VW ID.3 Electric Car Rental in Iceland – Automatic 2WD
Looking for an affordable electric car rental in Iceland for your next road trip? The VW ID.3 Electric Automatic 2WD is a practical choice for travellers who want to explore Iceland in a compact, fully electric vehicle.
With its automatic transmission, five-door design, and advertised driving range of approximately 400 km, the Volkswagen ID.3 is suitable for visiting Reykjavík, exploring the Golden Circle, and travelling along Iceland’s main sightseeing routes.
If you’re looking for a modern car rental in Iceland that combines electric driving, everyday comfort, and compact hatchback practicality, the VW ID.3 is a good option for couples, solo travellers, and small groups planning a self-drive holiday.
Why Choose a VW ID.3 Electric Rental in Iceland?
If you want to rent a car in Iceland without relying on petrol or diesel, the VW ID.3 Electric Automatic offers a practical way to explore the country using Iceland’s growing electric vehicle charging network.
This compact electric hatchback is particularly suitable for travellers who want the convenience of automatic driving while keeping their vehicle size and running costs manageable.
Here are some of the main benefits of renting a VW ID.3 Electric in Iceland:
- Fully electric car rental: Explore Iceland with zero tailpipe emissions and no need to purchase petrol or diesel.
- Automatic transmission: Convenient for driving around Reykjavík, Icelandic towns, and popular sightseeing routes.
- Approximately 400 km advertised range: Suitable for many sightseeing journeys when charging stops are planned. Actual range depends on temperature, speed, terrain, and driving habits.
- Compact five-door design: Practical for city driving and parking, with convenient access to front and rear seats.
- Seats up to five passengers: Offers seating for small groups, although travelling with fewer passengers may be more practical when carrying luggage.
- Luggage space for light packing: The listed vehicle group accommodates one large suitcase and one small bag.
- Modern driving features: Includes cruise control, Bluetooth, USB connectivity, electronic stability control, ABS, and air conditioning.
- Electric charging network: Public charging stations are available in Reykjavík and many towns along Iceland’s main travel routes.
For travellers comparing Iceland car rental options, the VW ID.3 is a practical alternative to petrol and diesel economy cars, particularly for visitors who want a compact electric vehicle rather than a larger SUV.
Where Can You Drive a VW ID.3 Electric in Iceland?
The VW ID.3 Electric Automatic is a compact 2WD rental car in Iceland, best suited for paved roads and popular sightseeing routes with access to charging stations.
Its advertised 400 km driving range makes it suitable for a variety of self-drive itineraries, provided you plan charging stops according to your route and the weather.
Reykjavík and the Reykjanes Peninsula
The VW ID.3 is a practical option for travellers staying in Reykjavík who want to explore the city and nearby attractions.
Its compact size makes it convenient for city driving, while its electric powertrain is well suited to shorter sightseeing journeys.
You can also explore attractions around the Reykjanes Peninsula, including coastal viewpoints and geothermal areas that are open to visitors.
Golden Circle
The Golden Circle is one of Iceland’s most popular self-drive routes and a good option for an electric car rental.
Visit Þingvellir National Park, the Geysir geothermal area, and Gullfoss waterfall before returning to Reykjavík or continuing your journey through South Iceland.
Plan your charging stops before departure, particularly if you intend to add extra sightseeing destinations.
Iceland’s South Coast
The VW ID.3 Electric is also suitable for exploring Iceland’s South Coast.
Drive along Route 1 to visit Seljalandsfoss waterfall, Skógafoss, Reynisfjara black sand beach, and the village of Vík.
For longer South Coast itineraries, check the availability of charging stations along your planned route.
Iceland’s Ring Road
Planning a longer electric road trip around Iceland?
The VW ID.3 can be used on Iceland’s Ring Road (Route 1) when weather and driving conditions are suitable.
Charging stations are available in many towns along the route, making a multi-day electric road trip possible with advance planning.
Before travelling, check charger locations, connector compatibility, and charging availability. Remember that cold temperatures, strong winds, and higher driving speeds can reduce electric vehicle range.
Can You Drive a VW ID.3 Electric on F-Roads?
No. The VW ID.3 is a 2WD electric rental car and is not permitted on Iceland’s Highland F-roads.
