E10 Climate Risk Mitigation

Promotes UN‘s Sustainable Development Goals Climate action

Reykjavik Engergy (OR) has updated the green financing framework, where all financing at OR is covered, whether it is loans, bonds or other financing.

The Carbfix technology, is being applied in one of OR's two geothermal power plants and a pilot plant will start operating in 2022 in the other one. This is a direct response to the climate crisis and a part of Reykjavik Energy Group's significant contribution to Iceland's plan to reduce it's greenhouse gas emissions. Additionally, the Group has developed a Green Bond Framework, by issuing green bonds and green loans. Operating an environmentally and socially sustainable business, constituting the basis of Reykjavik Energy Group’s long-term strategy. Sustainable financing is a key part of the strategy and the framework offers investors the opportunity to support the transition to a low-carbon and climate resilient future.

In 2021, Reykjavik Energy Group funded various green and climate friendly projects for a total of ISK 13.2 billion, where new projects were awarded ISK 8.5 billion. These projects were, e.g. power production from renewable energy sources, such as electricity production and the expansion of district heating utilities, automatic meter reading of utilities systems, carbon dioxide sequestration in basaltic bedrock, projects to boost the resilience of utilities systems, and more. This funding amounts to 25% of the turnover of Reykjavik Energy Group. Eligible projects for green funding are selected by an interdisciplinary team within the Group, and a review is performed by an external agency.