Work is underway to expand the Sigalda power station in Þjórsá. Construction permits were granted on February 27th 2025 for preparatory projects and on March 7th 2025 for the expansion itself.

Expansion of up to 65 MW
Sigalda power station will be expanded by up to 65 MW by adding a fourth engine in the intake structure, as well as a fourth pressure pipe. After the expansion, the power plant is expected to produce up to 215 MW of power, instead of the 150 MW it currently has. The plant, which was commissioned in 1978, was designed in such a way that it could be expanded later.
Various preparations began in March 2025. Work will now begin on water collection for the work camp area. It is expected that Landsvirkjun and contractor employees in the area will total around 140 at peak.
Various preparations will take place this spring and summer. An area for work camps will need to be prepared, electricity and lighting will be installed, a telecommunications mast will be installed, various signs will be installed, and so on. Construction on the actual expansion of Sigalda power station will begin in the fall. Then excavation will begin for the expansion of the power station building to accommodate the fourth engine.
Completion is planned for the fall of 2028.
Source: Landsvirkjun.is