The Decree-Law 24.06.2014, n. 91 (converted into Law No. 116/2014) introduces urgent measures to support economic growth, environmental protection and energy cost reduction in Italy. It combines provisions for the agricultural sector, simplification of environmental procedures, and compliance with EU obligations, while also including energy-related measures such as the containment of electricity tariff costs and the revision of renewable energy incentives (notably for photovoltaic plants). The decree also promotes energy efficiency in public buildings (especially schools and universities) and introduces targeted rules on biofuels and waste management, aiming to streamline administration and reduce regulatory burden.The Decree-law lays down new provisions on feed-in-tariffs for photovoltaic and other renewables sources plants for photovoltaic plants (capacity 200 kW). Starting from 1st January 2015, the feed-in-tariffs are to be paid based on one of the following three options, to be selected by the owner of the plant: a) Current feed-in-tariffs will be reduced depending on the actual remaining period of life of the plant (from 25% for 12 years remaining to 17% for more than 19 years remaining) and distributed over a period of 24 years starting from the grid connection date instead of 20 years b) The fixed reduction of feed-in-tariffs, when the owner of the plant can opt for a reduction of the current feed-in-tariffs by a fixed percentage over the 20-year period (same as before). The Law now provides for the following different percentages, depending on the nominal capacity of the plant:6% for plants with nominal capacity with nominal capacity of 200 - 500kW; 7% for plants with nominal capacity with nominal capacity of 500 -900kW; 8% for plants with nominal capacity above 900 kW.
c) The variable restructuration of feed-in-tariffs, which provides for current feed-in-tariffs to be reduced initially by a certain percentage and increased, by the same amount, at a later stage. The aim of introducing such option is to ensure annual savings of EUR600m (USD753m) over 2015-2019. The measure aimed to reduce the cost of renewable incentives on electricity bills, thereby lowering energy costs for consumers and improving the sustainability of the support system, although it raised concerns among investors due to its retroactive impact on previously granted incentives.
