Italy’s solar industry is basking in a golden era, with a remarkable surge in solar photovoltaic (PV) capacity additions in 2023. According to Italia Solare, the country’s solar trade association, Italy added an impressive 5.23 gigawatts (GW) of new solar PV capacity last year, far surpassing the trade body’s forecast of 4GW. This marks the highest annual total since 2011 and signals a significant milestone for Italy’s renewable energy sector.
The growth story is even more compelling when compared to previous years, with an 85% increase in new power plants connected and a staggering 111% increase in new power capacity connections over 2022. Italia Solare highlights a shift towards large-scale projects, with 341MW of capacity added at “large plants” in the third quarter of 2023 alone. This is a notable increase compared to the 420MW connected through large plants between January 2020 and September 2023.
Distributed generation plays a crucial role in Italy’s solar landscape, with half of the new capacity installed in 2023 coming from the commercial and industrial (C&I) sector, 28% from the residential sector, and 22% from utility-scale projects. This contrasts with other European markets, where utility-scale projects are expected to lead capacity installations in 2023, according to SolarPower Europe.
The residential sector’s growth was largely fueled by the government’s Superbonus scheme, which offered a 110% tax credit for energy-efficient home improvements, including solar panel installations. While the tax credit has since fallen to 70%, there remains significant interest in the distributed generation sectors.
Italy’s total installed solar capacity now stands at 30.28GW, over one-third of the 80GW target set in its National Energy and Climate Plan (NECP) submitted to the EU. This represents a substantial increase from the 52GW target set in the 2019 NECP and places Italy as the second-largest solar capacity holder in the EU, behind Germany.
Despite external market factors such as fluctuations in power prices, the Italian solar industry has remained resilient. Paolo Viscontini, president of Italia Solare, notes that while energy price fluctuations impacted connection times for industrial PV systems, the trend did not halt the industry’s growth. Companies are increasingly recognizing the long-term advantages of solar PV, which offers price stability and energy security for at least 20 years.
Italy’s solar success story underscores the country’s commitment to renewable energy and sets a positive example for sustainable energy transitions globally.
Source: PV Tech | PV Magazine International)
