Energy Policies of IEA Countries: Italy 2016
Since the last in-depth review in 2009, Italy has made strong progress in the development
and implementation of energy policy. The most notable improvement has been the publication
of a comprehensive long-term energy strategy.
The adoption of the National Energy Strategy in 2013 sent a strong signal to stakeholders
as to the government’s medium- and long-term objectives for the energy sector. It
established clear goals: reduce energy costs, meet environmental targets, strengthen
security of energy supply and foster sustainable economic growth. Nonetheless, the
adoption of the Strategy is only a first step towards achieving the government’s ambitions.
Monitoring implementation and maintaining momentum will present a challenge for the
Italy has experienced impressive growth in the renewable energy sector and has been
successful in integrating large volumes of variable renewable generation. Containing
costs is a priority, and policies need to focus on bringing deployment costs towards
Italy has also continued to progress in terms of market liberalisation and infrastructure
development, notably in the electricity market where transmission improvements between
north and south, as well as market coupling, have resulted in price convergence throughout
the country and wholesale prices tending towards those elsewhere in Europe. Development
in the gas sector has been slower, and greater progress is needed if Italy is to be
become a southern European gas hub. Furthermore, institutional arrangements within
the energy sector remain complex and should be reformed and strengthened. Implementation
of the National Energy Strategy provides a timely opportunity to address each of these
challenges in a comprehensive way.
This review analyses the energy policy challenges facing Italy and provides recommendations
for further policy improvements. It is intended to help guide the country towards
a more secure and sustainable energy future.
Published on January 05, 2017
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