Eco-industrial park at Álfsnes

Description of the action and objectives

Green Deal action

One of the largest projects in the coming years will be to implement a circular economy where materials and substances are better utilized, recycled, and reused. The goal of the eco-industrial park in Álfsnes is to minimize waste and improve resource utilization. The eco-industrial park in Álfsnes could play a significant role in enhancing Reykjavík's circular economy, with the project aiming to facilitate increased collaboration, projects, and innovation in recycling materials and substances to achieve objectives for stopping the use of landfills and transforming waste streams into resources. A consulting team has completed and submitted a feasibility analysis for the eco-industrial park. Based on the report, development and planning will now begin.

 

Implementation period

Planned completion in the second half of 2025

Status: In progress

Status report on July 1, 2025

The Nordic Architecture and EFLA team was selected following an open price inquiry to develop a development plan and framework plan for the eco-industrial park at Álfsnes. The team presented initial drafts to a working group at the end of 2024 and later held a workshop in March 2025 with the participation of key stakeholders. The team presented various scenarios for the park's development based on analysis of infrastructure, topography, material flows, resource needs and business opportunities. Stakeholders offered suggestions and discussed which combinations of industries and flows could best reflect the future vision for the eco-industrial park. The consultants are continuing their work, with plans to present the first part of the project — the development plan and planning description — to the City Executive Council in January 2026.

Older status reports

Below you can find older status reports with information on the progress of the action since its inception (if you're using your phone, it's better to turn it sideways).

Older status reports

 
  Timeline Progress description
  July 2024 A counseling team presented a draft report on the feasibility of an eco-industrial park in Álfsnes to a working group, which was given the opportunity to provide comments and suggestions for changes. The report was subsequently updated based on feedback, with the counseling team completing its work in the latter part of 2023. The report consists of three main sections: First section: Diagnosis of resource streams and potential industrial ecosystem. Second section: Planning, stages, and future possibilities. Third section: Preparation, supervision, and financing.
  July 2023 The counseling team conducted the feasibility analysis and presented the draft of the first work package to the working group. The counseling team engaged with various stakeholders, including SORPA, Associated Icelandic Ports, and interested companies, during the report preparation. The report will be finalized in fall 2023 and presented to the working group, the mayor, and other key parties.
  January 2023 Preparations for a feasibility study concerning the development of an eco-industrial park at Álfsnes continued in collaboration with the Eco-Industrial Park's working group. The working group is composed in part of representatives from Sorpa, Associated Icelandic Ports, the Chamber of Industry, and the Association of Municipalities in the Capital Area. The decision was made to go ahead with an open tender under the label of a price inquiry.
  July 2022 A working group has been established to decide on and implement proposals for an eco-industrial park in Álfsnes. The first meeting of the working group was held on May 27, where discussions took place on how operators, developers, and the City want to collaborate on the development, construction, and progress of the eco-industrial park in Álfsnes. The working group is very interested in the project and sees great potential in its development. The working group is now preparing a tender to advertise for a person to further explore the possibilities of creating an eco-industrial park and the possible ways forward.

 

Connection of action to Reykjavík City's policies:

 

Related actions

The table below contains actions; more information can be accessed by clicking the "action title" in the table.
Action name Status Completion Updated Departments
Climate Agreement - European Cooperation on Carbon-Neutral and Smart Cities 2030 In progress 2030 July 2025 Department of Environment & Planning
Department of Finance & Risk Management
Office of the Mayor & Chief Executive Officer
Human Rights and Democracy Office
Assessment of greenhouse gas emissions from land use In progress 2025 July 2025 Department of Environment & Planning
Equitable transition in climate change initiatives In progress 2025 July 2025 Department of Environment & Planning
Human Rights and Democracy Office
Green transportation In progress 2030 July 2025 Department of Environment & Planning
Eco-industrial park at Álfsnes In progress 2030 July 2025 Department of Environment & Planning
Office of the Mayor & Chief Executive Officer
Circular focus - Sorting and collection of organic waste Completed 2024 July 2025 Department of Environment & Planning
Green buildings In progress 2030 July 2025 Department of Environment & Planning
Office of the Mayor & Chief Executive Officer
Environmentally certified City buildings In progress 2025 July 2025 Department of Environment & Planning
Energy transition for the city's vehicle fleet Completed 2024 July 2024 Department of Environment & Planning
Digitalization of Building Commissioner applications In progress 2025 July 2025 Department of Environment & Planning
Department of Service & Innovation
SPARCS In progress 2024 July 2025 Office of the Mayor & Chief Executive Officer
Reduced food waste in Reykjavík City cafeterias In progress 2025 July 2025 Dept. of Human Resources & Work Environments
Department of Welfare
Department of Education & Youth