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Italy increases solar, wind targets in new NECP draft

  • : Electricity
  • 23/07/03

The Italian government has doubled its 2030 target for solar photovoltaic (PV) capacity and substantially increased its objectives for wind capacity, according to its revised National Energy and Climate Plan (NECP) document seen by Argus.

Italy hopes to have 131.3GW of renewable generation assets installed by the end of the decade, up from a target of 95.2GW in the previous NECP published in 2019. The new target for solar PV was revised to 79.9GW, up by more than 50pc from a previous target of 52GW — the largest upward revision of any renewable source.

Rome is also now targeting 28.1GW of wind against a previous 19.3GW, and 1GW of geothermal compared with a previous goal of 950MW. The target for hydropower capacity — excluding pumped storage — remained unchanged from a previous 19.2GW owing to the technology already being "largely exploited", according to the document. Projections for capacity from biofuels were revised down from a previous 3.8GW to 3.1GW as Italy plans to gradually move away from biofuels at the end of the current incentive period.

The renewable target, if met, would mean that 40.5pc of Italy's overall energy consumption would be covered by renewable technologies in 2030, up from the previous target of 30pc. In particular, 65pc of Italy's power-sector consumption would be met by renewables against a previous target of 55pc, while the renewable share of heating-sector consumption would increase to 36.7pc from 33.9pc in the 2019 plan. And about 30.7pc energy consumption in the transport sector would be covered by renewables against a previous target of 22pc.

Italy's current installed capacity from renewable sources stands at 65.1GW, less than half of the new NECP target. Solar — including agri-PV — constitutes the single-largest technology in the country's renewable mix at 26.5GW, but stands at only a third of the country's 2030 targets.

The expansion in Italian solar PV capacity has been slow owing to lengthy authorisation processes, with an average of less than 1GW added each year since 2014, data from Italian grid operator Terna show. Yearly solar additions quickened to 2GW last year and 1.4GW in January-April 2023 owing to legislation introduced in April 2022 aimed at simplifying authorisations for projects of up to 20MW, but the recent repeal of the "superbonus 110pc" credit scheme for small-scale PV systems may slow uptake once more.

The draft plan also confirms that Italy will decommission its 6GW coal-fired fleet by 2025, with the exception of Czech EPH's 600MW Fiume Santo plant on the island of Sardinia, whose conversion to a 1GW renewable complex is set to coincide with the development of Terna's 2GW Tyrrhenian link.

Italy formalised its 2030 target for cross-border interconnection capacity, aiming for a 1.9GW increase from a current 6GW with the completion of the 600MW Italy-Tunisia interconnector, a second 500MW Italy-Greece cable and a new 300MW interconnection with Austria. Cross-zonal capacity is planned to increase from a current 16GW to 30GW by 2030, particularly from the central-south to the central-north zones and between Sardinia, Sicily and the mainland.

The current draft revision of Italy's NECP comes after a cross-sector and public consultation and has been lodged with Brussels. The definitive revision of Italy's NECP must be submitted to the European Commission by 30 June 2024.


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25/06/18

TC Energy targets brownfield expansion growth

TC Energy targets brownfield expansion growth

Washington, 18 June (Argus) — Canada-based TC Energy intends to focus on expansions of its existing natural gas pipeline network in North America to serve growing demand for natural gas service until the mid-2030s, chief executive Francois Poirier said today. TC Energy has a $32bn backlog in capital projects and is looking at an additional $30bn of projects that may not all come to fruition, Poirier said. The company's focus is on increasing capacity through existing pipelines and pipeline corridors, he said, rather than pursuing greenfield projects that require entirely new routes. "Our view is that we're going to be able to prosecute all of that with brownfield expansions," Poirier said in an interview on the sidelines of the Atlantic Council's Global Energy Forum. "The industry has been quite innovative in finding the nooks and crannies to move gas around. So I don't see a need for a big greenfield pipeline until the mid-2030s." Pipeline developers since 2020 have prioritized brownfield projects, after permitting delays and lawsuits delayed or halted proposed pipelines across the eastern US, such as the now-canceled $8bn Atlantic Coast Pipeline. President Donald Trump has pushed to restart new pipeline development, and last month US midstream operator Williams said it was restarting work on the 124-mile (200km) Constitution pipeline and the Northeast Supply Enhancement project. Last month, TC Energy announced a $900mn expansion of its ANR pipeline system in the US Midwest, known as the Northwoods project. TC Energy will focus on those types of brownfield projects until at least the mid-2030s, Poirier said, when the company forecasts gas production in the Hayettesville and Permian basins will reach maturity. At that point, he expects there will more need to transport Appalachian gas to the US Gulf coast, where demand from LNG export terminals is set to increase. "Then the question is going to be, is it economical?" Poirier said. "It's going to depend on the price for Henry Hub [gas]. Right now, the Henry Hub price doesn't support a new greenfield pipeline." Data centers are among the largest drivers of demand growth, Poirier said. In the last three months, TC Energy has seen "quite an acceleration" in demand for gas transportation service from utilities serving that demand, he said. Gas-fired plants are still the fastest way to reliably serve those data centers even though such plants take 3-5 years to build, he said, because renewable power is intermittent and nuclear plants take at least a decade to build. "If you look at the 660 or so data centers under development and construction in the US, about two-thirds are within 50 miles of our pipelines," Poirier said. By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Poland wraps up CBAM changes with European Parliament


