Landsvirkjun is Iceland’s biggest power generation company, generating over 70% of electricity in the country. There has been a lot of changes in the Icelandic power market and Landsvirkjun has moved from focusing on low-cost electricity buyers market to a more balanced seller’s market, offering competitive prices.
The company offers 100% renewable power on the wholesale market, having only a few customers, meaning that their branding and image building is a bit different from other traditional power companies. It is, however, important for the largest power company in Iceland to deliver a clear message to their stakeholders (the company is owned by the Icelandic authorities) and their customers.
Landsvirkjun’s mission statement is:
Landsvirkjun’s role is to maximise the potential yield and value of the natural resources it has been entrusted with in a sustainable, responsible and efficient manner.
The role of the company has changed in the last years. Instead of focusing on growth and creating new jobs, its focus is today on more value creation than before. The energy transition and the way renewable resources have become more valuable for end consumers has enabled Landsvirkjun to focus more on the Green value proposition.
Bente Engesland, Senior VP of Corporate Communication at Statkraft from Norway, is fully aware of how fast times are changing in energy and how impactful the changing environment is for the energy space.
The traditional energy companies are faced with more disruptive changes in the next five years than in the preceding 50 years.
Bente mentioned three big factors having a lasting effect on the energy utilities:
- Population growth
- Environmental factors
- Technological factors
Although Statkraft has a strong tradition of producing green, sustainable energy, the company is facing similar challenges as every other energy producers around the world; communicating with key stakeholders and the public in an effective understandable manner.
Iceland is one of the few countries in the world that can boast of having all of its energy generated from 100% renewable and sustainable sources. Electricity is generated from hydro dams and geothermal plants and almost all hot water comes from geothermal sources.
Green energy has been the most popular differentiation tool for retailers in liberated markets for the last decades. For a retailer in Iceland it can be a challenge to be perceived as the green brand. Áslaug Thelma Einarsdóttir, managing director of marketing at ON Energy gave insights on how the company met the challenge of rebranding and positioning itself as the leading sustainable brand.