Board of Directors
Landsvirkjun is the largest energy company in Iceland and is owned by the Icelandic state. The Board is appointed by the Minister of Finance and Economic Affairs, on an annual basis, and is responsible for the finances and the operation of the Company.
Landsvirkjun’s Board of Directors was re-appointed on the 4th of April 2019. Jónas Þór Guðmundsson was re-appointed as the Chairman of the Board and Álfheiður Ingadóttir was appointed as the Vice Chairman of the Board.
The Executive Board of Directors
Landsvirkjun’s Board of Directors appoints the CEO. The Board and the CEO are responsible for the operation of the Company. The Deputy CEO oversees the joint affairs of the Company, as well as directing policy development and ensuring the quality of corporate governance. There are currently five directors at Landsvirkjun.
Hordur Arnarson completed his electrical engineering studies at the University of Iceland in 1986 and went on to obtain a doctorate from the Technical University of Denmark, in Copenhagen four years later, in 1990. Hordur began working for the food processing developer Marel in 1985 and become CEO in 1999, a position he held for ten years. He was then appointed Managing Director at the Sjóvá insurance company, leading the restructure of the organisation.
The primary role of the Deputy CEO is to oversee the development and implementation of company policy, supervise cross-divisional matters, pave the way for advancement and coordinate changes across all levels of the organisation.
To ensure that electricity generation and delivery is secure and efficient and fulfils the terms of the agreements signed with Landsvirkjun’s customers.
Marketing & Business Development Division
To maximise Landsvirkjun’s long-term profit potential, through the innovative and effective promotion and sale of products and services, within the national and international energy sector.
Research & Development Division
To manage the preparation of new power projects and to conduct research on the existing power systems. We ensure the efficient implementation of new power projects, and to increase the flexibility of energy production options and support innovation in energy production with a long-term view of future energy supplies.
Project Planning & Construction Division
To oversee Landsvirkjun’s power station projects from the preparation stage to their completion. We monitor the costs and safeguard the quality and progress of the various projects, keeping them in accordance with the expectations, plans and needs outlined by the company.
To create a foundation for efficient operations and to promote maximum results in all units of the Landsvirkjun Group.
*Kristín Linda Árnadóttir succeeded Ragna Árnadóttir during the year.
The Policy is built on five pillars designed to fulfil Landsvirkjun’s role:
to maximise the potential yield and value
of the natural resources it has been entrusted
with in a sustainable, responsible and efficient manner
Social responsibility policies
Social responsibility is about creating value for our owners, respecting the environment and natural resources, knowledge dissemination and positively affecting society.
Our Social Responsibility Policy is enforced by setting objectives and by focusing on the following aspects in company operations:
- We operate in accordance with responsible corporate governance standards.
- We are committed to having a positive effect on our value chain.
- We are committed to being at the forefront of environmental matters.
- We endeavour to work in consensus with society.
- We place an emphasis on leading the way in health and safety, as well as in HR matters.
- We share our expertise, to support innovation and to help the development of the economy and society.
Policy development – GRI
We implemented the Global Reporting Initiative (GRI) standard in 2019. The GRI standards are global standards for sustainability reporting on economic, environmental and social impacts caused. A sustainability report also “presents the organization's values and governance model, and demonstrates the link between its strategy and its commitment to a sustainable global economy.” The standards offer guidelines on how information should be handled for each category and offers wider opportunities for marketing,
The implementation of the GRI standards are part of our integrative and transformative approach to increasing sustainability in our operations, thereby supporting and improving our current priorities. Internal and external stakeholders were asked to participate in an attitude survey to assess priorities in knowledge dissemination and policy development pertaining to sustainability. Consultation with stakeholders will continue in 2020.
Continued support of the UN Global Compact
Landsvirkjun continues to support the UN Global Compact (UN GC) initiative by reporting on the Company's work pertaining to the UN GC principles in the areas of environment, labor law, human rights and anti-corruption. We also support the UN‘s Sustainability Goals and have chosen to focus on Climate Action, Affordable and Clean Energy and Gender Equality.
Landsvirkjun’s operations have an inevitable impact on the environment and the Company has therefore developed a clear environmental policy. Landsvirkjun’s Environmental Policy is as follows:
Landsvirkjun is at the forefront of environmental issues and supports sustainable development within society. The Company is committed to acquiring knowledge on the environmental impact of its operations and to reducing any impact.
The Policy includes five policy targets which can be seen in the table below.
Landsvirkjun has developed a management system based on years of experience and knowledge and effective work practices. The Management System supports the Company in fulfilling its obligations towards its clients, employees and other stakeholders, as well as the Company’s intentions with regard to developing company policy, based on the values of sustainable development. The Management System provides information on what we do and how we work. An emphasis is placed on integrating management and working procedures, therefore ensuring the reliability of operations, with efficiency and safety as guiding principles.
Landsvirkjun’s Management System is certified according to international standards for quality management, environmental management, safety management and IT security. Landsvirkjun’s internal electrical management system (RÖSK) conforms with the Iceland Construction Authority’s safety requirements.
Landsvirkjun‘s electricity generation is certified by the German Certification Body TÜV SÜD as 100% renewable energy. This is testimony to Landsvirkjun‘s commitment to the development of renewable energy sources and confirmation that Landsvirkjun fulfils the most stringent requirements in production.