New LevelTen Energy Report On Italian Renewable Energy Market: Clean energy buildout in the country must accelerate significantly

LevelTen Energy, the leading provider of transaction infrastructure for the energy transition, today releases the findings of the report, Italy’s Renewable Energy Renaissance, compiled by its team of energy industry analysts. The report’s findings include:

Regulatory shifts are changing the development outlook.

• In July 2021, the Italian government passed Act No. 108, “Decreto Semplificazioni Bis” into law, which was designed to simplify and streamline approval processes for renewable energy plants. The bill’s goal was to reduce the standard approval process’ average duration from around 1,200 days down to 250 — an ambitious target that, if reached, would help significantly reduce development timelines.
• On 2 February, 2024, Decree Law No. 181 was passed into law, bringing “urgent provisions for the energy security of the country”, and promoting “the use of renewable energy sources”. In addition to supporting the development of a domestic supply chain for floating offshore wind in Italy’s south, the law also introduced impactful measures that should simplify environmental authorisations, support investments in grid infrastructure, and open up more land for renewable development.
• In total, these laws hold much promise for alleviating development headwinds across permitting processes, environmental reviews, land constraints, and more. However, an ongoing debate around land use continues to add complexity to Italy’s regulatory landscape. A recent decision banning ground-mounted PV on land classified as agricultural (nearly 42% of Italian land) may constrain offtake opportunities for corporate buyers and raise development costs.

Buyer appetite for Italian renewable capacity remains strong.

• Regulatory and market flux aside, one thing is clear: if Italy is to reach its ambitious clean energy goals, renewable developers have a lot of work to do in the coming years — and undoubtedly, corporate buyers will have an integral role to play in supporting this development.
• As permitting and interconnection reforms begin to take effect, there is reason to be hopeful that more project supply will become available to corporate buyers interested in Italian procurements. With over 3 million MWh of cumulative demand tracked on the LevelTen Platform, it is clear that buyer interest in the country is abundant.

PPA buyers can help drive Italy’s energy renaissance

• LevelTen Energy implores PPA buyers to take full advantage of this present moment as European electricity markets experience some degree of normalcy following the continent’s energy crisis and the disruptive impacts of the war in Ukraine. PPA buyers should go to market now to lock in good deals before demand grows further.

Download the full report

To download the full report, please visit here.

About LevelTen Energy

LevelTen Energy is the leading provider of transaction infrastructure for the energy transition, delivering marketplaces, software, data and analytics that accelerate carbon-free energy deals and decisions. The LevelTenPlatform is the global hub for carbon-free energy transactions and insights, connecting over 1,000 project developers in 32 countries with a vast network of corporations, advisors, traders, financiers and other organisations seeking to advance carbon-free energy development. The Platform includes marketplaces for power purchase agreements, clean energy projects, and tax credit transfers, and will soon support the trading of granular certificates. In addition to building and operating marketplaces, LevelTen Energy provides automated analytics and fresh data to inform key decisions for all market participants, as well as software to help users manage business before, during and after transactions. Visit LevelTenEnergy.com to learn more.