COWI to Design Strategic Iceland Tunnel Improving Climate-Resilient Connectivity for Remote Northern Communities 

Reykjavik, Iceland — COWI has been awarded the preliminary and detailed design contract for the Fljótagöng tunnel project by Vegagerðin, the Icelandic Road and Coastal Administration. The assignment covers the design of approximately 24 km of new road infrastructure and a 5.3 km tunnel intended to strengthen year-round connectivity between Siglufjörður and the Fljót district, with design completion scheduled for November 2026. 

COWI’s role spans multidisciplinary engineering and technical advisory services, including geotechnical engineering, road and bridge design, water and wastewater systems, structural design, electrical engineering, and tunnel control and safety systems. The project brings together expertise across tunnel engineering, transport infrastructure, environmental planning, and climate resilience. 

The new route is intended to replace an increasingly vulnerable mountain road affected by subsidence, severe winter weather, and periodic closures. Designing infrastructure that can operate reliably under such conditions requires careful integration of geological analysis, climate adaptation measures, and environmental protection, particularly as the tunnel alignment passes through a water conservation area with potential landslide and avalanche risks. 

Gunnar Gunnarsson, Senior Vice President, COWI Iceland, said: “Alongside technical delivery, the project reflects broader infrastructure goals in North Iceland. Improved reliability and safer travel conditions are expected to support regional mobility, access to services, and economic activity, while helping sustain smaller communities that experience geographic and climatic isolation. Previous tunnel developments in Iceland have demonstrated similar impacts, including strengthened labour markets, improved access to healthcare and education, and more stable population trends in rural areas.” 

Arndís Ósk Arnalds, Managing Director of Construction Division: “We are very pleased to welcome COWI as our partner on the Fljótagöng tunnel project. COWI brings strong expertise and long-standing experience in tunnel design and complex infrastructure, which will be essential in delivering a safer and more reliable transport route. The project is an important step in improving traffic safety, year-round accessibility, and resilience, while supporting local communities by strengthening connectivity, access to services, and everyday mobility. We look forward to a close and constructive collaboration throughout the design process.” 

The design also incorporates multimodal considerations, including facilities for pedestrians, cyclists, and riders, alongside rest areas and supporting infrastructure intended to balance regional mobility with local community use. 

Identified as a priority investment within Iceland’s national transport planning framework through 2040, the Fljótagöng project represents a significant long-term infrastructure initiative. COWI’s involvement centres on applying technical expertise, interdisciplinary collaboration, and context-sensitive design to support safe, resilient transport infrastructure in a demanding natural environment.