Electricity Prices in Iceland 2026
Household electricity price · H1 2026 · Eurostat nrg_pc_204, band DC, all taxes and levies included
Households in Iceland pay an average of 0.2076 EUR per kWh for electricity in H1 2026 (band DC, all taxes and levies included), which ranks 23 of 39 countries in Europe, where rank 1 is the most expensive. That is 26.7% below the EU-27 average of 0.2832 EUR per kWh, and the price fell by 0.2% compared with H2 2025. Taxes and levies account for 21.0 percent of the household price, about 0.0436 EUR of every kilowatt hour. Businesses in Iceland pay 0.1137 EUR per kWh in band IC, excluding VAT and other recoverable taxes, which ranks 34 of 38 in Europe.
Iceland household electricity price, H1 2026
Household price
0.2076
EUR/kWh, H1 2026, band DC, all taxes included
Rank
23 of 39
1 is the most expensive
Vs EU-27 average
-26.7%
below the EU-27 average of 0.2832 EUR/kWh
Taxes and levies
21.0%
share of the household price
Business price
0.1137
EUR per kWh, rank 34 of 38
How the price in Iceland compares
Household price vs EU-27 average
Household vs business price
Household: band DC, all taxes and levies included. Business: band IC, excluding VAT and other recoverable taxes. Bars scaled to 0.44 EUR/kWh. Source: Eurostat, nrg_pc_204 and nrg_pc_205, H1 2026.
Taxes and levies in Iceland’s electricity price
What makes up the price in Iceland
Iceland vs its neighbours
| 21 | Estonia | 0.2118 | -8.0% |
| 22 | Slovenia | 0.2118 | -0.1% |
| 23 | Iceland | 0.2076 | -0.2% |
| 24 | Luxembourg | 0.2023 | -24.1% |
| 25 | Norway | 0.1993 | +3.7% |
What electricity costs in Iceland: bill calculator
Annual cost in Iceland: EUR 726.60
Monthly cost: EUR 60.55
At the EU-27 average of 0.2832 EUR per kWh, the same use would cost EUR 991.20 a year.
Worked out as annual use multiplied by 0.2076 EUR per kWh, the H1 2026 household average for Iceland (band DC, all taxes and levies included, Eurostat nrg_pc_204). Excludes any standing charge.
Open the full calculators for IcelandElectricity prices in Iceland: FAQs
How much does electricity cost in Iceland?
Households in Iceland pay an average of 0.2076 EUR per kWh in H1 2026 (band DC, all taxes and levies included), which ranks 23 of 39 countries in Europe, where rank 1 is the most expensive. That is -26.7%, below the EU-27 average of 0.2832 EUR per kWh.
How has the price in Iceland changed?
The H1 2026 price is -0.2% compared with H2 2025. At the current average price, a household using 3,500 kWh a year would pay EUR 726.60 a year in unit costs, before any standing charge.
How much of the price in Iceland is taxes and levies?
Taxes and levies make up 21.0 percent of the household price in Iceland, about 0.0436 EUR of every kilowatt hour. The remaining 79.0 percent covers the energy itself, network charges and supplier costs.
What do businesses pay in Iceland?
Businesses in Iceland pay 0.1137 EUR per kWh in band IC (500 to 1,999 MWh per year), excluding VAT and other recoverable taxes, which ranks 34 of 38 in Europe. The EU-27 business average is 0.1800 EUR per kWh.
See the full price history for Iceland Business electricity prices in Iceland
Source: Eurostat, datasets nrg_pc_204 (household, band DC, all taxes and levies included) and nrg_pc_205 (business, band IC, excluding VAT and other recoverable taxes), H1 2026, © European Union, CC BY 4.0.