Wedoany.com Report-Mar 12, Landsvirkjun, Iceland’s National Power Company, has awarded engineering firm COWI a contract for the design of a 65MW expansion at the Sigalda Hydropower Station. The project, which began in January 2025, is expected to be completed by late 2028.
COWI’s work includes engineering design, tender preparation, construction documentation, risk and cost analyses, as well as design reviews. The company will also coordinate the integration of the expansion with ongoing renovations at the existing power station.
The Sigalda expansion, along with the 95MW Hvammsvirkjun project, which COWI is also designing, will help meet Iceland’s growing energy demand and support key industries such as seafood, agriculture, and manufacturing.
“Once completed, the 215 MW plant will add increased flexibility in energy supply and enable Landsvirkjun to better meet peak demand. By making better use of the increased water flow, Landsvirkjun is fulfilling its role of maximising the yield of the energy resources entrusted to the company, with sustainable utilisation, value creation, and efficiency as guiding principles,” said Eysteinn Einarsson, Project Manager at Landsvirkjun.
Sverrir Ó. Elefsen, Technical Lead for Hydropower at COWI Iceland, emphasized the company’s expertise in the sector. “COWI’s success in winning the contract demonstrates the level of hydropower experience of the COWI group and how combining the company’s strengths adds value for our customers. We are also using ample experience from Iceland to create hydropower solutions and secure sustainable energy in other parts of the world as well.”
The existing 150MW Sigalda Hydropower Station, operational since 1978, generates 920GWh annually. Its infrastructure includes the Sigalda Dam, the 14km² Krókslón reservoir, and a 550m tailrace canal connecting it to the Hrauneyjafoss hydropower station.
“With the expansion of Sigalda Hydropower Station, we are helping Landsvirkjun secure sustainable power for the citizens and businesses of Iceland. In recent years, we have witnessed challenges in new power supply that have affected business growth. We are content that COWI’s experts can play a role in addressing this issue for the benefit of society at large,” said Gunnar Sverrir Gunnarsson, Managing Director of COWI Iceland.
COWI has been involved in most of Iceland’s hydropower projects since the 1970s. Iceland’s electricity production is 100% renewable, with 70% generated from hydropower and 30% from geothermal energy. The country’s hydropower plants have a total installed capacity of 2.1GW, providing baseload power for industries such as aluminium smelting, a key pillar of Iceland’s economy for the past 30 years.