25/06/18
25/06/18

Poland wraps up CBAM changes with European Parliament

Brussels, 18 June (Argus) — Poland has concluded negotiations on behalf of EU member states with the European Parliament for a revised carbon border adjustment mechanism (CBAM), ahead of handing over the bloc's six-month rotating presidency to Denmark at the end of June. But Warsaw will not lead discussions on the EU's emissions cut target for 2040 and the bloc's updated nationally determined contribution (NDC) to the Paris climate agreement. Leading negotiations for EU states with parliament, Poland's deputy climate minister Krzysztof Bolesta said the revised CBAM would exempt 90pc of originally covered EU companies from reporting obligations, while 99pc of emissions embedded in imported products would remain covered. The agreement on CBAM now has to be formally approved by parliament and EU ministers. Once published in the bloc's official journal, the revised CBAM text will exempt importers that do not exceed a new single mass-based threshold of 50 t/yr of imported goods. Bolesta admitted that progress has been held up on concluding the EU's NDC during Warsaw's presidency of EU ministerial meetings. CBAM was also listed by Bolesta as one of the points for flexibility in discussions on the 2040 climate target, alongside carbon credits under Article 6 of the Paris agreement, additional funding and flexibility between climate sub-targets. At a meeting of environment ministers yesterday, Bolesta indicated that most states still favour the European Commission linking its submission of an EU NDC to the UN — which includes a 2035 emissions cut target — with the bloc's planned 2 July proposal for a 2040 EU climate target. The CBAM yesterday contributed to delays in technical negotiations held in Bonn, Germany, for the UN Cop 30 climate conference in Brazil. The Like-Minded Group of Developing Countries, including countries such as Bolivia, China, Saudi Arabia, Cuba and Vietnam, had urged the need to address concerns "with climate change-related trade-restrictive unilateral measures". Despite "very, very divergent views", EU member states agree that it "is absolutely urgent to come up with an NDC before the end of September", Bolesta said. The Polish presidency of the EU, chairing climate ministers' meetings, has advanced NDC work as much as possible in the absence of the commission's proposal to revise the bloc's climate law. "We really have only a couple of months to come up with something. What lacks in the NDC draft is now the headline target," Bolesta said. Countries have not yet discussed the quality of Article 6 offsets, Bolesta added. "Everyone in the room realises that we need to be very stringent on what kind of offset will be let into the system," he said. EU climate commissioner Wopke Hoekstra is "cautiously optimistic" that a landing ground can be found on the 2040 climate target. He called for more assertive climate diplomacy, as a large part of the problem lies outside Europe. For China, Hoekstra noted unfair trade practices and "serious" concerns about plans to build additional coal-fired plants. "It's a mixed bag. And we invite them to step up their ambition," he said. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

TSO error, generation loss led to blackout: Spain VP


25/06/17
25/06/17

TSO error, generation loss led to blackout: Spain VP

London, 17 June (Argus) — Programming mistakes from Spain's transmission system operator (TSO) and "improper" disconnection of generating units by utilities contributed to Spain's 28 April blackout, according to Spain's vice-president and ecological transition minister, Sara Aagesen. Aagesen addressed the public following a meeting with the council of ministers, in which she presented a report on the government's findings from its investigation into the blackout that affected the Iberian peninsula on 28 April . Poor planning for voltage controls may have contributed to the blackout on 28 April. The day before the Iberian outage, Spanish TSO Red Electrica requested that 10 thermal plants be available in case of voltage issues on 28 April, Aagesen said. Market mechanisms meant the plants were not expected to be part of the 28 April generation mix, but the TSO often selects thermal units spread across Spain for back-up in case of an extraordinary event, in exchange for financial compensation. At 20:00 local time (18:00 GMT) on the night before the blackout, one of the thermal plants informed the TSO that it would not be able to operate the next day, and the TSO decided not to select another plant to take its place. The TSO "decided to reprogramme [for the next day], but not replace the need for a thermal plant", which meant the TSO went into the day of the blackout with "resources for voltage control that were inferior to what they had calculated the previous morning for the middle hours [of 28 April]". Some of the generation that disconnected from the grid in the initial stages of the blackout happened in an "improper manner". While some units automatically disconnected to protect themselves from voltage fluctuations, it was suggested that some generation units should not have done so. This created a wider "wave of over-voltage", amplifying the effects. And generation loss was detected not only in the Badajoz, Granada and Sevilla provinces as previously believed, but also in Caceres, Huelva and Segovia. This phase of the blackout took place within the space of 21 seconds. There is still no indication that a cyber attack took place on 28 April. The minister reiterated the government's stance on the matter, ruling out external influences on the events during the blackout. The full report covering the government's investigation into the blackout, approved by the council of ministers, will be published this evening. Aagesen will hold a meeting with her Portuguese counterpart, Maria da Graca Carvalho, in Portugal this evening at 20:00 local time (20:00 BST). By James Doran Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

