Transition 5.0: here are the Faqs of Mimit from energy saving to service facilities for hotels and shops -

So:

- beneficiary of the incentive: the ESCO, which makes the investment and implements the energy improvement.

- object of the efficiency assessment: the client company's processes, on which the ESCO intervenes to reduce energy consumption.

This structure allows ESCOs to benefit from the incentive while contributing to the energy efficiency of their client companies, in line with the sustainability and innovation goals promoted by the Transition 5.0 plan.

 With reference to Article 12 paragraph 4: "following the booking and within thirty days from the receipt of the communication of the amount of the tax credit booked in accordance with paragraphs 2 and 3, the enterprise shall send a communication, containing the invoice details, concerning the execution of the orders accepted by the seller with payment on account, in an amount at least equal to 20 per cent of the acquisition cost, both for investments as per Article 6 and investments as per Article 7.", if the company opts to sign the leasing contract, is the stipulation and issuance of the invoice of the maxi advance payment, even if less than 20 per cent, sufficient as confirmation of the start of the investment?

Yes, the conclusion of the leasing contract and the commitment entered into with the supplier by the leasing company with the signing of the purchase order is sufficient to fulfil the obligation to start the investment, regardless of the amount of the advance rent agreed between the user and the leasing company.

Is it possible to facilitate agricultural and forestry vehicles with the Transition 5.0 incentive?

Agricultural and forestry vehicles, as defined by EU Regulation 2013/167 and EU Regulation2016/1628, in order to be eligible for the Transition 5.0 incentive must meet, in addition to the requirements already provided for Transition 4.0 (such as the 5+2 of 3 technological characteristics as they can be traced back to the goods included in list item 11 of the first group of Annex A to Law 232/2016), also the following conditions:

- The use of fuels must be temporary and technically unavoidable;

- Eligibility is only allowed in the case of replacement investment;

- The replacement must obligatorily allow the change from Stage I (previous) to Stage V engines.

The switch to a Stage V agricultural vehicle is verified if, when purchasing the new vehicle, the simultaneous disposal of a vehicle uniquely identified with a Stage I (or earlier) engine is carried out.

Compliance with the above-mentioned conditions is not affected even if alternative fuels such as HVO or biodiesel are to be used for agricultural and forestry vehicles.

If an investment in a 4.0 capital good replaces an existing good, is it necessary to dispose of the replaced good?

In the case of an investment in a capital asset that replaces an existing asset, it is not mandatory to dispose of (i.e., sell or dispose of) the replaced asset. Even if the disposal is not compulsory, keeping an up-to-date register of business assets that clearly shows the replacement of the asset and its new use may be useful in the event of an assessment.

The disposal of the replaced asset is not necessary to access the incentive, but transparent and accurate management of documentation is advisable to ensure regulatory compliance and reduce the risk of future disputes.

Technical service installations are normally excluded from eligibility according to the practice adopted so far for 4.0 incentives (see MiSE Circular No. 177355/2018 point 6) because, regardless of their technological characteristics, they are not directly related to the operation of the new machines or plants eligible for the benefit. In the case of non-production activities, such as those related to services, e.g. in the case of a hotel, these plants are in fact the basis for the provision of the services themselves. Can they therefore be considered eligible for the Transition 5.0 incentive, as capital goods under Annex A??

Technical service facilities, if they are production facilities in the strict sense, are eligible for the Transition 5.0 incentive if they are equipped with the technological features and implemented in combination with intelligent components, systems and solutions for the management, efficient use and monitoring of energy consumption capable of achieving the reductions in consumption required by the measure. In the present case these installations fall under the heading 'intelligent components, systems and solutions for the management, efficient use and monitoring of energy and water consumption and for the reduction of emissions.' of the second group of Annex A. However, energy production systems (e.g. thermal power stations) are excluded unless they are heat electrification systems powered by a renewable source, which are eligible as self-production systems as envisaged in Article 7 letter c) of the Implementing Decree. For example, lighting and air-conditioning systems in hotels, hospitals and commercial establishments are eligible if they are managed by special efficient energy management software.

Are self-propelled agricultural machines with endothermic engine powered by fossil fuels and for which the use of fossil fuels is temporary and technically unavoidable, intended for use as self-propelled agricultural and/or forestry machines and CE marked according to the Machinery Directive and not type-approved according to EU regulation 167/2013, still eligible for the Transition 5.0 incentive, even if they are not classifiable as tractors according to point 8 of article 3 of the regulation?

