Energy efficiency: the shake-up among Italy’s major players begins
Industry insiders are looking at three potential deals in a sector worth 17 billion
The energy efficiency ‘Risiko’ is set to begin. Major players in the sector in Italia are exploring possible options for consolidation in an industry which, according to experts, requires synergies and economies of scale to realise its full potential. This is all the more true in a country like Italia, where the cost of energy – starting with businesses – represents a key driver of competitiveness, particularly in light of the green transition required by Europe.
Industry insiders are focusing in particular on three potential projects which, between the end of this year and 2027, could offer an opportunity, for those so wishing, to strengthen their position in a sector which, according to a Bain study, is worth 17 billion with growth potential of up to 39 billion. There is no shortage of players ready to make their moves: from sector operators, such as Edison Next, which in recent years has established itself as a leading provider in Italia for businesses, the public sector and the service sector, to infrastructure funds (Igneo acquired City Green Light last year), right through to the major utilities, which, faced with growing competition in the retail market, are on the hunt for additional services to boost their margins. The potential role of Cdp Equity also warrants attention, given the ‘systemic’ importance of energy for the country. The first key move may centre on Veolia Italia, formerly known as Siram and a leader in energy efficiency. In Italia, the company is a key partner to public and private clients (around 2,300 in total) on their decarbonisation journey through energy efficiency, renewables (including biogas), water and special waste management; there is a strong focus on hospitals. EBITDA for 2025 stood at 97 million, so the enterprise value, based on sector multiples, could reach 1 billion. The French parent company, Veolia Environnement, has given Rothschild an exploratory mandate to assess potential capital moves. At present, no decision has been taken, nor has any formal process been initiated, and all options are, in theory, open: maintaining the status quo, the sale of a minority stake or even a more substantial shareholding. When asked, Veolia Italia clarified that ‘the group is implementing the 2 billion divestment plan announced in November 2025 following the acquisition of Clean Earth. Siram Veolia is not part of this plan and is not for sale’.
The second dossier concerns the energy division of Rekeep: two years ago now, a consortium comprising Hera and Renovit had negotiated the acquisition, but in the end the whole matter came to nothing. According to some, however, the matter was never fully resolved and could now be reopened, though not necessarily with the same parties involved. Finally, in the second half of 2027, the spotlight could turn to Renovit, which was acquired in 2021 by Snam in partnership with CDP Equity (which holds a 30 per cent stake) and specialises in improving the energy efficiency of buildings. Today, senior management does not regard this as a core business, and industry insiders therefore expect the controlling shareholder to divest. First, however, in order for the company to be properly valued by the market, the issue of the substantial tax credits linked to the Superbonus must be resolved. For years, Snam has supported its subsidiary, including through cash pooling (the 2025 financial statements show support of over 1 billion), but next year is expected to mark a turning point. In this context, it remains to be seen what role Cdp Equity will play: whether it might support Snam in divesting from Renovit, whilst strengthening its own focus on the sector, or whether it too will opt to exit. In any case, the landscape appears to be undergoing profound change, with consolidation emerging as the main path forward. Even the sector’s leading operators – from Engie Italia to Edison Next, and from Veolia Italia itself to Renovit – are too small to fully realise their potential in a country called upon to consume less energy, which should be decarbonised wherever possible. This ranges from the industrial sector – which could be the linchpin of this transformation – to public lighting, schools, hospitals and private properties.
