#FridayForFuture. Italy Beats Holland in Green Energy
As certified by Eurostat, in 2015 renewable sources contributed to 17.5% of Italian energy consumption. This is an important milestone. In the context of the environmental objectives set by the European Union for 2020, the famous 20-20-20 package, Italy was given a twofold target : 17% of domestic energy consumption coming from renewables, and reductions in emissions of greenhouse gases by at least 20%. Five years before the deadline, Italy country has attained both goals: in the space of a decade, the weight of renewable energy sources has climbed from 6% to 17.5%. Such growth is a success story that puts Italy in the position of giving lessons to the Netherlands which, although it still embodies the virtue of environmental sustainability in the public imagination, is lagging behind, with share of renewables of just over 5% compared to the 14% target.
Looking at Italian renewables more in detail, 44% of the total comes from power generation from hydroelectric, solar, or wind sources, while thermal renewables account for 50%, and biofuels (in the transport sector) for 6% of the total. In particular, electricity production from renewables has grown considerably, by doubling its contibution in less than a decade, attaining over 30% of power generation. In the heating sector, however, renewables account for 20% of total consumption. Only in the transport sector the contribution of renewables remains modest at 6%.
It cannot be denied that this growth, especially in the power-generation sector, was facilitated by the particularly generous public incentives which have weighed on Italian consumers' electricity bills. At the same time, renewables have reduced both the average spot price of electricity and the need to import fossil fuels. In addition, the jump in installed capacity has contributed to lower investment costs, so much that today, despite the phasing out of government subsidies, private citizens and businesses continue to install solar panels and wind turbines to produce electricity.
Growth in the heating sector, has beeen gradual and steady, partly due to a favorable tax treatment, but also for the cost advantage with respect to fossil fuels.
The recent past and the present are green, but what lies in store for the future? Pending a real revolution in transportation, renewables seem to have achieved a lasting success for electricity and heat generation. Modularity of energy capacity and relatively small capital requirements, in the context of a liberalized market with a number of innovative players, are the two factors that put renewables ahead of traditional fossil sources.
In Europe at least, gigantism in energy appears so yesteryear: the serious financial difficulties faced by projects for large power plants (starting with the British and French nuclear power plants, and the recent bankruptcy of the Toshiba-Westinghouse engineering subsidiary) seem to confirm that the future is more and more renewable and modular. For this reason, it is now time to completely review the regulation of the industry, to foster innovative solutions in both energy production and consumption, thus facilitating and not restricting the entry of new operators and the adoption of new business ideas.