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Clean energy for EU islands
Regulatory informationRES-electricity

Tenders / Auctions (Registry)

Abbreviated form of legal source(s)

  • DI 04/07/2019
  • MD 23/06/2016
  • LD 76/20
  • L 120/20

Description of support scheme

Eligible plants with a capacity up to 1 MW should access incentives in form of sliding feed-in premium via a registry auction system. It is also possible to participate with groups of installations consisting of several power plants as long as the total capacity is below 1 MW. RES projects are grouped and selected based on a combination of environmental and economic priority criteria. There are overall seven register procedures within a year.
The renewable energy technologies compete in the following categories:
• Group A: onshore wind and PV
• Group A-2: PV plants installed on rooftops to replace asbestos coverages.
• Group B: hydroelectric plants and residual gas
• Group C: Renovated onshore, hydroelectric and residual gas plants.
As it is a multi-criteria awarding procedure, awarded plants are selected following the given priorities (DI 04/07/2019):
• plants built on closed landfills and sites of national interest for reclamation;
• integrated photovoltaic systems built on schools, hospitals and other public buildings or rural buildings with the removal of asbestos;
• plants fuelled by sewage gas or processing fermentation residues;
• plants connected in parallel with the electricity grid and with recharging stations for electric vehicles (provided that the recharging power is not less than 15% of the plant's power and that each station has a power of at least 15 kW).
In case of more than one equal bid, the tariff will be awarded on the basis of the following criteria:
1) lower value of the tariff due in absolute terms based on the reduction offered, i.e. if the same percentage discount is offered by bidders, smaller plants will have higher chances to be awarded.
2) earlier date of the application
The scheme applies to 20 years for most technologies.
If in the future, the market price was to move above the applicable tariff for each renewable technology, the selected installations would not only cease to receive a premium, but they would have to give back to the Italian authorities the additional revenue.
This support scheme will be terminated on the first date between the 30th of September 2021 and the date on which
the annual costs of the support scheme reaches € 5.8 billion.

Auctioned volume

Installed capacity
In each of the seven register procedures, different capacity quotas are assigned for each technological group.

Support type

Sliding feed-in premium (also called Contracts for Difference – CfD)
The ceiling price is the base tariff. Depending on the technology and on the nominal capacity of the plant, different criteria for the calculation of the registry incentives apply:
• PV Solar and Onshore Wind plants with a capacity below 100 kW receive €105MWh
• PV Solar and Onshore Wind plants with a capacity below 1000 kW receive €90 /MWh
• Hydro with Basin water plants with a capacity below 1000 kW receive €90 /MWh
• Hydro with Flowing water plants with a capacity below 400 kW receives €155 /MWh
• Hydro with Flowing water plants with a capacity below 1000 kW receive €110/MWh
• Sewage treatment gas plants with a capacity below 100 kW receive €110 /MWh
• Sewage treatment gas plants with a capacity below 1000 kW receive €100 /MWh
The floor price is the base tariff minus 30%, which is the highest possible deduction on the base tariff for all technologies
Apart from that, PV plants installed on rooftops to replace asbestos coverages. are particularly favoured and receive a €12/MWh premium in addition to the base incentive. Such a premium is paid on the produced electricity, irrespective of whether it is fed in the grid or self-consumed.
Feed-in tariff
For RES plants up to 250 kW.

Addressees

The FER1 Decree applies to RES plants which are not already incentivised under previous feed-in tariffs schemes, nor under the previous version of auctions under MD 23/06/2016 (applicable until end of 2017).

Procedure

A two-stages bid applies.
In order to participate, plant operators are obliged to deliver a provisional bank guarantee at the time of registration and a final bank guarantee following the communication of a positive outcome or alternatively the expected investment cost must be paid (all of these fees are expected to be reimbursed). Moreover, a grid connection permit (Art. 3, DI 04/07/2019), a building permit or in some cases other licences such as the concessions to use hydropower (“titoli concessori”) are required (Art. 3, DI 04/07/2019). A registration of the RE plant on the Management System of the Single Master Data of the Production Plants and related units (“Gaudi”) is also required). These proceedings now take into account the simplifications decree for swifter administrative proceedings (art. 56 of LD 76/20).
At the time of the application the construction works must not have started.
The allowed time period for the realization of “winning” projects is as follows:
• Wind on shore: 24 months
• Hydro-power: 31 months
• PV: 19 months
• All other types: 31 months

Competent authority

  • GSE
  • MiSE

Technologies

Wind energy onshore

Plants with capacity between 1kW and 1 MW are eligible.

Wind energy offshore
Solar energy

Plants with capacity between 20 kW and 1 MW. Moreover, PV plants are only eligible if they are newly built PV plants, using newly manufactured components only and are not installed on agricultural land.

Geothermal energy
Biogas

Plants with capacity between 1kW and 1 MW are eligible. Only newly built, reactivated or repowered plants fuelled by landfill and gas residues from purification processes are eligible.

Hydro-power

Plants with capacity between 1kW and 1 MW are eligible.

Biomass