Yes, self-propelled agricultural machines, such as combine harvesters, mower-conditioners, harvesters, grape harvesters and others, are eligible for the incentive, under the same conditions provided for agricultural and forestry vehicles referred to in point 2) of letter a) of paragraph 1 of Article 5 of the Implementing Decree, even if they are not type-approved according to EU Regulation 167/2013, but are CE marked according to the Machinery Directive and intended for agricultural and/or forestry use, regardless of whether they are nationally approved for road use. Although these machines do not formally fall under the definition of "agricultural and forestry vehicle" or "tractor" (as per point 8, Article 3 of Regulation 167/2013), they are nevertheless considered eligible for the subsidy as they are self-propelled vehicles designed to independently carry out specific agricultural work. Unlike agricultural tractors, which are specifically designed to generate tractive power or operate interchangeable equipment by means of a PTO, these agricultural machines have an autonomous operating function and are built to carry out specific work in the agricultural and forestry sector, in many cases performing with a single machine work that would otherwise be carried out in a 'combined' manner by the tractor with towed or mounted equipment. The spirit of the standard is in fact also intended to include such agricultural machinery, since they play a key role in agricultural and forestry activities, even though they do not fall under the strict definition of tractors. Therefore, even self-propelled agricultural machines identified as such, but not approved as tractors according to Regulation 167/2013, are considered eligible for the incentive, provided that they meet the basic requirements for use in agriculture and forestry.

How is the energy saving calculated if the production process integrated by the invested asset or production line is located within a different availability of the company?

It is useful to recall that, as indicated in FAQ No. 4.9, if the innovation project concerns the integration of an existing production process with a new line within the same production structure, the reduction in energy consumption may be calculated by comparing the energy performance indicator of the new production line with the energy performance indicator obtained as the average of the indicators of the pre-existing lines constituting the process. Even in the case where the innovation project foresees the integration of the production process with a new production line in operation within a different production structure at the company's disposal, for the calculation of the reduction in energy consumption it is possible to adopt the counterfactual scenario or, alternatively, to compare the energy performance indicator of the new production line with the energy performance indicator obtained as the average of the indicators of the pre-existing lines constituting the process.

Moreover, these indications must also be considered applicable in cases where:

- The innovation project involves the decommissioning or replacement of an operating line with a new line, carrying out the same production process, destined for a different production facility in the company's possession;

- the innovation project concerns the revamping of a line within a different production facility at the company's disposal.

 If the company wants to carry out a measurement campaign for the estimation of normalised energy consumption, must it use a minimum sampling frequency?

The measurement campaign is not necessarily tied to a sampling frequency, but must be conducted in order to effectively and repeatably determine suitable energy performance indicators referred to appropriate operational variables. Normalised consumption can therefore be determined by relating these energy performance indicators to the expected production volumes expressed in terms of the operating variable.

In the agricultural sector, how can 'production structure' and 'production process' be defined?

For companies operating in the agricultural sector, it is possible to define:

- "Production process" means the individual agronomic step, such as, for example, soil preparation, sowing, treatment or spraying, weeding, fertilisation or harvesting. The individual production process may be carried out by a self-propelled operating machine specifically designed for that purpose (e.g. the combine harvester for harvesting grain or the self-propelled sprayer bar for treatments) or by a towed, semi-mounted or trailed piece of equipment (e.g. the sowing machine towed by an agricultural tractor).

'production structure': the agricultural land belonging to the agricultural undertaking carrying out the investment project - as well as managed or worked by it under lease or loan contracts - where all the production processes related to a specific crop or livestock activity are carried out.

 NIn the case of an 'operating leasing company' (e.g. long-term rental of forklift trucks) purchasing a 4.0 capital good to rent to a third party, how and where must the mandatory energy reduction requirements of the Transition 5.0 plan be verified?

Consistent with the regulations and interpretations for similar situations of established practice in the context of the 4.0 incentive, the hirer (i.e., the operating leasing company) is the party entitled to the tax relief and who must demonstrate the fulfilment of the energy efficiency requirements of the Transition 5.0 plan. The obligation can be fulfilled internally or externally to the leasing company. Therefore, both options are considered valid:

- The reduction of consumption can be verified at the internal process level of the hire company, e.g. by measuring the overall efficiency of the fleet of trucks operated by the hire company.

- alternatively, verification can take place at the level of the end-user's (customer's) process, evaluating the improvement of energy efficiency directly in the processes of the rental service user. However, the two cases must be mutually exclusive: once the verification option (internal or external) has been chosen, it must be applied consistently.

 If, due to the complexity of the asset, such as a customised production line designed for a unique and exclusive process, it is not possible to apply the 'counterfactual scenario' for energy efficiency evaluation, is an alternative allowed to determine the reduction in consumption?

