John Perkins, the author of The Confessions of an Economic Hitman, is currently in Iceland. Perkins is here to be at the premier screening of The Dreamland, a documentary based on Andri Snær Magnason’s book, also titled The Dreamland. Last Sunday, Perkins was interviewed in a political TV show on RÚV (the state television station) where he spoke about the threat of Icelandic resources being sold to foreign corporations and advised Icelandic authorities not to collaborate with the International Monetary Fund (IMF).
Perkins used to work for the U.S. National Security Agency and his job included “to convince poor countries to accept enormous development loans – and to make sure that such projects were contracted to U.S. companies,” as says on the back cover of his book. Perkins states that Iceland is the first ‘developed’ country in the world to be hit by the ‘Economic Hitmen’, referring to the invasion of the aluminium industry in Iceland. Read More
From Draumalandið website – Dreamland is a truly epic film about a nation standing at cross-roads. Leading up to the country’s greatest economic crisis, the government started the largest mega project in the history of Iceland, to build the biggest dam in Europe to provide Alcoa cheap electricity for an aluminum smelter in the rugged east fjords of Iceland. The mantra was economic growth. Today Iceland is left holding a huge dept and an uncertain future
Dreamland is a film about exploitation of natural resources and as Icelanders have learned clean energy does not come without consequence. Iceland is a country blessed with an abundance of clean, renewable, hydro-electric and geothermal energy. Clean energy brings in polluting industry and international corporations. Read More
Yesterday three black dressed individuals, masked with aluminium foil, threw green Skyr (traditional Icelandic dairy product) on representatives of Icelandic energy companies during a greenwash presentation in the University of Iceland. In June 2005 Saving Iceland threw Skyr on representatives of Alcoa and Bechtel during an international aluminium conference in Reykjavík.
Gaia – the student association of Master students in Environment and Natural Resources, had organized a “Green Week” in the university. Among activities was this particular presentation by e.g. Landsvirkjun (Iceland’s national energy company), O.R. (Reykjavík Energy) and Geysir Green Energy; all companies who are involved in the development of the aluminium industry in Iceland. Read More
Iceland’s current government, formed by the Left-Green Party (Vinstri Grænir) and the Social Democratic Alliance (Samfylkingin), has approved draft of a law by Össur Skarphéðinsson, minister of industry. The draft permits the government’s contract with Century Aluminum and Norðurál Helguvík about the construction of an aluminium smelter in Helguvík.
The contract includes several versions of a “special treatment” that Norðurál will get from the government and has e.g. to do with the amount of taxes that the company will pay. The contract puts Norðurál in a different and higher position that other companies in Iceland, apart from Alcoa’s aluminium smelter in Reyðarfjörður and Century’s smelter in Grundartangi. Read More
The economic issues currently causing mass demonstrations in Iceland have a less publicised ecological cousin, and one which the IMF has recently identified as part of the economic collapse. In 1995 the Ministry of Industry and Landsvirkjun, the national power company, began to advertise Iceland’s huge hydropower and geothermal energy potential. In a brochure titled “Lowest energy prices!!” they offered the cheapest, most hard working and healthiest labour force in the world, the cleanest air and purest water – as well as the cheapest energy and “a minimum of environmental red tape” to some of the world’s most well known polluting industries and corporations (such as Rio Tinto and Alcoa). This campaigning has led to the development of an ‘Energy Master Plan’ aimed at damming almost all of the major glacial rivers in Iceland, and exploiting all of the geothermal energy, for the power intensive aluminium industry. The loans taken by the Icelandic state to build large scale energy projects, and the minimal payback they have received from the industry, has been a considerable contributing factor to the economic crisis, while at the same time creating a European ecological crisis that is little heard of.
The Largest Wilderness in Europe
I first visited Iceland in 2006 and spent a week with activists from the environmental campaign Saving Iceland, a network of individuals from around Europe and Iceland who decry the fragmentation of Europe’s largest wilderness in favour of heavy industry. From these informed and passionate folk I learned of the 690 MW Kárahnjúkar dam complex being built in the untouched Eastern Central Highlands to power one Alcoa aluminium smelter in a small fishing village called Reydarfjörður. The dams formed the largest hydro-power complex in Europe, and were set to drown 57 km2 of beautiful and virtually unstudied wilderness, the most fertile area in the surrounding highlands. Ultimately it would affect 3% of Iceland’s landmass with soil erosion and river silt deprivation. They also explained how materials in the glacial silt transported to the oceans bonds with atmospheric CO2, sinking carbon. The damming of Iceland’s glacial rivers not only decreases food supply for fish stocks in the North Atlantic, but also negatively impacts oceanic carbon absorption, a significant climatic effect. After taking part in demonstrations at the construction site of the Alcoa smelter (being built by famous Iraq war profiteers Bechtel), I went to see the area for myself. Read More
Iceland’s new minister of environment and a Left Green MP, Kolbrún Halldórsdóttir has announced that one of here first jobs in the government will be to protect the Þjórsárver wetlands. At the same time she has said that Norðurál’s (Century Aluminum) plans for a new aluminium smelter in Helguvík, can most likely not be stopped by any future government. While in opposition, the Left Greens always spoke against the construction in Helguvík.
