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Italian solar PV feed-in tariff agreement postponed

Feed-in tariffs for the Italian solar photovoltaic (PV) industry will only remain stable until the end of May but the solar market will not be capped.

By Isabella Kaminski

Representatives of the Italian solar PV industry association Gruppo Imprese Fotovoltaiche Italiane (GIFI) and Italy’s Ministry for the Environment and the Ministry for Economic Development could not agree on future feed-in tariff reductions for solar PV technology. Talks have been postponed until April.

Although the comprehensive market cap demanded by the government ministries at the start of the week is no longer an option, cutbacks will nonetheless come into action in June 2011. Market experts, analysts and some legislators had voiced objections to a comprehensive solar market cap.

Markus A.W. Hoehner, CEO of Bonn-based market research and consulting company EuPD Research, says: “Making adjustments to funding is the right step. Prices in the small roof-top system segment in Italy are, on average, €4300, and peak at €6000. These prices are much higher than those in other European countries such as Germany, Spain or France.”

The Italian electricity provider GSE has reported that, in addition to the 3.7 GW of solar PV capacity already connected to the grid, there is a further 3.8 GW waiting for connection. This amounts to a total installed solar PV capacity in Italy of 7.5 GW.

Until a decision is made, the solar PV feed-in tariffs set down in Italy’s Conto Energia document still apply.

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Photovoltaics (PV)  •  Policy, investment and markets  •  Solar electricity