Saving Iceland

The profitability of Landsvirkjun, Iceland’s national energy company, is way too low. And worst off is the Kárahnjúkar hydro power plant, Europe’s largest dam, the company’s biggest and most expensive construction. Landsvirkjun’s director Hörður Arnarson revealed this during the company’s recent autumn meeting, and blamed the low price of energy sold to large-scale energy consumers, such as Alcoa’s aluminium smelter in Reyðarfjörður, as one of the biggest factors reducing profit.

These news echo the many warnings made by the opponents of the cluster of five dams at Kárahnjúkar and nearby Eyjabakkar, who repeatedly stated that the project’s alleged profitability was nothing but an illusion, but were systematically silenced by Iceland’s authorities.

Now, as these facts finally become established in the media—this time straight from the horse’s mouth—similarly bad news has arrived regarding another big Icelandic energy company. Reykjavík Energy has failed to make a profit from their 2007 and 2008 investments, effectively making them lose money. At the same time, new research shows that the environmental impacts of the Kárahnjúkar dams are exactly as vast and serious as environmentalists and scientists feared.

And yet, more dams, geothermal power-plants and aluminium smelters are on the drawing table—presented as the only viable way out of the current economic crisis. Read More

By Miriam Rose

After many years of preparations the Greenlandic government say the final decision on Alcoa’s proposed smelter will be taken at the spring 2012 of the parliament. It is more likely, as the global history of the industry and the evidence in Greenland tells us, that the decision has in fact already been made undemocratically behind closed doors, despite the decreasing support of the Greenlandic people. In fact Alcoa and the Greenland government are so keen on passing the project that they have just hired an eighth employee at their national company Greenland Development- formed to enable the industry to go ahead. Juaaka Lyberth’s explicit remit is to influence public opinion on the smelter through the media. Greenland Development paints a rosy picture of an aluminium future for Greenland, but will their promises of prosperity come true? A comparison to Alcoa’s Fjardaal project in East Iceland suggests that many will not. Read More

Since 2002, when work began on constructing the Kárahnjúkar dam, which today provides electricity to Alcoa’s aluminum smelter in Reyðarfjörður, until end of the year 2009, 1700 work related injuries have been reported in relation to the dam’s construction. 120 of those injured are still disabled from work, ten of them having irrecoverable injuries – and four workers have died as results of their accidents.

When put into context with work related accidents in the rest of Iceland during that same eight year period, it becomes crystal clear that Kárahnjúkar was by far the single most dangerous workplace in the country. The 120 workers still disabled from work ammount to over 70% of all work related disabilities registered in the period, with eight times as many disabilities spawned from Kárahnjúkar than the rest of the country combined. The four who died as results of their accidents count 15% of all work related deaths in the country for those eight years, but they were 26 in all. Read More

The Italian construction company Impregilo plans to bury machinery, which was used to get stones and gravel up from the inflowing tunnel of the Kárahnjúkar Dam. The conveyer belt, which is about half meter wide, has been rolled in to 200 roles that each weights four tons. In total 800 tons of rubber – about fifty truckloads – will be dug in to the ground in Tjarnalands, Fljótsdalshérað.

After receiving an advice concerning the landfill, the Environment Administration Umhverfisstofnun) decided to stop it for a limited time, while it was researched if this amount of rubber could be buried. The conclusion was that Impregilo is allowed to bury the machinery. Read More

Saving Iceland’s fourth action camp is now over but the fight goes on. This year we stayed on Hellisheiði for three weeks, where Reykjavík Energy is expanding their geothermal power plant, first of all to supply energy to aluminium smelters. We enjoyed the summer in this amazing environment which is now in danger because of the construction. This summer we put a special focus on the global impact of aluminium production, how it is does not only effect Iceland, but the whole world; it’s environment, humans and other species. Read More

We just received a letter from our great friends in Italy who decided to join the fight against heavy industry. Their target was Impregilo which is ,,an old well-known leader in capitalist destruction of earth”. Impregilo is a Italian company who took part in the destruction of the Kárahnjúkar area in the east of Iceland, when a huge dam was built to power an Alcoa’s aluminium smelter in Reyðarfjörður.

Monday July 21st, a demonstration took place in front of the Icelandic embassy in Rome and the next day, two protests happened by the headquarters of Impregilo in Sesto San Giovanni near Milan and by the Icelandic Consulate in Milan. Read More

A talk which opened a panel discussion at the ‘Reykjavikur Akademia’ with the topic ‘What are the Fundamental Values of Society’ 20 November 2007. Panelists included Reykjavik Chief of Police Stefán Eiríksson, historian and Left Green MP Guðfríður Lilja Grétarsdóttir and philosopher Viðar Thorsteinsson.

For those of you who don’t already know me, my name is Miriam Rose, and I am an activist and environmental scientist from the UK. I have been asked to speak today on my experience of the basic values of Icelandic society, based on an interview I did on Kastljos in October, after I was threatened with deportation from Iceland for my part in actions against the heavy industry policy of your government. The letter of requested deportation which I received explained that I may be expelled from Iceland for a minimum of three years as my behavior constitutes a ‘threat to the fundamental values of society’.
Read More

photo by Tom Olliver

Saving Iceland
7 November 2007

Only two days after the glorious inauguration of the turbines at Kárahnjúkar dam, further structural problems are already emerging.

Icelandic paper Morgunbladid revealed today that severe leakages in the tunnels leading to the turbines are releasing 200 litres of water per second onto the ground surface, forming a swamp currently about a third of a hectare in size. When asked to comment on the situation, Kárahnjúkarvirkjun spokesperson Sigurdur Arnalds said the water loss was of no consequence.

