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20 September 20202 minute read

The innovations introduced in the energy sector by the Simplifications Decree

with amendments upon conversion into law

Introduction

With the overcoming of the emergency caused by the spread of COVID-19, the Italian government has intervened with Law Decree No. 76 of July 16, 2020 (i.e. Simplifications Law Decree) in order to accelerate the upturn of the Green Economy.

The regulatory innovations introduced by the Simplifications Law Decree aim to:

  • increase the production of energy from renewable sources by (i) facilitating and simplifying the authorization processes for the installation of new plants or for the approval of non-substantial modifications for the modernization of existing plants but also for projects authorized or in the process of being authorized, and (ii) also allowing (under certain conditions) the maintenance of incentives for plants that are in the process of receiving such recognition and also access to new energy incentives for electricity generated as a result of repowering and revamping of existing plants that had not chosen the incentive spread;
  • release investments in renewable energy sources and energy efficiency by alleviating the penalty regime with relevant restrictions on the authority of the Gestore Servizi Energetici (GSE);
  • stimulate "smart" electricity consumption such as on-site exchange elsewhere and storage systems; and
  • increase the electricity transmission capacity of network infrastructure by overcoming the critical issues of the electrical system (overloads) also for the development of electric mobility with the introduction of relevant simplifications for the installation of electric vehicle charging points and stations.

These regulatory interventions aim to contribute to the achievement of the Community's 2030 energy and climate objectives set by the Integrated National Plan for Energy and Climate (PNIEC).

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