Italy's 15th renewables auction allocated 410.6 MW of capacity, with 322.2 MW going to solar projects across 57 locations. The auction — led by Gestore dei Servizi Energetici (GSE) — also awarded 88.4 MW to two wind projects, thereby supporting Italy’s renewable energy goals.
Solar Power Dominates Italy’s 15th Renewables Auction
Italy has once again shown its commitment to renewable energy. The nation’s 15th renewables auction saw the allocation of 410.6 MW of renewable capacity, with a strong focus on solar projects. This auction — held by Italy’s state energy agency — Gestore dei Servizi Energetici (GSE), highlighted the growing role of solar energy in the country's clean energy strategy.
The Italian government allocated 322.2 MW of photovoltaic (PV) capacity in this latest renewables auction. This capacity was awarded across 57 locations, signifying the increasing demand for solar projects. The sizes of these solar projects ranged from 1.7 MW to 40.7 MW, marking a variety in scale and geographic spread.
The 15th auction also awarded two wind projects, totaling 88.4 MW in capacity. Although smaller in comparison to solar, the inclusion of wind energy underlines Italy’s balanced approach to diversifying its renewable energy mix.
The 15th renewables auction featured competitive bidding, with developers offering discounts from 2.01% to 5.35% off the ceiling price of €0.07778 ($0.08272) per kWh. The lowest bid was €0.07384 per kWh. This bid came from a 5 MW solar project in Ancona, central Italy. It reflects a steady decline in solar energy prices across the country. This trend benefits both developers, by lowering project costs, and consumers, by reducing energy prices.
Comparing Past Auctions: Growth in Solar and Wind Allocation
In the 14th renewables auction — finalized in June 2024 — Italy allocated 145.5 MW of solar power across 37 locations. The discount range then was slightly narrower, between 2% and 5.5% off the ceiling price of €0.07746 per kWh. The lowest bid in the 14th auction came in at €0.0732 per kWh, showing competitive pricing but a lesser capacity compared to the recent round.
The 13th renewables auction held in February 2024 was another key event for Italy’s renewable energy market. During this auction, GSE allocated 352 MW of solar power across 62 projects, alongside 15 wind projects totaling 643.9 MW. These larger allocations reflect GSE’s flexibility to adjust its renewable energy targets to market conditions and demand.
Looking back at the 12th auction, which concluded in early October 2023, Italy awarded a smaller capacity of 48 MW in solar power and an additional 10 MW in wind. Discounts in this round were minimal, ranging between 2% and 2.1% off a lower ceiling price of €0.065 per kWh. These modest discount rates show how market dynamics can fluctuate, especially in the face of rising interest in renewable energy investments.
The 14th auction round, which wrapped up in June 2024, provided close to 300 MW of new renewable capacity, including wind, solar PV, and hydroelectric projects. A significant portion, totaling 243.3 MW, was awarded through the tender process, while an additional 52.6 MW was placed in registry enrollment.
Future Outlook: Renewables Auction Set for 2024
The GSE plans to hold another renewables auction on July 26, 2024. This future round is expected to attract even more competitive bids as developers strive to secure incentives for new projects. Italy’s auction model also attracts foreign investment, providing a boost to the local economy while fostering clean energy growth.
With each new auction round, Italy brings more renewable capacity online. The country’s ambition to meet its clean energy targets is clear, especially in the context of the European Union's broader environmental goals. By 2030, Italy aims to generate a significant portion of its electricity from renewable sources, reducing its dependence on fossil fuels.
Italy’s 15th renewables auction — with the allocation of 322 MW of solar power — marks another step in the country’s journey toward a greener future. Through its consistent auction model, Italy is paving the way for increased renewable energy capacity, lower energy costs, and a more sustainable environment.