Regardless of whether or not we should believe Arnalds, the revelation that tunnel water is reaching the ground water breaches one of Siv Fridleifsdottir’s [ex-Minister of Environment who pushed through the project] fundamental stipulations (no. 14):
That Kárahnjúkarvirkjun should NOT interfere with ground water levels. Read More

Hálslón, Kárahnjúkar, October 2006

A summer of International dissent and action against Heavy Industry – swarming around Iceland from the 6th of July 2007

Updated July 10th. The campaign to defend Europe’s vastest remaining wilderness continues. After the direct action camps in Iceland’s mountain highlands in the summers of 2005 and 2006 against the Kárahnjúkar dam and ALCOA’s Reydarfjordur aluminium smelter, the Saving Iceland campaign moves on to bring Iceland’s aluminium Heavy Industrialisation to a halt.

New plans for dams, power plants, aluminium smelters and other forms of heavy industry need to be stopped. The culprits include corporations such as ALCOA, ALCAN, Century Aluminum, Hydro, Rusal, Impregilo, Bechtel, Barclays, Mott McDonald, etc… Iceland, with it’s vast geothermal and megahydro possibilities, is a new frontier for cheap energy craving industrial moguls who see nothing worth saving in Iceland’s legendary wilderness.

This camp will bring together activists from all over the world, including activists from social movements in India, South America, Africa, Europe and North America. Stopping the industrialisation and ecological destruction of the last unspoilt country in the west would be a major victory for the green movement and a new incentive for a global movement against industrialisation and ecocide. Join us. Read More

Aluminium production in Reydarfjördur
begins… using energy from the national
domestic grid!

24 April 2007

As Saving Iceland and others pointed out a long time ago Landsvirkjun have proven not to be able to deliver energy to ALCOA on 1 April 2007, as specified in their contract with the multinational.
This is highly embarrassing for the Icelandic government and Landsvirkjun, especially as the general elections are coming and the contract they signed with ALCOA specifies that if the energy will not be available on time the Icelandic taxpayer will have to pay penalties to ALCOA.

Apparently the government have begged ALCOA not to mention any penalty payments before the general elections on 12 May. Some weeks ago we had the questionable pleasure to listen to denials in the press that these penalties were ever written into the contract! Yet again, this shows the level of lying that ALCOA and the Icelandic government are ready to stoop to.

Obviously, it is in the interest of ALCOA that the corrupt government which gave them the wilderness of Kárahnjúkar for free, will stay in power.

Aluminium was tapped from the first pot in the new aluminum smelter last weekend. The production process began mid-April.

However, there was a low key ceremony 1 April where the Icelandic PM and other dignitaries cut the red ribbon in the factory (above). But clearly the aluminium lobby felt that making too much of the occasion might backfire PR wise in view of the embarrassing fact that the energy was not coming from Kárahnjúkar, not to speak of the defeat ALCAN experienced in the Hafnarfjordur referendum the night before!

According to mbl.is, 40 pots are expected to be put into operation during this first stage and the smelter will be running 336 pots, its full capacity amount, by the end of the year when the construction of the smelter has been completed.

The smelter in Reydarfjördur has the potential to produce 356,000 tons of aluminum per year. The smelter currently uses 100 megawatts of electricity from the national electricity system, but will need 590 megawatts from the dams in Kárahnjúkar once electricity production begins there… later this year… That is; when Landsvirkjun and Impregilo have scrambled through the last tunnels at what ever the economical and human cost.

Until then, the smelter will not be fully operational and the Icelandic taxpayer will have to foot the bill when ALCOA needs more energy to stay on production schedule (after the elections one can presume!)

For the time being ALCOA hold their breath…

But what about when it comes to the final billing from the “most litigous company in history” Impregilo?

How much is it going to cost the Icelandic taxpayer when Impregilo have worked out all the delays caused by the deliberately highly inaccurate calculations from Landsvirkjun?

To quote our own SOS: “The Kárahnjúkar project stands as a typical blueprint for international multi-billion-dollar megaprojects where promoters self-servingly misinform parliaments, the public and the media in order to get projects approved and built. The formula for approval is a cocktail of underestimated costs, overestimated revenues, undervalued environmental impacts and overvalued economic development effects.”

If we were not talking about Western Europe’s banana republic, then Icelandic politicians and technocrats who are responsible for this disastrous mess, would be made to answer for their actions in court… But of course, as every one in Iceland knows, they have already rigged the courts with their own family members and party lackeys!

Iceland Review
03/29/2007 | 11:47

Turning point at Reydarfjördur

The first shipment of aluminum oxide (Al2O3) arrived in Reydarfjördur, in Iceland’s Eastfjords, yesterday. The new Alcoa Fjardarál smelter in Reydarfjördur is expected to begin operating around Easter.

The transport vessel Pine Arrow anchored at the pier in Reydarfjördur carrying 39,000 tons of aluminum oxide, the primary raw material used for producing aluminum, Fréttabladid reports.

Almost two tons of aluminum oxide are needed for producing one ton of aluminum, so about 20,000 tons of aluminum can be produced out of the aluminum oxide that arrived in Reydarfjördur yesterday.

According to the information officer of Alcoa Fjardarál Erna Indridadóttir, the smelter’s management plans to take its first aluminum pot into usage after one or two weeks.

Once all pots in the smelter are operating, about 20 transport vessels will arrive in Reydarfjördur every year.