This article is based on an interview with Íris Baldursdóttir, co-founder and CEO of SnerpaPower, conducted by Rakel Sveinsdóttir for Vísir’s ‘Atvinnulífið’ on August 18, 2025. The following is an English translation of the original Icelandic piece.
The electricity sector may not be something most of us think about daily, but it is growing fast. Global revenues from balancing power and grid services are rising rapidly and are expected to exceed €100 billion by 2030—yet it remains a market few truly understand.
Íris explains why the sector can seem complex:
"Mostly engineers and scientists understand the issues because it has long been clear that new solutions would be needed for the energy transition. Our solution at SnerpaPower is one example,” she says.
She adds:
"I believe awareness and understanding of the electricity sector will grow substantially over the next years. Things often seem complicated during periods of change, but over time, people begin to see the bigger picture. For example, it’s crucial to make it attractive for energy-intensive businesses to participate in the market and use electricity intelligently. That’s why innovation in this sector matters so much."
Electricity is produced as it’s used. When an electric car charges, the energy powering it is generated in real time—it’s not stored from yesterday. That’s why planning and efficient usage are critical.
SnerpaPower’s software helps large energy consumers leverage data, optimize contracts, and automate decisions.
“Our solution helps companies reduce electricity costs, improve grid reliability, and even sell unused electricity back to the grid,” explains Íris.
Founded in early 2022, SnerpaPower now employs eight people across Iceland and Norway. The need for smart energy solutions extends far beyond Iceland. With the rise of AI, cloud computing, and other energy-intensive technologies, renewable energy must be used efficiently and responsibly.
Foreseen electricity shortages are not unique to Iceland, Íris says, highlighting the global challenge of meeting the growing electricity needs of modern society.
For example, data centers have become critical infrastructure for all modern IT services. With exponential growth in AI usage and demand for computing power, electricity demand is rising sharply, making it more important than ever to use renewable energy responsibly.
She points out that electricity is monitored every second to ensure production meets demand. Balancing power markets essentially do this: they align supply and demand in real time.
The idea for SnerpaPower came from Íris and Eyrún’s combined decades of experience—Íris at Landsnet, Eyrún at Rio Tinto Iceland. “We saw that the power intensive sector lacked tools to use electricity smarter. With the rapid growth of renewables and the increased risk of energy shortages, new solutions were needed to maximize efficiency, streamline operations, and automate processes,” says Íris.
The company’s first funding round raised €2.2 million, with demand exceeding the available shares. Notably, women have played a central role in the company’s leadership and funding. Their pre-seed round was led by Crowberry Capital and the Swedish partner fund Backingminds. Eliza Reid, former First Lady of Iceland, also serves on SnerpaPower’s board.
“Yes, it’s extremely gratifying to see women play such a prominent role in the company’s development. Gender equality is very important to us, and SnerpaPower’s team is equally composed of women and men,” Íris says proudly.
She is pleased with the company’s progress and optimistic about the future.
“In funding rounds and growth phases, it’s equally important to bring in the right partners and ensure that owners are passionate about energy and digital transformation in energy-intensive operations.”
Rising electricity costs are expected globally. “We’ve reached our limits, and the situation will likely get worse. Immediate action is needed. Digital solutions, behavioral change, and continued investment in cost-effective renewable generation are key,” Íris explains.
Íris notes that Icelanders have long benefited from abundant, affordable electricity, though international awareness of energy efficiency is growing.
She emphasizes the interconnected nature of modern electricity systems. “Electricity must flow to where it’s needed most, efficiently and sustainably. In Europe, this means transferring wind power from Denmark or Germany, or hydropower from Sweden or Norway, to where it’s needed most and ensure everyone has access to renewable energy at reasonable costs. It’s about security as well as efficiency.”
Discussing new solutions and innovation in the power sector, Íris explains why they are essential:
“Building new power plants takes 10–15 years. Innovation, however, can deliver similar benefits much faster. With SnerpaPower, we’re improving efficiency, utilization, and capacity—essentially creating the equivalent of new generation through smarter energy management,” she says.
Íris expresses gratitude for funding received from the Icelandic Technology Development Fund and the Norwegian Research Council. SnerpaPower’s development continues to accelerate even as customers generate revenue for the company. The solution is scalable, and European market adaptation is already underway.
The company continues to grow, collaborating with Statnett, SINTEF, and leading industrial companies in Norway. “Our goal is to increase grid capacity by 25% through digital solutions via the MaksGrid project. The recognition and partnerships we’ve secured confirm that the need for our solution extends far beyond Iceland,” she adds.
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