The energy consumption of the Icelandic economy was 168.7 petajoules in 2024, according to the physical energy flow account (PEFA). This comprised 40% electricity, 26% district heating, 13% kerosene and jet fuel, and 12% diesel and gasoline.
The definition of energy consumption in this context is the energy content of all products used by businesses and households within the economy, including use that does not generate energy. Example of this is the metal industry, which uses hard coal for oxygen scrubbing and as electrodes. Coal accounts for roughly 3% of the economy energy consumption but generates about one-third of Iceland's total CO₂ emissions.