Starting in 2026, Iceland introduced a new kilometer-based road fee that affects all vehicles on Icelandic roads, including campervans and RVs. If you’re planning a camper trip, this guide explains what the new fee means, why it was introduced, and how RV Iceland ensures your journey stays simple, transparent, and stress-free.
What is the New Kilometer Fee in Iceland?
The new kilometer fee is a mandatory road tax based on the distance driven rather than the amount of fuel purchased. Instead of contributing to road maintenance through fuel taxes alone, drivers now contribute based on actual road usage. This applies to all vehicles driving in Iceland, including campervans, motorhomes, and RV rentals.
Why Did Iceland Change the Law?
Iceland changed the law to modernize how road infrastructure is funded. As electric and fuel-efficient vehicles become more common, fuel tax revenues have declined, even though roads still require maintenance. The kilometer-based fee ensures that everyone using the roads contributes fairly, regardless of vehicle type or fuel source.
Who is Affected by The New Road Tax?
The new road tax applies to:
- Icelandic residents
- Tourists driving rental cars
- Campervans, RVs, and motorhomes
- Gasoline, diesel, hybrid, and electric vehicles
In short, any vehicle driving on Icelandic roads is subject to the kilometer fee.
Impact of The New Fee on Campers & RV Rentals in Iceland
For camper and RV travelers, the new fee doesn’t change the way you explore Iceland—but it can change how costs are structured. The fee applies similarly across vehicle types, meaning campers and RVs are not singled out or penalized compared to smaller cars.
One positive side effect is that, with fuel taxes removed, a decrease in gas prices in Iceland is expected.
How Iceland’s New Kilometer Fee Can Impact Longer Drives
If road fees are charged strictly per kilometer, long road trips can become unpredictable in cost, especially for camper travelers who love spontaneous detours and scenic routes. Fixed pricing removes that uncertainty and allows you to enjoy longer itineraries without constantly tracking distance.
That’s why a flat-rate system is ideal for popular routes like a 10-day camper itinerary in Iceland, where flexibility is part of the experience.
How RV Iceland Manages the New Road Fee?
At RV Iceland, we believe that traveling Iceland is about the experience—not counting kilometers. That’s why we’ve made the new road fee completely seamless for our customers.
Instead of charging per kilometer, RV Iceland applies a clear and flat daily rate, so you can drive as much as you want without limits or worries.
RV Iceland charges a fixed daily road tax of 1,550 ISK per rental day, fully included and clearly communicated.
No tracking. No surprises. No extra charges later.
Why Camper Travellers Benefit from a Fixed Daily Rate?
A fixed daily rate is especially beneficial for camper travelers who want freedom, flexibility, and peace of mind—whether you’re planning short drives or a full camper trip around the Ring Road.
No Extra Charge
You’ll never be charged more based on how far you drive. The price stays the same no matter the distance.
Transparent Pricing
The road fee is clearly included in your rental pricing. What you see is what you pay.
Freedom & Flexibility
Explore remote areas, take scenic detours, and change plans freely—without worrying about added costs.
What to Know About Road Fees in Iceland?
The new kilometer fee isn’t the only cost related to driving in Iceland. Travelers should also be aware of other road tolls in Iceland, including::
- Tunnel tolls
- Parking fees in cities and popular attractions
Frequently Asked Questions
New fees means new questions. We’ve got the answers to your questions about the new kilometer fee in Iceland:
Is the kilometer fee higher for motorhome or RV rentals?
No. The fee is not designed to penalize RVs or motorhomes. It applies fairly across vehicle types.
How do I pay for the kilometer fee?
With RV Iceland, the fee is already included as a fixed daily rate so there is no separate payment needed.
Does RV Iceland apply a kilometer limit?
No. All RV Iceland rentals include unlimited mileage.
Is there anything I need to do during pickup or drop off?
Nothing at all. There’s no paperwork or reporting required. RV Iceland handles everything for you.
Final Words: Relax and Enjoy the Ride
Iceland’s new kilometer road fee is designed to support sustainable travel, but it shouldn’t limit your adventure. With RV Iceland, everything is handled transparently and fairly, so you can focus on the journey, not the numbers.
Ready to hit the road? Book your camper in Iceland, and before you go, make sure you’re fully prepared by reading our essential tips on driving in Iceland.