Yes, in the case of complex and unique assets, such as a customised production line intended for a specific process, an alternative approach for assessing energy efficiency may be adopted when a counterfactual scenario is not feasible due to the impossibility of finding comparable assets on the market. In such situations, it is permissible to break down the production line into components that are significant in terms of energy consumption and to conduct a partial counterfactual scenario on these components only. To identify the components to be evaluated, the use of a Pareto analysis is recommended, which allows the identification of those parts of the line with a significant impact on total consumption. The selected components, which account for most of the energy demand, will thus be subject to comparative evaluation in a partial counterfactual scenario, allowing an accurate estimation of the energy efficiency of the complex asset.

This approach is considered valid for demonstrating consumption reduction in accordance with the requirements, provided that the Pareto analysis and decomposition methodologies are documented rigorously and transparently.

 When evaluating the reduction of energy consumption for "Power Quality" systems aimed at optimising electricity consumption, is it possible to consider only the electricity vector, while also including general and auxiliary services?

Yes, in evaluating the reduction of energy consumption for "power quality" systems (such as power factor correction or voltage stabilisation systems), it is possible to limit the analysis to the electricity vector on which the power quality system acts. This approach is consistent with what is specified in FAQ 4.11, which clarifies that energy savings are determined by comparing electricity consumption before (ex ante) and after (ex post) the installation of the system. For a complete assessment, it is permissible to consider all energy uses downstream of the system, including consumption related to general and auxiliary services, such as lighting and air conditioning. This approach allows an accurate estimation of energy efficiency benefits, considering all electrical uses on which the power quality system has an impact, thus directing the analysis exclusively on that energy carrier.

 Can the plants for self-production and self-consumption of energy from renewable sources also be located on a site other than the one on which the production facility where the energy saving is achieved through the investment in capital goods 4.0 is located??

Yes, plants for self-production and self-consumption of energy from renewable sources are eligible both if they are located on the same land registry parcels on which the production structure where the energy saving is achieved through the investment in capital goods 4.0 is located, and if they are located in different buildings or sites (remote self-consumption). In the case of remote self-consumption, the self-production site must be in the availability of the company itself and there must be a coincidence between the producer of the energy and the end customer (same tax code - tax code). In addition, the plant may be directly interconnected to the production facility by a direct connection not exceeding 10 kilometres in length, to which no users other than those of the production unit and the consumption unit of the enterprise may be connected, or the enterprise may use the existing distribution network to use the energy produced by the renewable energy plants located at buildings or at different sites and consume it at the production facility, provided that the self-production and self-consumption sites are located in the same market area.

It is specified that the market zones are those listed in Annex A.24 to the Italian Grid Code, which describes the structure of the zones of the relevant grid, as approved by ARERA Resolution 103/19/R/eel. The geographical zones into which the NTG has been divided, effective as of 1 January 2021, are as follows:

North Zone

North Central Zone

South Central Zone

South Zone

Calabria Zone

Sicily Zone

Sardinia Zone

While waiting for the formation of the photovoltaic technology register referred to in Article 12 of Decree-Law No 181 of 9 December 2023, as amended by Article 1(6) of Decree-Law No 113/2024, how can the requirements for photovoltaic modules be met in order to be eligible for the subsidy?

Chapter 3.1.1 of the Transition 5.0 Operating Circular, pending the preparation of the Photovoltaic Technology Register pursuant to Article 12(1) of Decree-Law no. 181 of 9 December 2023 by ENEA, has required for the photovoltaic modules admitted to the measure Transition 5.0:-the compliance with some specific technical standards;-the guarantee of the performance of the minimum performances as provided respectively for the three sections a), b) and c) of the Register;-as evidence of the compliance with the territorial and qualitative requirements, the endowment of

- a Factory Inspection Attestation (Factory Inspection Attestation, as indicated in CEI Guide 82-25 and subsequent updates) for the purpose of identifying the origin of the product, proving that they were carried out within EU countries;

- of ISO 9001 (Quality Management System), ISO 45001 (Occupational Health and Safety Management Systems) and ISO 14001 (Environmental Management System) certificates issued to the module manufacturer by accredited European or national certification bodies in relation to the production site under factory inspection.

Without prejudice to the obligation to obtain, in any case, the Factory Inspection Attestation for the territorial identification of the modules and, where applicable, of the cells, the companies requesting access to the benefit shall certify the possession of the territorial and qualitative requirements for the photovoltaic modules admitted, by means of the transmission of an attestation issued by the producer, pursuant to Article 38 of Decree-Law No. 19 of 2 March 2024. Said certificate, to be produced at the time of the completion of the innovation project, shall, in any case, ensure compliance with the technical and territorial requirements provided for by Article 12, paragraph 1, letters a), b) and c) of Decree-Law 181/2023, as amended by Article 1, paragraph 6 of Decree-Law 113/2024, and shall contain, in particular, a statement by the manufacturer of the photovoltaic modules attesting to the substantial compliance of the company with the qualitative requirements for the issuance of ISO certifications.

