Italy's government approved a comprehensive energy decree on Monday aimed at bolstering the nation's energy security and accelerating renewable power production. Minister for Ecological Transition, Gilberto Pichetto Fratin, anticipates the package to generate €27.4 billion ($29.89 billion) in investments, marking a significant stride toward unlocking Italy's renewable energy potential.
Originally slated for announcement in October, the decree faced internal disagreements within the ruling coalition, leading to a temporary freeze. Despite subsequent scaling down in certain aspects, the approved measures include a yearly allocation of €350 million until 2032 to support projects countering local resistance to renewable plant installations. Additionally, Rome aims to designate two maritime state-owned areas in Southern Italy exclusively for new offshore wind projects.
The legislation outlines a framework for the development of carbon capture and storage facilities (CCS), aligning with efforts by energy giant Eni and gas grid operator Snam to establish a CCS hub offshore near the city of Ravenna.
In a bid to augment natural gas supplies, the decree categorizes onshore LNG terminal projects as “strategic interventions of public utility, non-deferrable, and urgent,” enabling the acceleration of work on Enel's projects in Porto Empedocle and those by Iren and Sorgenia in Gioia Tauro.
However, the government has opted to abandon plans to extend a special regime facilitating household electricity purchases from suppliers at regulated prices, citing potential conflicts with European regulations. The existing regime, set to expire in January, aligns with Italy's commitment to enhancing competition in the energy market under the post-COVID recovery plan.
Notably absent from the decree is a regulation extending concessions for companies managing hydroelectric plants in exchange for increased investments. Such a provision would have favored utilities including Enel, A2A, and Edison, holders of concessions for numerous hydro power stations.
While excluded for hydroelectric plants, a similar norm is included for the geothermal sector. Regional authorities may request holders of geothermal business licenses to propose multi-year investment plans to extend their concessions.
Furthermore, the decree empowers territorial authorities to submit applications for hosting radioactive waste, streamlining the identification of storage areas.
