We can all agree that it's a tragedy that this animal died.
The other consideration is that polar bears are amongst the most relentless and vicious predators around. A polar bear around an inhabited area is very much a serious safety threat. Iceland doesn't have any animal predators and therefore also wouldn't have the trained people or equipment necessary to deal with neutralizing and relocating this bear.
I would have liked to have seen the animal safely moved. But I suspect there's more context to this story that we don't have beyond the headline.