The last element is  which means "fjord". This "southern fjord" is referring to a branch off the larger Ullsfjorden. In 1938, the municipal name was changed to Ullsfjord, after the local Ullsfjorden.
This final section pertains to which means "fjord". The "southern fjord" is a smaller extension of the larger Ullsfjorden. In 1938, the town's name was modified to Ullsfjord in line with the local Ullsfjorden.