The RePower EU plan, established in 2022 as a direct result of the war in Ukraine, set clear targets for EU member states on the installation of renewables. By 2030, the member states are required to have an energy mix of 45% renewables, an increase on the ‘Fit for 55’ targets of 40%. Recently, at COP 28, these targets have been further increased, with the coalition of global governments committing to triple renewable energy capacity by 2030, an ambitious target by any standard.

By 2030, the entire EU is projected to have more than 1,000 GW of total renewable energy installed, according to SolarPower Europe. This will primarily comprise solar power, with roughly 600 GW installed. Italy is expected to contribute around 143 GW to this total, with approximately 80 GW coming from solar sources.

From an infrastructure standpoint, it seems logical to anchor the majority of the bloc’s energy strategy on solar power. In contrast to wind energy, which depends on specific wind conditions in particular areas, and hydropower, which is constrained by geographic suitability, solar installations offer more versatility in location. From a technical perspective, they only require proximity to an electrical station and relatively flat terrain. Even gently rolling hills can accommodate solar installations.

A brighter future for investors 
The majority of Europe consists of relatively flat terrain. From a capital expenditure viewpoint, solar energy is also significantly more cost-effective than other forms of clean energy, albeit with the caveat of slightly lower energy efficiency. Another critical factor to contemplate is the abundance of sunshine. Venturing further south in Europe, the annual sunlight hours increase significantly. Solar irradiance levels vary, ranging from 800 kWh/m² of direct normal irradiation in the UK to 1,760 kWh/m² in the southernmost tip of Sicily.

Consequently, southern regions of Europe should hold greater appeal to investors in solar power. Solar farms in Italy, for instance, have the potential to generate almost double the power output of the UK and certainly surpass countries like Germany. However, in 2023, Germany emerged as the leading installer of solar power among all EU countries. Italy’s installation of 5.2 GW fell short of the annual target of 8 GW and lagged behind Germany’s impressive 14 GW.

The question arises: why?

The Italian job 
The energy transition requires huge investments in Italian and European grids, and it requires them right now. Italy presents a mix of challenges and opportunities for prospective investors. Barring Spain, Italy has some of the highest solar irradiance in Western Europe. A large number of investors, both Italian and international, have a strong interest in developing solar farms in Europe. Currently, Italy has over 1,300 projects awaiting authorisation.

A notable concentration of these projects – approximately 76% – are located in the regions of Puglia, Basilicata, Sicily and Sardinia, underscoring the potential for renewable energy production in these areas. However, the existing regulatory framework, with guidelines dating back to 2010, has been identified as a bottleneck impeding the swift deployment of renewable energy infrastructure.

Estimates show that, right now, gaining authorisation for a solar farm under the Autorizzazione Unica regime can take up to five years. Under the PAS (extension to Legislative Decree 28/2011) regime, this timeframe, in theory, shortens to 30 days, with an additional 120-day opposition period. However, in practice, this is often extended due to integration requests and follow-up requirements needed for authorisation.

The delays threaten to undermine decades of work to attract the investment needed to support Italy’s clean energy ambitions and risks derailing the country’s progress towards legally binding climate targets. On the contrary, Germany notably expedites this process, with some solar farms receiving authorisation within a maximum of three months.

Solar farms in Italy, for instance, have the potential to generate almost double the power output of the UK and certainly surpass countries like Germany.

Expanding horizons 
Italy’s energy grid, overseen by Terna, is structured into seven regional zones. This division, although simplifying the administrative elements, hampers the transmission of energy across the country, particularly from remote areas abundant in renewable resources to densely populated centres with high energy demands.

Much of Italy benefits from strong solar resources, and demand for projects has remained high. With the expansion of renewable energy capacity, regional grid limitations will increasingly shape deployment strategies.

Terna’s approach to addressing Italy’s grid connectivity issues is known as the Hypergrid. This plan aims to significantly enhance the interconnection between Italy’s zones, thereby facilitating the transmission of electricity across the country. By targeting a doubling of interconnection capacity by 2030, Terna is laying the groundwork for a more integrated and resilient energy infrastructure. Connecting to the grid requires an approximately 90-day period to get a connection plan, and then around one to two years to complete the connection. In the UK, this can take up to seven years.

Lateral thinking  
The connectivity plans represent a crucial stride in the right direction, with results that extend beyond Italy’s borders. Recently, the EU revamped its approach to permitting processes for renewable projects, streamlining procedures and enhancing accessibility for developers. This proactive approach signals a concerted effort to accelerate the transition towards renewable energy sources.

Efforts are underway to ease the strain on the grid. However, as it stands, Italy is grappling with a surge in renewable capacity and must devise methods to integrate this new capacity into its grid. In tandem with innovative initiatives such as the Hypergrid, greater investment and expansion of the grid infrastructure are imperative for Italy to attain its climate objectives and diminish reliance on fossil fuels. Achieving this goal hinges on a fundamental shift in how government and regulators handle power-grid projects, notably by cutting red tape and speeding up permitting for grid expansion and reinforcement.

The views and opinions expressed in this article are strictly those of the author only and are not necessarily given or endorsed by or on behalf of the Energy Institute.

• Further reading: ‘Harvesting among solar panels: can agrivoltaics help Europe meet green targets?' The European Union is keen to support the integration of solar panels into farming as a way to meet its renewable energy targets; however, hurdles remain along the way.