The European Commission has ruled that a €5.4 billion (US$6.1 billion) Italian renewable energy initiative is permissible under the EU’s rules governing state aid.
The aid scheme proposed by the Italian government, which is set to run until 2021, will extend financial support to the generation of electricity from renewable sources, including wind, solar, and hydroelectricity. Firms producing renewable energy will receive a premium in addition to the market cost of the energy they produce, to be no higher than the difference between the average cost of generating the energy and its market price.
Italy notified to the Commission of its plans to introduce certain changes to the approved capacity mechanism. These changes will be applied to the first auction under the Italian capacity mechanism, scheduled to take place later this year.
In particular, Italy will only allow capacity providers that comply with stringent CO2 emission limits to participate in the auction. These limits are defined in the recently adopted Electricity Regulation, but are not yet compulsory.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
European Commission Approves Nippon Steel’s $14.9 Billion Buyout of U.S. Steel
May 6, 2024 by
CPI
Banco Sabadell Rejects Rival BBVA Merger Proposal
May 6, 2024 by
CPI
Novo Nordisk Foundation’s Acquisition Faces Regulatory Hurdles
May 6, 2024 by
CPI
Microsoft’s MAI-1 to Compete with Google and OpenAI in AI Language Models
May 6, 2024 by
CPI
Qantas Settles ‘Ghost Flights’ Case With Australian Watchdog for $120 Million
May 6, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI