Electricity in Faroe Islands in 2022

In 2022, the electricity consumption landscape in the Faroe Islands leaned heavily on fossil energies, with over 60% of their electricity being sourced from fossil fuels. Low-carbon or clean electricity sources, comprising mainly hydropower and wind, contributed to 38% of the total electricity. Hydropower was the more substantial component among the low-carbon options, making up just over a quarter of the islands' electricity. Wind power, while less dominant than hydropower, still played a significant role, representing almost 12% of the total electricity consumption. This reliance on fossil fuels highlights a compelling opportunity for the Faroe Islands to pivot towards a greater inclusion of sustainable energy sources, reducing environmental impacts and aligning with global movements to mitigate climate change.

Suggestions

To increase the share of low-carbon electricity, the Faroe Islands can further expand their existing wind energy infrastructure. With the right investments, wind turbines can significantly increase their electricity generation capacity, learning from Denmark, for example, where wind accounts for nearly 60% of the electricity. The successful utilization of wind energy in Denmark—a country with geographic and climatic similarities to the Faroe Islands—demonstrates that a strategic focus on wind power can yield substantial benefits. Though not currently employed in the Faroe Islands, considering nuclear energy could also align them with other nations that have massively increased their clean energy output, such as France, where nuclear electricity contributes 67% of the total generation. By adopting advanced wind techniques, possibly informed by strategies employed in countries like Uruguay and Ireland where wind plays a major role, the Faroe Islands can transition to a greener and more sustainable electricity portfolio.

History

Historically, the generation of low-carbon electricity in the Faroe Islands has seen little change in recent decades. From 2002 onwards, there has been consistency in both hydropower and wind energy outputs, with no significant increases recorded in any year based on the available data. This static state in low-carbon electricity expansion underscores the need for renewed enthusiasm towards increasing clean energy production. Over the years, the potential for wind energy has not been fully realized, despite being a promising area for growth as demonstrated in other regions. The evidence of a stagnant approach to hydropower generation further indicates the necessity for strategic initiatives to leverage these existing low-carbon technologies and possibly consider new avenues to ensure a sustainable energy future for the Faroe Islands.

Electricity Imports and Exports

Balance of Trade

Data Sources