Here you can see the proportion of domestic goods and services in total procurement at Alcoa Fjarðaál and Landsvirkjun.
Becthel, Alcoa's contractor in building the Aluminum Smelter has reported that in the year 2005 32,2% of their total procurement was domestic. Similar information were not available from contractors working on the hydro project.
Sources: Alcoa Fjarðaál 2012-2016 , Landsvirkjun 2018 and Bechtel 2007.
Percent of total goods and services (value in ISK) procured by Alcoa, Landsvirkjun and subcontractors in Iceland (Project effect: direct).
Financial departments of Fjarðaál and Landsvirkjun will collect this information during operation, and ask for data from contractors where possible.
It was decided in the forth phase of the initiative to change the numbers of the sustainability indicators. This indicator war originally number 14.2 and is referenced as 14.2 in early documents of the project.
The original metric was „ Percent of total goods and services (value in ISK) procured by Alcoa and Landsvirkjun and subcontractors in East Iceland and Iceland. In third phase the metric was changed so that „East Iceland“ was removed from indicator and metric. The reason was that it is impractical to categorize procurement by East Iceland and Iceland and difficult to track.
The Fjarðaál and Kárahnjúkar projects have the opportunity to have a significant positive effect on the Icelandic economy through procurement of goods and services from local and National companies.
Many supporting industries could experience growth through the development of the projects both during the construction and the operation phases. A stable economy will be one that does not have an over-reliance on one source for income.
Monitoring the extent to which the projects contribute to the local and National economy will be useful in assessing the degree of reliance of supporting business on Alcoa and Landsvirkjun.