Our rating is based on a combination of project pipeline, political and policy support, investor confidence and structural readiness of the country in terms of grid infrastructure, permitting process and local supply chain.
Estimate of installed and operating wind power capacity based on the latest statisitics and measured against the Windpower Intelligence database.
Italy’s National Energy and Climate Plan (NECP) aims to boost renewables’ share of electricity generation from 34.1% in 2017 to 55% by 2030. Wind-power production is scheduled to more than double — from 17.7TWh in 2017 to 40TWh by 2030.
The plan highlights the importance of repowering a substantial amount of Italy’s ageing wind fleet and the need to simplify the authorisation process, and a growing number of repowering projects are being carried out.
Investors have been encouraged by the results of Italy’s first joint wind and solar Contract for Difference (CfD) auction, which saw wind projects in January 2020 secure 20-year fixed-rate tariffs for 495MW out of the total 500MW on offer, while 15MW of wind repowering projects were awarded contracts in a separate tender.
The announcement of a second joint tender for later in 2020 immediately after auction results were announced, and the plan for regular CfD auctions through 2021, have helped to boost investor sentiment.
These auctions are expected to pave the way for the development of a market for long-term power-purchase agreements (PPAs).