The Board of Directors of Reykjavik Energy Group consists of six members. Five of them, including the Chairperson and Vice-Chairperson, are appointed by the Reykjavík City Council and one is appointed by the Municipal Council of Akranes. The local authority of Borgarbyggð nominates one observer to the Board, and in 2020 the Board of Directors voted unanimously to offer the association of employees of Reykjavik Energy Group to appoint one observer to the Board. The offer was accepted and the president of the association was appointed as an observer.
The Chairperson of the Board may not take on any other positions at Reykjavik Energy Group.
Reykjavik Energy Group's Board of Directors appoints the CEO of the company, defines the position's duties and responsibilities, and handles termination of employment. The CEO is responsible for daily management of the company and manages holdings in Reykjavik Energy Group's subsidiaries. The CEO cannot be a member of the Board of Directors of Reykjavik Energy Group and its Board members cannot sit on Boards of subsidiaries.
The Rules of Procedure of the Board and the duties and responsibilities of the CEO dictate a division of tasks. The CEO of Reykjavik Energy Group cannot be a member of Board committees.
Reykjavik Energy Group's CEO cannot sit on subsidiaries' Boards, but three of their members must be Reykjavik Energy Group's employees, one of whom shall be at the executive level. He or she shall be Chairperson. All Boards comprise five members, three who are employees of Reykjavik Energy Group, and two members shall be external experts in fields pertaining to the line of business of the company in question.
Members of municipalities' councils, that own part of Reykjavik Energy Group, are not presumed independent, neither are employees of the consolidation that are members of Boards of subsidiaries. The ratio of independent representatives among Board members at Reykjavik Energy Group, has been unchanged since 2010.
Independent of the company or its owners
The Board of Directors of Reykjavik Energy Group places emphasis on transparency. The minutes from Board meetings and meeting documents, which are not confidential, can be accessed by the public on the Group's website. The minutes from Board meetings contain, among other things, a record of all the decisions made by the Board, and Board members have the right to have their positions on specific issues briefly noted in the minutes.