A number of cruise ships are cancelling their planned visits to Iceland over a new infrastructure fee imposed by the local government, a report by local news source RÚV said.
Effective from Jan. 1, 2025, the new legislation requires cruise passengers to pay a daily fee of 2,500 ISK (roughly $18) while visiting a port in the country.
While the local government expects the fees to generate over $10 million for the state, port officials across Iceland are reporting cancellations from multiple cruise lines, the local news report said.
With ports like Grundarfjörður and Akureyri seeing significant cancellations, the number of cruise calls in Iceland is expected to decrease by 80 this year.
Mentioning the industry organization Cruise Iceland, RÚV said that the new fee was introduced with a lack of consultation and preparation.
“We would have, first of all, wanted to see this implemented in stages so it wouldn’t hit operations as hard as it does now,” Sigurður Jökull Ólafsson, chairman of the organization, told the website.
In late 2024, Cruise Iceland is said to have warned the local government about the potential effects of the sudden imposition of a new fee legislation.
“It’s reasonable for this industry to contribute. But it must be implemented with adequate notice,” Ólafsson added.
The ports of Grundarfjörður, Vestmannaeyjar, Akureyri and Faxaflói have all reported cancellations, with the newly imposed fee cited as a reason.
In Akureyri, there will be 44 fewer ship visits than last year, RÚV reported. Grundarfjörður has seen seven cancellations for 2025 and an additional 14 for next year.
At least 10 fewer cruise calls are expected in Vestmannaeyjar compared to 2024.
Cruises that are set to circumnavigate Iceland, therefore making visits toa number of ports in the country, are particularly affected, the site said.
In a statement available online, MSC Cruises’ Port Operations Director, Francesco de Curtis, expressed surprise and concern over the new fee.
“This new proposed Infrastructure Fee is at a level where it could affect our assessment of the viability of Iceland in our future itineraries and plans,” he said in the message directed to Akureyri Port officials.