Þjórsárver are a unique ecosystem characterized by tundra meadows intersected with numerous glacial and spring-fed streams, a large number of pools, ponds, lakes and marshes, and rare permafrost mounds. Iceland’s national energy company, Landsvirkjun wanted to build a 30 meters high dam in the area, creating a 65 km2 big reservoir. The energy was supposed to run the enlargement of Rio Tinto Alcan’s aluminium smelter in Hafnarfjörður, a plan that the majority of the town’s population voted against in a local referendum in 2007. Later Landsvirkjun proposed to lower the planned dam down to 24 meters. Halldórsdóttir’s decision about the protection of Þjórsárver is very important and a big victory for the Icelandic environmental movement.
Iceland’s new minority government, formed by Samfylkingin (the Social Democratic Alliance) and Vinstri Grænir (VG – The Left Greens), has released it’s policy statement for the upcoming 80 days until parliamentary elections will take place in the end of April. The statement states e.g. that “no new plans for aluminium smelters are on the government’s list.” Still Össur Skarphéðinsson, a Samfylkingin MP and the minister of industry since 2007, has said that both Norðurál’s planned 360 thousand ton smelter in Helguvík and Alcoa’s planned smelter in Bakki, Húsavík, do not fall under this statement. Read More
Three days ago, 10 thousand people, a majority of them tribal, formed a 17 km long human chain around the Niyamgrii mountains in Orissa, India. The people were protesting the plans of Vedanta, a British mining company, to start bauxite mining the mountains. Bauxite is the most important raw material for aluminum production and last year the Supreme Court said two of the planned mining projects could go ahead.
The protest was the second large-scale demonstration in ten days: on 17 January up to 7,000 protesters marched to the gates of Vedanta’s aluminium refinery in the nearby town of Lanjigarh.
“The ruling meant that an arm of the British-listed mining giant Vedanta could use bauxite from a mountain in Orissa which local hill tribes view as sacred,” says on BBC News and continues: Read More
A letter from Icelandic anarchists who have taken part in the revolt against the recently collapsed government. The article originally appeared on Aftaka.org, an Icelandic anarchist website.
The Icelandic Government has collapsed and some people talk about a revolution. In a way it is true. Ordinary people overthrew this neoliberal government by writing articles, holding speeches, noise demonstrations, bonfires, car horns, direct action, civil disobedience and minor sabotage. A nation that before had hardly put up any resistance to abuse of power for a long time, finally stood up and said: “No thanks! No more shit!”
But what will follow? Have we reached the ultimate goal? Is the minority government of the Left Greens (Vinstri Grænir) and the Social Democratic Alliance (Samfylkingin) enough? Are we just going to settle for new elections this spring?
Þeistareykir ehf. and Landsvirkjun (Iceland’s national energy company) have now started discussions with the Norwegian aluminium producer Norsk Hydro about the purchase of geothermal energy from Þingeyjasýsla, north Iceland. The energy was supposed to run Alcoa’s planned aluminium smelter in Bakki, Húsavík.
The memorandum of understanding between Þeistareykir, Landsvirkjun and Alcoa because of the aluminium smelter in Bakki, ran out on November 1st 2008 and was not renewed. One of the reasons was said to be the uncertainty on the Icelandic financial markets. Tómas Már Sigurðsson, Alcoa’s director in Iceland, says that decisions about electricity purchase depends on the market situation and hopes that it will get better in the next 12 months. Read More
Today the Icelandic government collapsed. Geir H. Haarde, Iceland’s former prime minister announced early today after a row of government meetings. Yesterday, Björgvin G. Sigurðsson, the minister of commerce, announced that he would finally take on his responsibility for the financial collapse, resign and fire the directors of the Financial Supervisory Authority (FMA).
Since the collapse of the Icelandic economy in October 2008, the current Icelandic government formed by Samfylkingin (Social Democrat Alliance) and Sjálfstæðisflokkurinn (neoliberal conservatives), has been under heavy pressure. Every Saturday for 16 weeks people have gathered by the parliament and demanded that the government will resign, the boards of the Financial Supervisory Authority and the Central Bank will be fired, that elections will take place as soon as possible and that the corruption in the power base and financial sector be curtailed. Read More
