
The Minister for the Environment, Gilberto Pichetto, has signed a decree amending the incentive scheme for Renewable Energy Communities (RECs). The new provisions extend eligibility to municipalities with fewer than 50,000 inhabitants, introduce greater flexibility in implementation timelines, allow for an advance payment of up to 30% of the grant, and abolish the reduction factor previously applied in cases of cumulation with other incentives. The decree is currently pending review by the Court of Auditors.
The incentive consists of a feed-in tariff of approximately €100/MWh and a capital grant covering 40% of eligible investment costs. Where the capital grant is awarded, the incentive tariff is reduced by half.
Eligible projects include installations or capacity upgrades of up to 1 MW, also equipped with energy storage systems.
Participants in a Renewable Energy Community may include SMEs, private individuals and local authorities (large enterprises may participate only as third-party entities).
Only installations that have entered into operation from January 2024 onwards are eligible.
Both the generation plant and the grid connection point must fall within the area served by the same primary substation.
Applications must be submitted to the GSE by 30 November 2025. The incentives are not cumulative with other forms of support.