Smart Energy Networks

East Iceland Clean Energy Connections

Fish factories in East Iceland used crude oil as their main source of energy. Increased environmental awareness and higher energy cost pushed the factories to cleaner energy sources. The transmission network in the area was already used to its limit for secure capacity and could not accommodate new connections. This part of the grid is remote and would require investment in infrastructure building hundreds of km of new lines through environmentally sensitive areas. Using fast synchronized wide area measurements, distributed around the grid and developing a new control method in close co-operation with the distributor in Eastern Iceland and the customers, the factories could be tripped rapidly when needed to protect the wider grid. The factories were converted to clean renewable energy without risking security of supply for other electricity users, and without the environmental impact and cost of building new transmission lines. This project has substantially increased the usable capacity of the existing grid while maintaining security and made renewable energy available to an important industry which was previously relying on crude oil.

Síldarvinnslan in Neskaupstadur

With a rising demand for environmental solutions, the challenges associated with the energy transition grows laterally. In recent years, fishmeal factories in Eastern part of Iceland have fully engage in the energy transition by replacing their previous crude oil energy source with drastic increase in electricity consumption. With the increased consumption follows additional operational risk when the ring connection (corridor between West and East Iceland) is at its maximum capacity and is operated above security limits. We at Landsnet have developed a multifunctional smart-grid control system in close cooperation with the fishmeal factories in Eastern Iceland and RARIK. To meet the demand for increased electricity consumption without jeopardizing the delivery reliability to the consumers.

In recent years, high accuracy measuring instruments (PMUs – Phasor Measurement Units) have been installed around Iceland that give synchronous real-time information about the electrical power systems stability. The PMUs generate data in a millisecond resolution interval, compared to conventional measurements of two to three-second intervals. The measuring tools utilized connect to a system called Phasorpoint. Their ability to stream data in real-time to Landsnet’s control center is the premise of our smart grid solutions. The data generated from the PMUs/Phasorpoint is utilized to develop an automated control system for our smart grid solutions. Our project, “Smart-grid Solutions in Eastern Iceland,” is the result of that work.

The project involves developing control systems for six fishmeal factories in Eastern Iceland along with load controls in aluminum smelters. A new methodology was developed where controls could be utilized within a localized electrical power system that deals with congestion limits. The goal is to increase the electrical power transmission capacity through bottlenecks without lowering the operational safety of these areas.

The solution involves the intervention of the automated system developed in times of high demand to ensure the reliable delivery of electricity. The need for immediate intervention can occur without notice. Only by implementing smart-grid solutions the situation can be assessed, and instant actions taken. To ensure operational stability in the whole transmission system, Landsnet has developed controls that utilize Wide-Area-Measurements (PMUs) placed throughout the grid system to analyze and automatically load shed the fishmeal factories.

Each Factory location is equipped with an end-device that receives a signal from a centralized control system. For this solution to operate smoothly, all telecommunications need to work efficiently between delivery points. Consequently, all wired telecommunications were upgraded in relation to the project.

With these solutions, the current operating system can be better utilized. Giving the factories a better opportunity and ability to transition from using crude oil over to renewable energy sources.

Our main findings are as follows:

The electrical transmission boundary constraints to Eastern parts of Iceland has increased by 44%, or 90MW to 130 MW when the controls are fully operational.
As a result, it correlates to increased transmission capacity for 350 GWh per year. That is equivalent to the energy consumption of 85 thousand homes or 170 thousand electric cars.

Macro-economic advantages:

  • Overall energy consumption for the fishmeal factories in Eastern Iceland was 300GWh
  • This decrease harmful environmental effects by 90 thousand tons of CO2 per year which is equivalent of excretion from 30 thousand vehicles

Smart grid solutions are a new approach to the deliverance of electricity to increase the reliability and utilization of the transmission system. A smart-grid has positive environmental impacts and can be employed in the fight against climate change. Subsequently, we nominate our smart-grid in Eastern Iceland as the contribution of the year 2019.


Multifunctional Smart-Grid
Ring Connection
Phasor Measurement Units
Six Fishmeal Factories
Localized electrical power system

CO2 Saving

90.000 tonns per annum