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Italy plans to phase out its coal-fired plants by 2025

The Ministry of Economic Development has released an updated version of the National Energy Strategy 2017 (Strategia Energetica Nazionale or SEN) and intends to phase out coal by 2025, ensuring that renewable energies sources account for 28% of the overall domestic energy consumption (from 17.5% in 2015) and for 21% of the energy consumption in the transportation sector by 2030 (up from 6.5% in 2015).



The early retirement of around 8 GW of coal-fired capacity is expected to cost some €3.8-4bn, while the overall energy strategy could generate €175bn investments through 2030. Italy also aims to reduce its oil product consumption by 13 Mtoe by 2030 and aims to improve its energy efficiency by 30%.



The goal is to decarbonise the energy system in line with the long term objectives of the Paris Agreement. However, gas would still play a significant role in Italy's energy mix and will be the key in the energy transition, in the power sector and in the maritime transport (LNG) according to the document. Italy plans to promote new gas import pipelines such as the Trans-Adriatic Pipeline (TAP) with Azerbaijan or the EastMed gas pipeline to import gas from the eastern Mediterranean area; the construction of new LNG terminals will not be encouraged.

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