Italy adopts steps to lower power bills, energy producers complain
UNG•Italy approved an 18-month scheme to curb the impact of rising gas prices on power bills, with energy producers covering part of the funding. The energy minister said the measures would reduce bills by an average of about €15 per megawatt-hour.
1. Plan caps gas costs
Italy approved measures to curb the impact of rising gas prices on household and business power bills. The scheme reimburses gas-fired power plants the difference between the TTF gas price and a cap of €58.9 per megawatt-hour, if the difference is positive.
2. Funding draws complaints
Energy Minister Gilberto Pichetto Fratin said the measures would reduce bills by an average of about €15 per megawatt-hour. The decree is expected to be funded mainly through increased system charges on bills paid by some households and companies, while producers are upset that they will bear part of the cost.
3. Scheme runs 18 months
The scheme will begin in January and run for 18 months, with a gradual phase-out. Prime Minister Giorgia Meloni said the measures address mechanisms that drive energy costs, while Italy’s energy authority will introduce stricter rules against deliberately withholding generation capacity to raise prices.
