A scheme that provides state aid for renewable electricity generation in Italy has been approved by the European Commission.
It said the initiative is in line with EU rules and will further EU energy and climate goals without distorting competition.
The scheme is expected to add 1,300MW of additional generation capacity and help reach its renewable energy targets.
All renewable technologies, except solar, can benefit from the scheme.
The Commission stated: “The Commission found the scheme promotes the integration of renewable energy producers into the market in line with the guidelines. Only small installations can benefit from Feed-in Tariffs whilst larger installations will receive support through a premium, i.e. a top-up on the market price, which exposes these renewable energy sources to market signals. The scheme will also support the refurbishing of existing generators of any size, for example to increase their efficiency or extend their operational lifetime.
“The Commission was therefore able to conclude that the scheme will increase the proportion of electricity generated from renewable sources and reduce pollution, in line with EU Energy Union goals, without unduly distorting competition.”