Digital solutions are the key to better public services in remote areas

The municipality of Skagafjörður in northern Iceland is a widely dispersed community, presenting unique challenges when it comes to providing equal access to public services. According to Sigfús Ólafur Guðmundsson, IT project manager at the municipality, digital solutions have become a crucial tool for ensuring fair and efficient service delivery to all residents – no matter where they live.  

With a population of approximately 4,400 spread across multiple population centers and rural areas, some residents face up to an hour-long drive to reach services in Sauðárkrókur, the municipality's largest town. The digital transition has helped bridge this gap.

“Digital solutions are the key for us. We want to make it easy and equal for everyone to access municipal services,”
– Sigfús Ólafur Guðmundsson, IT Project Manager, Municipality of Skagafjörður

Sigfús Ólafur Guðmundsson, IT Project Manager, Municipality of Skagafjörður

Real benefits for residents and staff

Skagafjörður has implemented online applications for school meals and a digital wallet solution for waste disposal services – both developed by Wise. Integrated with the municipality’s existing Business Central system, the school meal solution automates data flow and accounting, reducing manual work and improving accuracy.

The digital wallet, introduced in response to new national waste regulations in 2023, allows residents to receive and manage their waste disposal credits directly on their phones using digital IDs. The flexible solution also supports multiple properties and tenant-specific access, improving usability for both citizens and staff.

“We wanted a solution that would simplify things for both our residents and ourselves. Instead of using paper punch cards, we went for a mobile-based wallet solution. It's easier, greener, and much more efficient,” says Sigfús.

Designed with the user in mind

The wallet solution has been well received, with around 1,300 residents using it already. Sigfús emphasizes the importance of designing digital services from the user's perspective – not the administrative one. The goal is to make essential tasks like paying for school meals or ordering a waste card as simple and accessible as possible, whether on a phone or computer.

More opportunities ahead

Sigfús sees great potential for expanding digital services in the municipality. The widespread adoption of digital IDs makes it easier to introduce new features, and both staff and residents experience clear benefits – not least the environmental impact of reducing paper usage.

One upcoming idea is to use Wise’s wallet solution for public pool access – another step toward smarter, more sustainable municipal services.