If you’re planning to explore the Highlands during summer, you will need a suitable F-road-approved petrol or diesel 4×4 rental vehicle instead.
For winter travel, remember that snow, ice, and strong winds can affect both driving and battery range. Always check road.is and en.vedur.is before setting off.
Rent a VW ID.3 Electric in Iceland with Thrifty
Planning an Iceland road trip and looking for an affordable rental car in Iceland with electric technology and automatic transmission? The VW ID.3 Electric 2WD is a practical choice for travellers who want a compact vehicle for exploring Iceland’s main attractions.
Whether you’re visiting Reykjavík, exploring the Golden Circle, or planning a longer journey along the Ring Road, Thrifty Iceland offers electric rental cars for different travel needs.
Rent a car in Iceland with Thrifty and discover the country in a VW ID.3 Electric Automatic 2WD or similar compact electric car.

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FAQ
- Is it worth renting an electric car in Iceland?
Yes, for most travellers it is. Electric cars are ideal for driving the Ring Road, Golden Circle, and South Coast. With lower running costs and a growing charging network, they offer great value for self-drive trips.
- Are there enough electric car charging stations in Iceland?
Yes, Iceland has a well-developed charging network along main routes and in most towns. Fast chargers are widely available on popular travel routes, making it easy to plan longer drives.
- What months do I need a 4×4 in Iceland?
You need a 4×4 in Iceland mainly from October to April during the winter months. You also need a 4×4 during the summer if you plan on exploring the highland F-roads.
- What is the new kilometer tax / road tax fee in Iceland?
As of January 1st 2026 the Icelandic government is replacing part of the traditional fuel-based road tax with a usage-based system (“kílómetragjald”), calculated per kilometer driven and adjusted by vehicle weight. All vehicles using Icelandic roads, including rental cars, are required to contribute through this kilometer-based charge to support road maintenance and future infrastructure.
- What is the new kilometer tax / road tax fee in Iceland?
As of January 1st 2026 the Icelandic government is replacing part of the traditional fuel-based road tax with a usage-based system (“kílómetragjald”), calculated per kilometer driven and adjusted by vehicle weight. All vehicles using Icelandic roads, including rental cars, are required to contribute through this kilometer-based charge to support road maintenance and future infrastructure.
- Why is Thrifty Car Rental Iceland charging it?
The tax applies to all standard passenger cars and SUVs under 3.5 tonnes, as well as heavier vehicles in higher weight categories, with rates defined by law for each class. It applies to both Icelandic residents and visitors, including tourists renting a vehicle from Thrifty Iceland for a short stay or a longer road trip such as the Ring Road.
- Is it included in the daily rate?
The Road Tax appears as its own line item at these points:
- On your rental agreement at the check-in desk
- On your final invoice after drop-off
This clear separation helps show exactly what portion of your total cost is the government-mandated tax versus your actual rental service.
The charge applied to your rental agreement consists of two clear parts:
- Government Road Tax: The mandatory fee set by the Icelandic Parliament.
- Thrifty Service Fee: Covers the administrative cost of processing, reporting, and remitting these taxes to the government.
Rate (Per KM) Government Road Tax 6.95 ISK (Approx . 0.056 USD / 0.047 EUR) Thrifty Service Fee 1.40 ISK (+ VAT) (Approx . 0.011 USD / 0.0095 EUR) - Where do I pickup my rental car?
Just head to the Car Rental Shuttle Bus directly outside the terminal. This shuttle takes you to the car rental area just outside of Keflavik Airport. Here you will find Thrifty Car Rental, which is located in the same building as Hertz Car Rental, Dollar Car Rental, and Firefly Car Rental. Thrifty is backed by Hertz Car Rental, which has over 55 years of local experience in Iceland having first opened here in 1971. Bringing decades of experience.
We also have pickups available at Reykjavik Domestic Airport, Akureyri, Egilsstaðir, and Ísafjörður.
- What is your cancellation policy?
In case of a cancellation, the rental needs to be cancelled more than 3 days prior to rental pick up for a full refund.
If a rental is cancelled with less than 3 days notice or in case of no show the full rental price will be charged.
- 3 days or earlier – Full refund
- Less than 3 days – Non refundable
If you need to cancel your prepaid reservation please do so by sending an email to thrifty@thrifty.is stating your name and reservation number.


