl.is reported.
The Environment and Energy Agency granted the licence on 1 July. It also authorised changes to the water bodies Svartagilsvatn, Efri-Kotvötn and Þjóðbrókargil.
Orkubú Vestfjarða plans to bring the plant into operation in September 2028. The company said the project would significantly improve electricity supply security for residents of Strandir.
The plant will provide Hólmavík and nearby areas with electricity from two directions. The company described the arrangement as an example of how supply security can be strengthened through both connections to the transmission system and power plants built near users.
The plant will have enough capacity to meet twice the area’s peak load. Its reservoir will also provide sufficient water storage for the plant to meet electricity demand in Strandabyggð and Ísafjarðardjúp for several weeks if a serious failure occurs in the electricity transmission system.