The GSE reserves the right to make substantive checks on the compliance of the certificate with the requirements specified by the legislator.

Pending the adoption of the Register, compliance with the aforementioned ISO requirements may also be proven by operators through the possession of equivalent company quality certificates issued for the same purposes as the aforementioned ISO certificates.

 Among the plants for the production of thermal energy used exclusively as process heat, with electrification of thermal consumption, are solar thermal plants included?

The production of heat by means of a solar thermal system can be considered as part of the 'electrification of thermal uses' or, more generally, the decarbonisation of thermal consumption. Although technically it is not 'electrification' in the strict sense (since the thermal energy comes directly from the sun and not from electricity), it is nevertheless part of the approaches that use renewable sources to replace fossil fuels in heat production. Plants based on this technology are therefore eligible for the incentive, provided that the heat produced is used entirely for the production process. The parameters for calculating the maximum eligible cost for thermal power plants of this type are currently being defined.

 When calculating energy requirements for sizing eligible self-generation plants in Transition 5.0, is it possible to apply a 'normalisation' that takes into account future variables and conditions?

Yes, the energy requirements for the dimensioning of self-generation plants, which are to be determined on the basis of consumption in the year prior to the start of the project, can be subject to normalisation. This means that, in the presence of boundary conditions or specific variables, an adjustment can be made to the expected future energy requirement, provided these factors are properly justified and documented. The normalisation may take into account, for example, expected changes in production, business expansions, or external conditions affecting energy consumption (e.g. climate-relevant changes, changes in work shifts, etc.), also in relation to the new requirements generated by the investment assets of the innovation project. It is important that each factor considered is supported by rigorously documented data and analysis, so as to demonstrate the need for an adjustment of requirements and, consequently, of plant sizing. This possibility of normalisation allows for a more realistic dimensioning in line with future needs, while complying with the requirements of the Transition 5.0 standard.

 How does the exception set out in Article 5(1)(d) of the Interministerial Decree of 24 July 2024, concerning activities in the production process of which a high dose of pollutants classifiable as special hazardous waste is generated, and whose disposal in the long term could cause damage to the environment, apply?

For the purposes of the applicability of the exception in Article 5(1)(d) of the Interministerial Decree of 24 July 2024:

- For industrial sites not subject to the Pollutant Release and Transfer Registers (PRTR) regulations, fulfilment of the first three conditions of (d) above is required;

- For industrial sites subject to the Pollutant Release and Transfer Registers (PRTR), all four conditions of (d) above are required to be fulfilled.

 With regard to companies operating in the logistics sector, are innovation projects concerning the improvement of the route management process, e.g. through the implementation of software to optimise the routes of the company fleet, eligible??

Eligibility for the benefit is confirmed for innovation projects concerning the implementation of software and digital solutions for the management of logistics flows, traceability of goods and route optimisation, as these are investments that introduce digital innovations in business processes according to the 4.0 paradigm and that also contribute to a reduction in energy consumption and greater operational efficiency, with a consequent positive impact on environmental sustainability.

In this sense, the 'Transition 5.0' operational circular provides that for companies in the logistics sector, electricity consumption in relation to the distance travelled or in relation to the number of movements and tonnes of goods e􀆯ettivamente transported can be used as a performance indicator.

With reference to the tangible assets typically used in the logistics sector, it is clarified that, on the basis of the practice issued to date on the subject of the capital goods 4.0 tax credit, they cannot be included within Annex A to Law no. 232 of 2016, and, in particular, under list item 11 of the goods in the first group of the aforementioned annex, motor vehicles falling within the scope of Regulation (EU) 2018/858 of the European Parliament and of the Council, ("on type-approval and market surveillance of motor vehicles and their trailers, and of systems, components and separate technical units intended for such vehicles, amending Regulations (EC) No 715/2007 and (EC) No 595/2009 and repealing Directive 2007/46/EC"). In addition, in order to ensure compliance with the principle of not causing significant damage to the environment pursuant to Article 17 of Regulation (EU) No 852/2020 of the European Parliament and of the Council of 18 June 2020, it is specified that within the scope of the goods belonging to the aforementioned list item 11, machinery powered by fossil fuels must also be considered excluded, without prejudice to the applicability of the exceptions provided for in Article 5 of the Interministerial Decree of 24 July 2024.