Solar power: €1.2 billion on the way to boost installations up to 1 MW

The government is seeking to step up its efforts on renewables and, as part of the budget, by drawing on the safeguard clause granted by Brussels at Italia’s request, is allocating 1.2 billion to accelerate the roll-out of small-scale photovoltaic installations (up to 1 MW) that qualify for the support scheme provided for under the FerX decree. As is well known, the measure provides for direct access to incentives for systems under 1 MW – that is, without having to go through the auctions required for systems above that threshold – via registration on the GSE portal and a tariff differentiated by source and size, as set by ARERA.

The budget therefore authorises the GSE to grant capital grants totalling 1.2 billion (800 million in 2028, 200 million in 2029 and the same amount in 2030), up to a maximum of 40 per cent of eligible investment costs, for entities participating in the FerX scheme.

The measure is linked to a total power quota of 3 gigawatts. The criteria, the procedures for implementing the scheme and the monitoring of investment expenditure will be set out in a decree issued by the Ministry of the Environment and Energy Security, which must be adopted, in consultation with the Ministry of Economy and Finance, within 120 days of the date on which the law comes into force.

The funding will be covered by 800 million to be allocated to a specific budget heading in the MASE’s budget estimate, so that it can then be transferred to the GSE, which administers the scheme, whilst the remaining 400 million will be recovered via electricity bills by drawing on system charges and, in particular, the ASOA component, which funds incentives for renewable energy sources.