Previous incidents had disrupted district heating, closed key roads and even razed several houses.
A volcano in southwestern Iceland erupted on Wednesday, live video from the area showed, making it the fifth outbreak since December.
The new outburst happened as another eruption on the Reykjanes peninsula recently ended after spewing fountains of molten rock for almost eight weeks.
Authorities had warned of the risk of renewed volcanic activity in the area just south of the capital Reykjavik as studies showed magma accumulated underground.
The fiery spectacle underlines the challenges the island nation of almost 400,000 people face as scientists have warned eruptions could happen over and over in Reykjanes for decades or even centuries.
The eruption was the eighth on the peninsula, home to some 30,000 people, since 2021 when geological systems that were dormant for some 800 years again became active.
Previous incidents had disrupted district heating, closed key roads and even razed several houses in the Grindavik fishing town, where only a few residents have since returned.
In an attempt to prevent further damage man-made barriers have been built to steer lava away from infrastructure including the Svartsengi geothermal power plant, the Blue Lagoon outdoor spa and Grindavik.
Icelanders often refer to their country as the "Land of Fire and Ice" as a tribute to its otherworldly landscape forged by glaciers and volcanoes which is positioned between the Eurasian and North American tectonic plates, making it a seismic hotbed.
While a 2010 eruption in a different part of Iceland grounded some 100,000 flights internationally due to huge ash clouds, Reykjanes is typically home to fissure outbreaks which do not reach into the stratosphere.
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