World Bank backs Indonesia's $2.128bn clean energy push


25/06/17
25/06/17

World Bank backs Indonesia's $2.128bn clean energy push

Singapore, 17 June (Argus) — The World Bank has approved a $2.128bn blended finance package for Indonesia to support its financial sector reforms and accelerate investment in clean energy, it announced on 16 June. Indonesia will channel $1.5bn of the package into strengthening its financial services sector by expanding the use of digital financial tools and removing credit infrastructure constraints. It will also help remove obstacles in obtaining renewable energy technologies by reducing local content requirements. The remaining $628mn in funding — comprising a $600mn loan from the International Bank for Reconstruction and Development (IBRD), $12mn from the IBRD surplus-funded liveable planet fund, and $16mn from partners under the Sustainable Renewables Risk Mitigation Initiative — is aimed at enabling greater energy access. This blended finance programme aims to generate 540MW of solar and wind power. It is also expected to reduce power generation costs by 8pc and cut greenhouse gas emissions by 10pc, particularly in Kalimantan and Sumatra, the World Bank said. This energy programme is the first to use the World Bank's step-up loan product, which has a repayment scheme designed to attract long-term private investments, with incentives including lower interest rates during the implementation phase and further reductions if projects are refinanced after completion. By Haridas Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

EEX seeks daily Nordic power trades from 25 players


25/06/16
25/06/16

EEX seeks daily Nordic power trades from 25 players

London, 16 June (Argus) — German exchange EEX believes its liquidity drive can be considered successful if around 25 participants initially close daily trades for the system and some zonal futures, sales director Tim Greenwood told Argus . The exchange has long highlighted its ambition to increase liquidity, and has now introduced specific measures to address this along with an indication of what higher liquidity would entail. EEX last week launched a package of measures to encourage activity on its Nordic offering, which covers system and zonal futures for the 12 Nordic zones. The package includes a year-long trade fee waiver scheme and clearing cost cover. The scheme is based on past successes in stimulating activity in similarly illiquid or mostly over-the-counter markets, such as Spain, Greenwood said, and will be complemented by a focus on local engagement with stakeholders. The initiative follows dramatically lower trading across its Nordic book on the year, with liquidity down by 99pc on the year in January and by 92pc in February. By delivering on its ambition to bring 25 participants onto the exchange, then rising to around 40, the exchange hopes it can demonstrate to the market it and liquidity are moving forward, so the conversation regionally can change from "what can we do" about liquidity to "how are we progressing", Greenwood said. The Nordics are primarily dominated by the state-owned utility in each country, particularly in Sweden and Norway, Sweden's Vattenfall and Norway's Statkraft. EEX is confident these participants would welcome a market that is "seven or eight times" the size it is today and that, ultimately, "the big fish go where the small fish go." EEX also hopes to demonstrate to the market its zonal futures are a tool in and of themselves for re-energising Nordic liquidity by allowing firms to trade while recognising the increasingly divergent fundamentals between zones. The Nordic system price, by papering over this divergence, has "a lot to do" with the regional liquidity decline, Greenwood said, adding the price "is not reflecting the underlying needs" of traders. The system price is part of a broader regional issue, Greenwood said, acknowledging that while participants in most other markets consider fundamentals on a market-by-market basis, the system price leads people to consider the Nordics as a whole. That is despite the Nordics comprising "different countries, with different fundamentals" and that the "ideal situation would be to focus on the different markets". EEX highlighted the system price issue by emphasising that its Danish zonal futures and their higher liquidity are representative of the problem, noting that Denmark's fundamentals and price alignment are more correlated with neighbouring Germany than the other Nordic countries. The German exchange also reaffirmed that it welcomes the competition offered by the incumbent Nord Pool-owned Nasdaq exchange, noting that until EEX's entrance, the region had "the dominance of one exchange and [liquidity] has gone down", rebutting some fears that two exchanges could further split the already low liquidity, Greenwood said. He added changes to Nasdaq clearing rules, as they come fully under the Nord Pool umbrella, provide a "bit of a wake-up [call]" to participants and a good opportunity to take advantage of EEX's "good coverage of clearing banks and cross margining", Greenwood said. By Daniel Craig Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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