The NIAS Arctic Series

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CWA # 185, 3 November 2019
The NIAS Arctic Series
The Arctic Littorals: Iceland and Greenland

  Rashmi Ramesh

Greenland's location, the immense energy resources and its military importance make it a perfect point of confluence, where all Arctic interests can be met. 

The Arctic is gaining international traction due to climate change. A perpetually ice-covered region has transformed into a seasonally ice-free region. This has opened the doors for Europe, North America and Asia to explore opportunities in the field of economics, energy, tourism, and shipping. The region is also becoming important in geopolitical terms. In the wake of these developments, islands of the Arctic Ocean have risen of prominence. 

This commentary takes into consideration two islands- Iceland and Greenland, and analyze their importance in the changing Arctic. 

Iceland in the Arctic

Most of the Icelandic land is located in the North Atlantic Ocean except for a small island, Grimsey, which is located inside the Arctic Circle. Iceland's Arctic identity solely depends on this island. It is a well-established fact that islands are at the receiving end of climate change. It is also proven that climate change is most evident in the Arctic region. As an island proximate to the Arctic, Iceland is currently witnessing severe changes. On 19 August 2019, a group of Icelanders led by Prime Minister Katrín Jakobsdóttir, gathered to commemorate the death of first big glacier of the country- Okjökull. The plaque that was unveiled during the "mourning" ceremony, has a word of caution to the current as well as the future generations, calling for efforts and creating awareness about the disastrous consequences of climate change. Additionally, Iceland's Arctic Policy that was adopted in 2011, emphasizes on the environment and climate change. 

While climate remains the priority, Iceland is also focusing on socio-economic development. The country saw its worst economic crisis in 2008 when most of the developed world was reeling under severe recession. Iceland looked up to the West for improving its economic situation. When both western European countries and Russia failed to help, it was forced to go to the International Monetary Fund for a bailout. Currently, Iceland is heavily dependent on investments from China, especially after the failure of negotiations with the European Union. It is the first European country to sign a free trade agreement with China in 2013. Iceland is perceived to be a soft ground for China to meet its Arctic interests. 

Iceland's Arctic Policy also emphasizes on the importance of the Arctic Council as the apex body at the helm of regional affairs, dispute settlement on the lines international law and the UNCLOS, trade relations among Arctic states, and rights of the indigenous communities of the Arctic. Interestingly, the policy also calls for closer cooperation between Iceland, Greenland and the Faroe Islands. This is probably due to some of the common issues faced by island nations/territories. 

Iceland's location defines its forthcoming role in Arctic affairs. Its Arctic identity is rooted in its history. There have been references to the phrase "Arctic Mediterranean", coined by the explorer Vilhjálmur Stefánsson and this is being evoked to show Iceland's potential as a transit route in the Arctic. It has "appropriated, reformulated and repacked" this historical anecdote to shape its political identity as an Arctic state. Iceland can become a key point in the transit and trade between the Arctic and Atlantic Oceans with the changing scenario. 

Greenland and the Arctic

Greenland, an autonomous region of Denmark, is the closest landmass to the North Pole. The location of the island makes it indispensable for countries pursuing an Arctic policy. For Denmark, its Arctic identity depends on Greenland, without which it would remain an Atlantic country. 

Greenland also spells out a story similar to that of Iceland. Satellite images by NASA indicate that the Greenlandic Ice sheet is melting rapidly. However, its recede is being perceived as an advantage by Denmark, the United States and China. Greenland is increasingly focusing on its economic development, for which it is inviting foreign investments. China is in the forefront of securing investing rights, mining rights. Greenland's immense energy resources and rare earth minerals have successfully attracted Chinese attention. In 2018, China Communications Construction Company (CCCC) was shortlisted to construct and expand airports in Nuuk, Ilulissat and Qaqortoq. These developments in Greenland have raised eyebrows in the Danish mainland. Denmark seems to be quite uncomfortable with China's so-called intervention in the issues concerned with national security. 

Recently, Greenland was under limelight when President Trump announced that the United States wished to buy the island. Denmark denied US's offer and said that Greenland is a part of its Kingdom and not an island up for sale. However, Greenland is an important point in Denmark-US relationship. The United States Air Force has been controlling the Thule airbase since it was established in 1941. The main purpose was to defend Danish colonies from German aggression. During the Cold War, the US had planned 'Project Iceman' where it would house medium-range missiles. Due to unfavourable weather conditions, the project could not become a reality. Today, the base continues to symbolize the strategic relationship between the two countries. It houses specialized radars to detect the launch of missiles or any new activities in the outer space. Apart from this, the US is also looking for extracting energy resources from Greenland. 

Seeing from Greenland's perspective, they view changing the Arctic as an opportunity for their socio-economic growth and development. They also stress on the rights of indigenous communities of Greenland and call for the protection of traditional livelihood of the Greenlanders. Overall, Greenland's location, the immense energy resources and its military importance make it a perfect point of confluence, where all Arctic interests can be met. 

 

The NIAS Arctic Series

Rashmi Ramesh
The EU and the Arctic: The interest is not mutual. Why?
CWA #250, 28 March 2020

Rashmi Ramesh
Iceland, Denmark and Norway: Small is Big in the Arctic
CWA #249, 28 March 2020

Harini Madhusudan
The Non-Arctic powers: Assessing the interests of Japan and South Korea
CWA #248, 28 March 2020

Rashmi Ramesh
The Arctic Littorals: Iceland and Greenland
CWA #185, 3 November 2019

Harini Madhusudan
The Polar Silk Route: China's ambitious search in the Arctic
CWA #184, 3 November 2019

Parikshith Pradeep
The Scientific Imbalance: Is technology rightly being invested in the Arctic?
CWA #183, 3 November 2019

D. Suba Chandran
Why an Arctic foray is essential for India
CWA #177, 27 October 2019

Parikshith Pradeep
Russia's Polar Military Edge
CWA #176, 27 October 2019

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