General ownership policy of Reykjavík City

Details

The ownership policy establishes a clear framework for Reykjavík City's ownership of private-law companies and regional partnerships. It also details the planning and governance arrangements regulating how the City exercises its ownership authority, along with the requirements placed on the planning and governance of the covered companies.

The General Ownership Policy (AER) clearly defines the objectives of this ownership authority and how it is exercised. The policy's key changes include formally designating Reykjavík City as an active owner. The policy also outlines the role, mandate, and accountability of ownership representation relative to the City Executive Council and the City Council—including the scope, limits, and reporting obligations of this authority.  Ownership representation defines which governing bodies within Reykjavík City hold the City's rights and obligations as an owner at any given time, and how they exercise them. 

While the mayor holds ownership representation authority, the Chief Executive Officer is responsible for implementing and monitoring the policy—except for financial implementation and monitoring, which fall to the Director of the Department of Finance & Risk Management, and internal audit services and consulting, which are handled by Internal Audit and the Audit Committee of Reykjavík City. Companies must ensure that their planning and governance arrangements comply with their applicable legal structure and reflect relevant legislation and good governance practices. Ownership representation regularly reviews the operational structure of these companies.

Under Article 2 of the AER, the City's ownership policy applies to companies in which the City holds at least a 50% ownership stake—entities within the Reykjavík City group—as well as companies where the book value of the City's ownership interest is 100,000,000 ISK or more. However, the provisions of chapters 1-4 and sections 5.1-5.3 apply to all of Reykjavík's ownership interests in companies and to the City's capital grants. The term "company" refers to private-law entities such as limited liability companies, general partnerships, and limited partnerships, as well as regional partnerships under Article 94 of the Local Government Act No. 138/2011. The policy also extends to the subsidiaries of these covered companies, as further detailed within the policy.

General ownership policy of Reykjavík City

Ownership representation reports on the General Ownership Policy of Reykjavík City:

Report 2022-2026 – Implementation and monitoring of the General Ownership Policy of Reykjavík City

Category B companies

• Transport for the Capital Area ohf.
• Associated Icelandic Ports sf.
• Félagsbústaðir Social Housing hf.
• Höfði Tarmac Production hf.
• Reykjavík Energy
• Capital Region Fire Service bs.
• Sorpa bs.
• Strætó bs.