The European Commission has greenlit a €9.7 billion Italian initiative aimed at advancing the country's renewable energy capacity by constructing 17.65 GW of new power plants. This program is part of Italy's broader strategy to accelerate its transition to a net-zero economy.

• The scheme will support onshore wind, solar PV, hydropower, and power generation from sewage gases.

• Facilities must have a capacity of less than 1 MW.

• Aid will be distributed through a transparent bidding process and take the form of variable payments under 20-year two-way Contracts for Difference (CfD).

• Grants will be issued before 31 December 2025, and projects must commence operation within 36 months of receiving aid.

The €9.7 billion budget is based on current market price estimates, with actual costs potentially lower if market prices exceed expectations.

This scheme was approved under the State Aid Temporary Crisis and Transition Framework (TCTF), adopted by the European Commission in March 2023 and revised in November 2023 and May 2024.

This initiative underscores the EU's commitment to renewable energy as part of its net-zero transition goals.

Source: enerdata.net