Post - Blog
Italian renewable energy sector: simplification of authorisation procedures
- 4 years ago (2020-08-12)
- Junior Isles
By Guglielmo Fabbricatore, Counsel and Head of Energy in Italy at DWF
Battery Innovation Days 2024
In the light of the recent Covid-19 emergency, the Italian government has commissioned a group of experts led by Vittorio Colao (recognised Italian top manager) to present a plan aimed at restarting the national economy.
The task force, on 16th June, published the Italy's economic recovery plan, also known as "Colao Plan", providing a series of actions to be taken for years 2020-2022 in order to relaunch the Italian economy.
The energy sector - with specific regard to renewable energies - has been the subject of several observation and initiatives focused on the simplification and acceleration of authorisation procedures.
In particular, the Colao Plan preliminarily notes that the current duration of the authorisation process for energy infrastructure in Italy is longer than the construction of the plants themselves. The red tape has slowed the investments already planned by the companies operating in renewable energy sector. Currently, there are no preferential treatment for renewable energy projects and this lack is limiting the achievement of the goals set by the national energy and climate plan (Piano Nazionale Integrato per l'Energia e Clima - PNIEC).
To overcome these issues the Colao Plan proposes some specific measures aim to strengthen the Italian start-up ecosystem, Italian innovation and in general renewable energy sector. The most relevant initiatives to be taken are:
- identify, through dialogue with the main players in the energy sector, the key projects that require an acceleration of investments;
- introduce measures to simplify legislation and reduce authorisation time like allow the use of the accelerated procedure for the authorisation in energy infrastructure works, including power production plants and ancillary services and simplify environmental impact assessment procedures;
- ensure that the deadlines for the issuance of the authorisations are respected by the relevant public entities;
- adopt tailored measure for some specific sectors like repowering.
The needs for a reform of the Italian regulatory system aimed at efficiency is not a new issue. Indeed, the main players in the energy sector were asking for it even before the Covid-19 crisis.
The renewable industry is asking for a clear regulatory framework and the simplification of authorisation procedures in favour of both new installations and revamping/repowering initiatives of the existing plants. The Colao Plan is, therefore, an important milestone that clarifies and highlights the energy sector needs in order to bring them to the attention of Italian institutions.
In the light of the aforementioned simplification needs, some of the Colao Plan's proposals have already been implemented by the Law Decree no. 76 (the "Simplification Decree"), which came into force on 17 July 2020. Pursuant to the Simplification Decree the applications for the authorisation of renewable energy projects (i.e. Environmental Impact Assessment (EIA), screening EIA and Single Regional Authorization Procedure (PAUR), submitted from the 30th day following the conversion into law of the Simplification Decree, will be subject to shorter procedures. The Public Administrations will force to make public the time of conclusion of proceedings and respect the deadline.
Certainly, the speeding up and the establishment of clear time limit for completion of proceedings are guarantees that will be welcomed by the sector investors.
The reforms provided by the new law decree are many and substantial and, even though the Simplification Decree will have to be converted into law and is still subject to amendments, give a very significant impulse to simplification of authorisation procedures. This will facilitate the development of new projects and attract new investments helping to relaunch the national economy and finally achieve the goals set by the national energy and climate plan.
In order to better understand whether this challenge shall be consider too ambitious, it will be necessary to wait, for the implementing decrees and application regulations, as well as the reactions of Public Administrations.